Finance

September 24, 2015 1:06 pm

Sydney Median Soars to $1 Million

2015-11-11T18:20:30+10:00

Sydney house prices recorded a staggering 7.58% growth in the July quarter, pushing the median home values to $1,017, 500. Sydney has outperformed all capital cities in housing growth for the July quarter, with all capital cities finishing at an average growth of 0.92%. Melbourne was a distant second to Sydney in property growth, finishing at 3.10% for July, with a median house value of $683,000. Resource states, such as Darwin and Perth continue their poor performance for the year, as values dropped by 6.41% and 4.34% respectively. Read more about this on the Onthehouse.com.au website.

Sydney Median Soars to $1 Million2015-11-11T18:20:30+10:00

August 3, 2015 9:34 am

What You Need to Know About Self Managed Super Funds

2023-03-03T00:01:37+10:00

SMSFs are private funds that – as the name suggests, funds that you can manage yourself. Of course, this type of funds are regulated and should follow rules set by the Australian Taxation Office. But, what exactly is a Self Managed Super Fund? SMSFs at a glance SMSFs are investment funds that should be established for the sole purpose of providing retirement benefits to its members. Each member of the fund is called a trustee, and are entrusted with legal duties governed by the ATO. SMSFs can have up to four members. SMSFs vs. other Super Funds Here’s a table [...]

What You Need to Know About Self Managed Super Funds2023-03-03T00:01:37+10:00

December 19, 2014 1:29 pm

SMSF Grows the Fastest Among Super Funds

2023-03-03T00:01:37+10:00

Self – Managed Super Funds have increased by 29% in 5 years, making it the most popular and fastest growing super fund, nearly hitting the $560 billion mark. The Australian Taxation Office showed that SMSF’s account for a staggering 99% of the number of super funds across Australia, accounting for 30% of the $1.9 trillion total superannuation asset in the country. Contributions for SMSF’s have also increased by 5%, with member contributions exceeding employers by 3 to 1. With the growth in the SMSF sector, the Australian Securities and Investments Commission has called on auditors to adhere to the standards [...]

SMSF Grows the Fastest Among Super Funds2023-03-03T00:01:37+10:00

Consumer Confidence Slumps to Lowest Point in 3 years

2023-03-03T00:01:37+10:00

Respondents to the latest Westpac – Melbourne Institute survey showed a bleak consumer outlook for 2015. The Consumer Sentiment Index dropped by 5.7% - the lowest it has been for 3 years, plummeting from 96.6 to 91.1. Westpac’s Chief Economist expressed concern over the results, calling it “disturbing”, as more people become worried about the stability of the economy and job security. Westpac was the first of the 4 big banks to change their forecast on the interest rate, predicting rate cuts as early as February and March of next year. Read more about this on the Sydney Morning Herald [...]

Consumer Confidence Slumps to Lowest Point in 3 years2023-03-03T00:01:37+10:00

AU Dollar Drops to 4 ½ Year Low

2023-03-03T00:01:37+10:00

The Australia dollar dropped below US83¢ for the first time in 4 ½ years, dipping by as much as US82.90¢ as the US economy mounts pressure on the local currency. US job data showed that in the past month, 321,000 jobs were created, way above the forecast of 230,000. This has been the biggest monthly total for the United States since 2012. Economists, including major financial players such as Goldman Sachs, Deutsche Bank and Westpac are now turning to the RBA to drop interest rates below the record low 2.5% to stimulate the local economy. Read more about this on [...]

AU Dollar Drops to 4 ½ Year Low2023-03-03T00:01:37+10:00

November 25, 2014 2:04 pm

The Unhealthy Way to Healthy Sales Numbers

2023-03-03T00:01:37+10:00

Australians spend around $85 billion in supermarket groceries annually, with meat, fruits and vegetables accounting for $28 billion. Surprisingly, tobacco and junk food are quickly catching up, with $17 billion in combined sales. In the 12 months to June alone, cigarette sales have ballooned to $8.5 billion, a 16% increase from the last year, become the fastest growing product in supermarkets based on cash register data from Coles, Woolworths, IGA and FoodWorks. Junk food has cracked the $1 billion mark for the first time, up by 6.% from the previous year. Read more about this on the Sydney Morning Herald [...]

The Unhealthy Way to Healthy Sales Numbers2023-03-03T00:01:37+10:00

Are Rate Cuts Still Possible?

2023-03-03T00:01:37+10:00

Chief Officer for Investments of Saxo Bank Steen Jakobsen has been long forecasting further rate cuts as majority of economists predict a rate hike for next year. With falling commodity prices and rising unemployment, how low can we really go? Rate cuts are most likely to happen to support the economy, according to Jakobsen, with predictions of as many as four more rate cuts that will drop the official cash rate to a record low 1.5%. He believes that this is necessary to avoid a housing bubble and that there is a chance of a recession in 2015 if rates [...]

Are Rate Cuts Still Possible?2023-03-03T00:01:37+10:00

Are Banks Prepared for a Mortgage Crash?

2023-03-03T00:01:37+10:00

The Australian Prudential Regulation Authority recently conducted a mortgage stress test on 13 Australian banks to determine the industry’s preparedness in case of a crash - and banks are not as prepared as they think. The mortgage stress test included drastic market situations, such as a recession and a sudden rise in the official cash rate. Despite banks appearing to be “reasonably resilient”, APRA chair Wayne Byres expressed concerns on the contingency plans banks have in place. Banks have no clear strategies for cost reductions in case loan rates and bad debts increase. Read more about this on the Property [...]

Are Banks Prepared for a Mortgage Crash?2023-03-03T00:01:37+10:00

October 14, 2014 1:54 pm

AU Dollar Falling: Are We Supposed to Worry?

2023-03-03T00:01:37+10:00

The Australian Dollar has been on a downward spiral as it finished below US 90¢ from a high of $1.10 back in 2011. Is the Australian economy weakening, or is there a valid reason for the currency drop? The United States economy has been recovering for the past months, making the US dollar stronger and inversely, the AU dollar fall. Because of this, our exports are valued lesser than before. It doesn’t mean that the economy is weakening, but just a ripple effect of the US and Chinese economy recovery. As the global market changes, there will always be winners [...]

AU Dollar Falling: Are We Supposed to Worry?2023-03-03T00:01:37+10:00

14 month hold for record low interest rates

2023-03-03T00:01:37+10:00

As expected, the Reserve Bank of Australia has kept the cash rate at 2.5% for the 14th straight month, the longest in more than a decade. RBA governor Glenn Stevens said that credit growth has been growing at a moderate pace and that dwelling prices have continued to rise. The interest rate supports the current state of the economy as it is expected to be below trend for the next several quarters. The Australian dollar has been taking a plunge in the past month, dropping to 86.43 US cents from a high of 94 cents. Despite this, the dollar has [...]

14 month hold for record low interest rates2023-03-03T00:01:37+10:00
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