Term deposit turn has retirees in two minds as private credit gains steam
With many economists expecting the Reserve Bank to start cutting interest rates in early 2025, returns on term deposits could feel the pinch. Private credit is an alternative, but those pursuing this investment option will need to do their homework.
Slashed dividend payments an income gut-punch for SMSF retirees
A slowing economy has prompted S&P/ASX 200 companies to keep a lion’s share of their earnings by tightening shareholder distributions, with fund manager Martin Currie identifying the resources sector as a real cause for concern regarding future income.
The funeral bond alternative providing tax and income advantages to older Australians
Funeral bonds offer a host of potential benefits, including preferential tax treatment and capped exemption from the Centrelink assets test. But not all funeral bonds are created the same.
Advice in super declines as funds 'stuck' on member engagement: SuperRatings
Super funds are offering less and less advice services, despite members making clear that they need it more than ever. Fund advice has a relatively attractive price point, SuperRatings' Kirby Rappell explained, but funds are struggling to explain its value.
Hobbled by hubris, industry funds in danger of failing their members
The meteoric rise of industry funds has earned them a rightful place at the top of the superannuation food chain. But their standing is not a given, and the failures are starting to mount.
More spending guidance during 'Glory Years' required: Wattle Partners
Retirement's approach requires a profound change in how investors approach markets and construct portfolios, including arranging their income needs around three distinct periods of retired life, the financial advice firm's founders said.
Regulators skewer super funds for slow progress on retirement income covenant
A joint review conducted by ASIC and APRA was scathing of funds' collective attempts to meet their new legal obligation to help fund members plan for retirement, and urged them to "address, with urgency, the gaps in their approach".
Super fees climb with age, but devil is in the detail
There are a range of factors that will determine the fees a member will pay. The difference could have a dramatic effect on the final balance of a retiree's nest egg.
SOAs do little to address information asymmetry
While the focus of the advice industry groups has very much been around making the day to day lives of those in the industry easier, the likes of the AFCA, Vanguard and several law firms have offered insight into the impact on the consumer.
'Incredible' dispersion in balanced fund returns
2022 has marked just the fifth financial year of negative returns since the SG became compulsory in 1992. This should not be a surprising result.
Regulator warns underperforming funds on member comms
Bringing oversight to a multi-trillion dollar sector was important, but the regulations are far from perfect, with many suggesting they effectively direct industry funds toward an indexed approach, or alternatively, don't appreciate the nuances of investing for the very long-term.
Hit to retirement savings expected in 2021-22
As share markets fall, superannuation research houses are predicting a negative financial year for both balanced and growth superannuation funds.
Stability, simplification, abolition of Safe Harbour, FDS proposed
"We are at a critical crossroad, with an aging population, and the "Great Australian Wealth Transfer" at our doorstep" explained Lifespan Financial Planning CEO Eugene Ardino in an open letter to Scott Morrison and Anthony Albanese on the eve of the Federal Election.
Superannuation returns hit by volatility
A bounce in share markets in March supported superannuation fund performance in the first quarter of 2022. However, with inflation concerns mounting, global share markets remain volatile, including the hard-hit US share market, which is likely to dent superannuation returns for the current financial year.
Queenslanders drain retirement savings
Despite coming through the COVID-19 lockdowns seemingly unscathed, it seems that Queenslanders have been dipping the hardest into their superannuation under the early release clauses.
