COMPARING SUPER FUNDS – What exactly is a balanced fund?

  Tim Farrelly | Portfolio Construction Forum | 14 December 2018 Australia’s largest super fund, Australian Super, would have us believe a balanced fund has 80% in growth assets, the industry euphemism for risky assets. The Vanguard Balanced Fund has a more cautious 50% in growth assets. At an extreme, the Host Plus Balanced fund…

Australian equity valuations not overvalued says RBA’s Kohler

By William McInnes  13 Dec 2018  Australian Financial Review The Reserve Bank of Australia says Australian equities are not overvalued and highlighted the outperformance of equities compared to other asset classes over time. Speaking at the Australasian Finance and Banking conference in Sydney on Thursday, the central bank’s head of domestic markets, Marion Kohler, said…

RBA in ‘uncharted territory’ on falling house prices

By Matthew Cranston  7 Dec 2018  Australian Financial Review The Reserve Bank is in “uncharted territory” when responding to falling house prices and can only wait and see what happens to weaker consumption over the next few months to get a clearer view on economic growth according to deputy governor Guy Debelle. Dr Debelle told economists at the annual…

Blended families: how to look after second spouse and not risk kids’ inheritance

  By Brian Hor   7 Dec 2018  Australian Financial Review Many modern households are blended families, in which it’s not unusual to have stepchildren of one of the parents in the couple. Often the household starts out as a “traditional” family with two people who are both the parents of the children. Then one of them…