The Independent Adviser

Independent Investment Advice

Wotherspoon Top Performer in 2019

Last year was a particularly good year for investment returns. The latest data from superannuation consultants Chant West shows growth-oriented super funds delivered an average 14.7% return in 2019. They define a “growth fund” as one with 61 to 80% allocated to growth assets (largely related to shares, property and...

How to Invest in 2020

The two previous blogs in this series (5 Reasons for Optimism in 2020 & 5 Reasons for Vigilance in 2020) identified some key global themes for 2020. But what’s an investor to do? Here’s our 5 tips for successful investing in 2020: Diversify and look beyond conventional assets Renew your focus...

5 Reasons for Vigilance in 2020

Interest rates are expected to stay lower for longer and the looming US election seems to have eased global trade tension but investors must remain vigilant.  With many moving parts, here’s our top 5 reasons to remain alert: Universal social unrest Monetary Policy running its course Recessionary risk Deflationary impact...

5 Reasons for Optimism in 2020

This three-part blog series provides a detailed investment outlook for 2020, including our 5 reasons for optimism, 5 reasons for vigilance and our 5 best investment ideas for 2020.   At the beginning of 2019 the market had shifted its thinking on interest rates and US rates began to rise....

Limiting Investment Risk

Safety used to pay little… but now pays virtually nothing.  Interest rates have never been so low.  Australia’s cash rate is now 0.75% p.a.; 10 year Government bonds were around 5% in 2011 but are now around 1% p.a.  Many Japanese and European bond rates are now negative.  One Danish...

Investing with low rates

Interest rates have never been this low. If you’re an investor, you’re now getting paid less for your savings, so what do you do? Do you accept more risk and put more of your savings into growth assets (shares and property), despite recent market jitters? Is it better to invest...

What I learned about Investing from Metallica & Megadeth

In the early 1980s, a talented young guitarist was kicked out of his band. The band had just been signed to their first record contract, and they were preparing to record their first album. A week before recording began, they fired the guitarist. There was no warning, no discussion. The...

Labor Changes for Investors

The proposed changes affecting investors if Labor are elected federally involve negative gearing constraints, less capital gains tax concessions and no longer refunding franking credits for those who don’t pay tax. Before we recap on the detail of the proposed Labor changes, let’s recall the background. In 2010, the Henry...

Top 5 Investor Insights For 2019

2018 was another interesting year for investors with particularly volatile markets since October! So how does 2019 bode for investors?   No more ‘easy money’ The market significantly shifted its thinking on interest rates and monetary policy during 2018. Since the GFC 10 years ago, global central banks busily stimulated...

Patience Pays

For investors, there is always something to worry about but history shows the huge benefit of long-term investing. For over 140 years, our Australian stock market made positive returns 80% of the time. Over that time the average growth rate has been 8-9% p.a., including 4.5% dividend and despite some...