CPD: The hunt for yield can lead to risky territories

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With interest rates hovering around historical lows globally, investor appetite for alternative income sources has markedly increased. In the current environment uncertainty is writ large; challenges come at investors from all angles – global and domestic, as well as longer term structural challenges. In this article, Damien McIntyre, CEO of GSFM Pty Ltd, discusses where […]

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Unconventional monetary policies – part 3: Lessons for investors from unconventional monetary policies – featuring high grade bonds

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Sovereign bonds have the potential to support investor returns during periods when countries pursue unconventional monetary policies. As lacklustre economic conditions persist around the world, large-scale, high-impact strategies such as zero interest rates and negative interest rates are being carefully considered by central banks across the world. They are likely to become increasingly mainstream and […]

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Volatility back on the table for 2020 following benign 2019: Schroders

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Investors shouldn’t be lulled into a false sense of security following a benign 2019, with volatility and risk premia likely to reassert themselves in 2020, says Simon Doyle, head of multi-asset at Schroder Investment Management Australia. “Central bank support, most notably the US Federal Reserve, made 2019 a better year than it had any right […]

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Unconventional monetary policies – part 2: Japan and Germany’s experience

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The Japanese and German approaches to unconventional monetary policies have not always produced the outcome central banks desired. Japan and Germany are two nations that have used unconventional monetary policies to stimulate economic growth, albeit for different reasons and under different circumstances. Here, the second article in a three-part series on unconventional monetary policies, we […]

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Knowing the limitations can help investors exploit Real Assets growth potential

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Interest in real assets continues to attract attention as more investors take note of their defining characteristics – a smoother set of returns that are lowly correlated with other major asset classes. However, are real assets the safe haven investors believe them to be? Zenith Investment Partners, in its inaugural sector review of Real Assets, […]

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Unconventional monetary policies – part 1: Why do central banks and governments pursue unconventional monetary policies?

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There’s plenty of lessons for other markets from Japan’s experience with zero interest rates and quantitative easing.  The uncertain economic outlook has prompted the Reserve Bank of Australia (RBA) to consider employing unconventional monetary policies to stimulate growth. Should the central bank choose to go down this path, Australia would follow the lead of a […]

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Revisiting asset allocation for the new normal

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Investors may need to revisit their traditional balanced’ investment option in coming years, as the market cycle turns and overall returns reduce, says Jonathan Philpot, wealth management partner at HLB Mann Judd. “The ‘balanced’ default asset allocation option is the way many people are invested in superannuation.  Typically this is an asset allocation of 70 […]

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CPD: Which beta is better?

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Infrastructure investing is increasingly popular within retirement savings plans and it’s easy to understand why. An allocation to infrastructure can potentially deliver lower volatility and a higher dividend yield than global equities, and a diversifying addition to a multi-asset class portfolio. In this article Ganesh Suntharam, CIO and Senior Portfolio Manager with GSFM’s newest investment […]

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CPD: 30 years of investment lessons from Japan, and the implications for real estate

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Imagine a person of prime working age (~40 years old) seeking investment advice for long-term financial security, and ultimately, a comfortable retirement. The potential investment advice may look something like this: Invest in long-term growth assets, like equities Avoid currency risk and favour domestic asset allocation Choose a low-cost index fund Don’t look at the […]

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Ongoing US-Iran tension could boost energy stocks despite lacklustre global outlook

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Financial markets’ quick recovery following US-Iran tensions may be short lived and punish investor returns, though a renewal of tensions could increase the appeal of energy stocks. Principal Global Investors Chief Strategist Seema Shah said: “While geopolitics are difficult to predict at the best of times and both sides have reason to avoid further turmoil, […]

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