High Frequency Trading (HFT)

From

Introduction Recently, trading speeds on stock markets have increased dramatically as technology has been brought to bear on decision making as well as the matching and execution of trades. High speed computers can now gather data, make a decision by applying complex algorithms and execute a trade, all in much less than 1,000th of the […]

continue reading

Stock market Bubbles

From

Market Bubbles While there is a lot of evidence that stock markets are simply unpredictable, there are times when prices get a long way out of kilter with any sense of reasonable value. The term used is “bubble”.  Bubbles are harder to avoid than might appear. Herd instinct seems to be firmly embedded in the […]

continue reading

Training Requirements for Financial Planners

From

Legal requirements A financial planner is someone who provides personal advice to individuals and small businesses concerning financial strategies and products in areas such as superannuation, investment, insurance and personal financial management. To practice as a financial planner, an individual must both; operate under an Australian Financial Services Licence (AFSL), either as a licensee or […]

continue reading

Economic Value Added

From

At the heart of successful investing is the question of the valuation of assets. It is often possible to make money from low quality assets if they can be bought cheaply enough, and to lose money on good quality assets if the price paid is too high, but identifying the correct price in advance is […]

continue reading

Personal Investment Policy Statements

From

It is standard practice for professional fund managers to prepare an Investment Policy Statement (IPS) to guide investment decisions and to force them to be clear about exactly what the investment objectives are, how they are going to be met and how the investments are to be managed.  For similar reasons, self managed superannuation funds […]

continue reading

Pre-open pricing on the ASX

From

Managing an orderly market and ensuring that share prices are not able to be manipulated by participants seeking an unfair advantage over others are important functions of the Australian Securities Exchange (ASX). The arrangements for the opening and closing of markets are particularly important in this regard. Among other things, closing prices can determine margin […]

continue reading

Sharia compliant finance

From

Several actions by the Government recently have revealed an intention to facilitate the expansion of the opportunities for Islamic finance in Australia. On 15 January the Johnson Report (“Australia as a Financial Centre”) was released, and it included recommendations concerning the specific steps that need to be taken to enable Islamic finance in Australia. On […]

continue reading

Intestacy

From

Each State has its own laws and arrangements that apply when someone dies without a will. The NSW law on intestacy changed on 1 March 2010, and so this is an opportune time to briefly explain the changes for the benefit of NSW advisers and for advisers everywhere to review the importance of ensuring that […]

continue reading

Warrant Fundamentals

From

Financial planners do not typically provide much advice on direct derivative strategies, wisely leaving this type of activity to specialists within stock-broking firms. Some clients, however, may benefit from the prudent use of warrants within their self-managed superannuation funds, and the obligation to keep competencies up to date applies to all areas in which an […]

continue reading

The New De Facto Property Laws

From

On March 1 we passed the first anniversary of the new laws which affect the property rights of de facto couples when a break-up occurs, so it’s timely to present a reminder of the provisions. The changes affected the way property is divided and maintenance is paid in the event of a separation, including the […]

continue reading