Jan 10, 2020 | Finances, Financial Literacy, Financial Planning, Interest rates, Investing, Lending, Loans, Superannuation, Taxation Planning
Not so long ago one of the most effective, low risk wealth creation strategies was to use spare savings to pay down a mortgage, either directly or via the well disciplined use of an offset account. If your mortgage interest rate was 8% per annum, that’s the effective,...
Nov 9, 2019 | Finances, Financial Literacy, Financial Planning, Interest rates, Investing, Property, Uncategorised
This article summarises the key announcements and important changes to the economy that has occurred over recent months. We touche on interest rate concerns, rising property prices and US-China trade negotiations. Interest rates The RBA followed up its June interest...
Oct 17, 2019 | Financial Literacy, Financial Planning, Investing, Retirement
Australian retirees are facing a ‘double whammy’ when it comes to funding their retirement. On the one hand we, as a nation, are enjoying longer and healthier lives. On the other hand, record low interest rates have slashed the returns on the traditional bedrocks of...
Oct 10, 2019 | Financial Literacy, Financial Planning, Investing, Lending, Loans, Property
The equity you have in your home is simply the difference between the current market value of your home and the amount you still owe on your home loan. For example, if your home is worth $800,000 and your outstanding loan balance is $200,000, your equity is $600,000....
Aug 15, 2019 | Finances, Financial Literacy, Financial Planning, Investing, Uncategorised
Times like the present are stressful for investors. No one likes to see their wealth fall and uncertainty seems very high. We don’t have a perfect crystal ball, so from the point of sensible long-term investing the following points are worth bearing in mind. First,...
Aug 1, 2019 | Financial Literacy, Financial Planning, Investing
It’s easier to show how this works, than explain it. Here’s an example of investing $250 a month for 12 months into a hypothetical managed fund. Month Unit price Units purchased 1 $3.00 83.33 2 $2.80 89.29 3 $2.50 100.00 4 $2.60 96.15 5 $2.10 119.05 6 $1.98 126.26 7...
