Articles and News
2011: A new year, but a continuation of the 2010 story
Russell's global market outlook
In June 2009, we proposed that in 2010 the global markets would likely avoid the fat-tail financial Armageddon scenario, but that investors should expect a global, structural shift in capital allocation, output, consumption and market returns. Throughout 2010, and as we move into 2011, the data we're seeing continues to reinforce this forecast.
The indispensable economy? China may not matter quite as much as you think
THE town of Alpha in Queensland, Australia, has only 400 residents, including one part-time ambulance driver and a lone policeman, according to Mark Imber of Waratah Coal, an exploration firm. But over the next few years it should quintuple in size, thanks to an A$7.5 billion ($7.3 billion) investment by his company and the Metallurgical Corporation of China, a state-owned firm that serves China’s mining and metals industry. This will build Australia’s biggest coal mine, as well as a 490km (300-mile) railway to carry the black stuff to the coast, and thence to China’s ravenous industrial maw.
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Property Insights Spring 2010
Highlights in this issue include:
- Property sector updates
- A map highlighting the breadth of our expertise in managing properties across Australia
- Insight into what our asset managers do
- A case study about the success of one of our property syndicates and much more...
Please click here to read the current issue.
India's surprising economic miracle
The country’s state may be weak, but its private companies are strong
Sep 30th 2010
Despite the headlines, India is doing rather well. Its economy is expected to expand by 8.5% this year. It has a long way to go before it is as rich as China—the Chinese economy is four times bigger—but its growth rate could overtake China’s by 2013, if not before (see article). Some economists think India will grow faster than any other large country over the next 25 years. Rapid growth in a country of 1.2 billion people is exciting, to put it mildly.
Please click here to read article
The global implications of QE2
The financial markets have now become convinced that another large round of US quantitative easing is on the
cards, with predictions focusing on a maximum liquidity injection of $1,000bn over about 12 months – enough to
increase the Fed’s balance sheet by 40 per cent and to finance the bulk of the US budget deficit next year.
Please click here to read article
Aussies lead world in personal debt
Australians are proud to be leaders when it comes to sporting achievements or new inventions, but the leading position no one wants to hold is that in the race to be the nation with the highest personal debt. Unfortunately for Australia, personal debt Down Under has overtaken even that of the typically credit-hungry U.S., according to Reserve Bank of Australia figures.
The backlash begins against the world landgrab
Last week's long-delayed report by the World Bank suggests that purchases in developing countries rose to 45m hectares in 2009, a tenfold jump from levels of the last decade. Two thirds have been in Africa, where institutions offer weak defence.
Why 9/15 changed more than 9/11
America commemorates two grim anniversaries this month: 9/11 and 9/15. Almost a decade has passed since hijacked aircraft flew into the twin towers, killing nearly 3,000 people and transforming America’s relations with the world. Two years have elapsed since the collapse of Lehman Brothers triggered a global financial crisis and provoked fears of a new Great Depression.
Preparing for the Next 'Black Swan'
Investors Are Flocking to New Strategies Designed to Profit From a Market Calamity. But Will They Fly?
After a decade-long bear market and two years of turmoil that saw the stock market plunge by 57%, investors are betting on still more financial pain in the months ahead.
Investing in your health and wellbeing
- Time to make an investment in your health and wellbeing?
- Did you pay extra tax because you didn’t have private health insurance?
Your health is even more important than your finances. And getting both things in order can be a great way to improve your wellbeing.
Click here to download article
The terrible twos - Russell Online
While sharemarkets almost always stage strong recoveries in the 12 months following a bear market, the second year – or “the terrible twos” – is usually more challenging, and is generally characterised by high sharemarket volatility.
This year, investors have been hit by a succession of worries, starting with the euro-zone debt crisis, concerns about financial sector regulation, US double-dip fears and prospects for a China slowdown and these concerns are likely to persist for a few more months.
While we expect that sharemarkets should end the year higher, volatility is likely to be an ongoing theme.
For more on the outlook for the year, download Market Commentary
Risk v return: End of financial year edition - Russell Online
Produced annually and updated at the end of every financial year, the Risk vs return poster charts the annual returns of sample diversified portfolios and single asset classes over the last three decades.
This handy tool for use with your clients shows that returns across various asset classes can be volatile from year to year, but that a diversified investment has produced stable growth over the long term.
Download the asset class returns poster
Lonsec Investment Insight - Sept Quarter 2010 Outlook
In this quarter’s Investment Insight, Lonsec charts a path through stormy seas. Investors are faced with increased uncertainty and conflicting outlooks for Europe, the US, Asia and Australia.
Key themes this quarter are an expected fragile recovery for the global economic outlook and a domestic outlook that overall sees Australia well positioned to handle any slowdown in global growth.
A Winding Road - looking back, looking forward
The share market promised much at the start of the 2009-2010 financial year, went sideways for a while and then finished with falls and increased volatility in the June quarter.-
Autumn 2010 edition of Successful People
The Australian economy continues to recover faster
than both the RBA and most economists expected,
and we have seen steady increases to Australian
GDP forecasts for the last nine months. We continue
to have a positive view on the Australian economy,
but note that there are a number of risks in the global
economy that could derail the expected growth.-
Snapshot Newsletter - July 2009
Review of the past 12 months of the share market. Find out how investors can survive the bear market -
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