Moneysmart tips: A monthly e-newsletter offering free tools, tips and guidance

Avoid scams as you shop the sales

Online sales offer great deals and convenience, but they also come with the risk of scams. This article provides tips on how to identify potential scams and shop safely during online sales.

Tips to avoid online scams

Interest-free doesn't mean cost-free 

Interest-free deals allow you to pay for items over time, but failing to repay within the interest-free period can result in high charges.

Pay off and interest-free deal on time

Getting a pet this Christmas?

Before getting a pet, ensure they fit your budget and lifestyle, considering both the initial purchase and ongoing costs like food, grooming, vet care, and supplies.

How much it costs to own a dog or a cat

Tips for managing buy now pay later

Buy now, pay later services can be helpful for managing cash flow, but if not used cautiously, they can lead to financial trouble.

Know the cost before you sign up

Trump 2.0 - why investors should expect a somewhat rougher ride, but it may not be as bad as feared

Key points:

  • The economic and financial environment today is more challenging than when Trump first took over in 2017: inflation is a bit higher, the budget deficit is worse, bond yields are higher and shares are more expensive.

  • He also faces constraints from: rising bond yields; not wanting a sharp fall in shares; a razor thin House majority; and a political mandate to get the “cost of living” down.

  • This could mean his more populist policies may ultimately be contained resulting in a better outlook for shares than many fear, albeit it will likely still be rough along the way.

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3 ways advisers are making Aussies feel better

It's not just about numbers—it's about peace of mind, clarity, and a roadmap to achieving your financial goals. Through the latest research, we've uncovered how financial advisers can help reduce stress and guide you toward a more secure financial future. Explore AMP’s findings and learn how expert advice can make a meaningful difference in your financial life.

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Oliver's Insights - Donald Trump elected President of the US (again)

Donald Trump elected President of the US (again) - implications for investors and Australia

The key points are:

  • The return of Donald Trump to the US presidency brings the prospect of more US tax cuts and deregulation, but also more tariff hikes and trade wars and policy uncertainty.

  • His win was not the surprise it was in 2016, and markets have moved to adjust – but it means higher US bond yields, a higher $US & a knee jerk rise in shares. Shares could be threatened though by the higher bond yields and tariffs.

  • Australia is vulnerable to an intensification of trade wars.

  • While the US election is important, investors should bear in mind that many other things influence investment markets

Read full article

Oliver's Insights - Why value matters in investing

Why value matters in investing - and what are valuations telling us now?

The key points are:

  • Starting point valuations – like yields and price to earnings ratios – are key drivers of medium-term investment returns.

  • Valuation starting points for term deposits and bonds have improved.

  • For shares they suggest constrained return potential, particularly from US shares thanks to rich tech sector valuations - but Australian, European and Chinese shares are a bit more attractive from a valuation perspective.

  • It's worth noting though that worries about the US share market’s dependence on tech stocks are not new and they have kept going for longer than many thought so trying to time their performance is very hard. 

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Advice Evolution Monthly News Update

Welcome to this month’s insights. In these articles, we explore tips and advice to help you tackle these important life stages with confidence and clarity. Read on to unlock valuable guidance that can help you move forward.

A path to independence: guiding adult children to contribute at home
Many parents face the question of when their adult children living at home should start paying board and contributing to household expenses and chores as they transition into adulthood.

The question of when and how much to charge, as well as the balance of responsibilities, is influenced by various factors, including family values, financial stability, and the unique dynamics of each household.

Read more

Unlocking your future: the power of choosing the right subjects for career success
Choosing the right subjects in school or university can significantly shape your future career pathways.

Read more

Navigating the law when dealing with custody dispute
The longstanding myth that fathers have slim chances of securing primary custody is being progressively dismantled.

Read more

Oliver's Insights - Nine bad habits of ineffective investors: common mistakes investors make

The key points are:

  • Many of the mistakes investors make are based on common sense rules of thumb that turn out to be wrong.

  • As a result, it’s often wise for investors to turn common sense logic on its head.

  • The easiest way to avoid many of these mistakes is to have a long-term investment plan that aligns your financial goals with your risk tolerance.

Read full article

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Oliver's Insights - China's big stimulus - will it work? And what does it mean for Australia?

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After a run of disappointing economic data, collapsing property prices and Chinese shares falling to their lowest since 2019 giving rise to increasing concerns about the outlook, China appears to be moving towards aggressive policy stimulus. But what’s driving the change? Will it work? And what does it mean for investors and Australia?

Key points:

  • A move towards more aggressive fiscal policy stimulus and property support measures should help drive a mild cyclical upswing in China’s economy.

  • However, it’s doubtful it will be enough to reverse longer term structural problems facing China – around excess saving, demographics and growing state control.

  • The Australian economy is less sensitive to China than it used to be, but a stimulus driven cyclical boost to the Chinese economy is still positive for the Australian economy, share market and the $A.


Read full article here.

Develop an investment plan + Check before you invest + Have you got investing FOMO

Planning is the key to successful investing. Creating a plan will help you find investments that fit your investing time frame and risk tolerance, to help you reach your financial goals sooner.

Develop an investing plan

Check the facts before you invest

Before you part with your money, check: Are they licensed? Can I explain how it works? Are there signs it could be a scam? What can I do if something goes wrong? Learn how.

Check before you invest

Have you got investing FOMO? 

If you're hearing a lot of buzz around a type of investment and don't want to miss out, STOP! It might be a hype-driven investment. 

How to avoid investment hype

Oliver's Insights – Harris versus Trump - implications for investors and Australia

The key points are:

  • The US election has significant potential to impact markets. A Harris victory would mean more of the same but a Trump victory could lead to uncertainty particularly around trade.

  • Australia would be vulnerable to a rapid intensification of trade wars which is looking likely under a Trump presidency.

  • Historically, shares have performed better under Democrat than Republican presidents with the best outcome being a Democrat president & Republican House and/or Senate.

Read full article

Moneysmart tips: Simple steps to manage your super

Your super isn't always top of mind when you're focused on juggling work, family life, and the many other responsibilities of adulting. But taking an active interest in your super now, can set you up for the lifestyle you want in the future. 

New research from Moneysmart has revealed the concerning trend that nearly half (48%) of surveyed millennials admit they are not knowledgeable about maximising their super. That's why Moneysmart's new campaign aims to drive awareness about why focusing on superannuation earlier is good for your long-term financial health.

When it comes to your super, extra contributions are just one option for growing your future wealth. Check out these other ways to secure a better financial future. 

Simple steps to manage your super

Check you're being paid the right amount of super

The super guarantee (SG) is now 11.5% of your income. To see how much your employer is paying you, look at your payslip or call your super fund.

How to calculate your super payments

Make sure your super fund can contact you

Your fund will use your email address and mobile number to send you important updates, including your annual statement. Reading your annual statement is a good way to stay connected with your super.

What to check in your annual statement

Check your insurance cover

Most super funds provide life cover and TPD insurance for their members. Make sure you're only paying for the insurance you need.

Tips for choosing insurance through super

Consider combining your super

Moving your super into one account makes your super easier to manage and saves on fees. You can transfer your super for free in a few easy steps.

How to check if you have multiple accounts

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Oliver's Insights - Will house prices crash? And what's needed to fix housing affordability

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Apart from “what will home prices do?" and "where are the best places to buy a property?" the main debate around the Australian housing market has been about poor housing affordability, occasionally interspersed with a scare that home prices will crash. The most recent example of the latter was on 60 Minutes last week with a call by US demographer & economist Harry S Dent that Australian house prices could fall “as much as 50% in the coming years”. But how serious should we take forecasts for a crash? And more fundamentally how do we fix affordability?

Key points:

  • Predictions of an Australian house price crash create lots of interest but have been a dime a dozen over the last 20 yrs.

  • However, there is more to the surge in property prices than easy money with a supply shortfall being the main factor. Absent much higher interest rates and or unemployment, a house price crash in Australia looks unlikely.

  • The key to sustainably improving housing affordability is to boost supply, better align immigration to housing supply, reduce or delay public infrastructure spending, encourage decentralisation and tax reform.

  • A failure to boost affordability risks a further slide in home ownership and rising inequality.


Read full article here.

Advice Evolution Newsletter - August 2024

Stay up-to-date with the tips, news and updates from Advice Evolution’s latest newsletter.

  • Claiming business expenses - Your guide to claiming business expenses correctly.

  • Crafting a Happy Retirement: Personalised Planning and Essential Tips for a Fulfilling Future.

  • Why Time Is Wealth.

  • The problem with chasing money.

  • Smartly spend your time wealth.

  • Shifting the attention from material wealth to time wealth.


Read full newsletter here.

Oliver's Insights – Why super and growth assets really are long term investments

The key points are as follows:

  • While growth assets like shares go through bouts of short-term underperformance versus bonds and cash, they provide superior long-term returns. So, it makes sense that superannuation has a high exposure to them.

  • The best approach is to simply recognise that occasional sharp falls in share markets and hence super funds are normal and that investing in both is a long-term investment.

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Oliver's Insights – Seven key charts for investors to keep an eye on – where are they now?

The key points are as follows:

  • Shares have hit a rough patch since recent highs with concerns about the growth outlook.

  • We remain upbeat on a 12-month view as falling inflation allows rate cuts and hopefully recession is avoided or is mild. But the risk of a further correction in shares is high.

  • Seven key charts worth watching are: inflation; inflation expectations; global business conditions PMIs; unemployment and underemployment; earnings revisions; the gap between earnings yields and bond yields; and changes in the $US.

Read full article

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Oliver's Insights - The rise of populism and bigger government - what it means for investors

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Key points:

  • The continuing rise of populism globally – as evident in recent European elections and in the US with Trump and the Republican party – is signalling an ongoing shift away from economic rationalist policies in favour of greater government involvement in economies and less free trade.

  • While extra investment associated with government industrial policies may provide a short-term boost, the risk is high that the rise of populism and a bigger role for government in economies will contribute to more constrained medium-term investment returns.

  • Australia is less vulnerable but will still be impacted.


Read full article here.

How to check if you're eligible for low-fee banking

Choosing the right bank account and regularly checking the fees you're paying can help you look after and grow your money. 

ASIC’s recent report found that more than 150,000 people on low incomes were in high-fee bank accounts, despite being eligible for a basic low-fee account. 

Low-fee accounts are available if you qualify for a concession card issued by the Government. If this applies to you, ask your bank about their low-fee account options.


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