Australian government and corporate bonds are a significantly underutilised investment vehicle within the Australian financial advice industry. There are considerable opportunities to increase their use, but investors need to better understand the risks associated with fixed income investing before they can go down this path with confidence
Today investment bonds are being used to meet a wide range of investor needs and strategy solutions from wealth accumulation, ensuring children’s needs and estate planning. Here are some of my favourite financial strategies utilising investment bonds:
While many financial products have come and gone, investment bonds have certainly stood the test of time. They first came onto the market in the early 1980’s and were very popular as a way to invest in a tax effective environment. With the advent of superannuation and other complex structures, investors started to favour alternate investments. But today, with the introduction of superannuation caps, work tests and the need for accessibility to funds, investment bonds are more popular than ever.
Inflation is always a potential threat and can make a drastic difference to investors’ outcomes. Its ‘real’, ie after-inflation, returns that matter to investors. Real returns are particularly important for retirees, as they don’t have a rising income to provide protection against inflation and must rely on their investments’ performance.
Income can come from a variety of sources, however, it is important to understand the pros and cons of each investment type, writes Amanda Gillespie, chief executive of Lonsec Fiscal.
With a growing number of advisers asking; “What should I do with my clients’ defensive or fixed interest exposure?” Zenith Investment Partners’ David Wright takes a look at what fund managers are doing to ease adviser concerns.
It’s not easy to know what to look for when searching for investment opportunities, however there are key attributes all investors and advisers must look out for, writes Skaffold’s General Manager Chris Batchelor.
In an investment world that is no longer ‘vanilla’, neither should the solutions be, writes Chad Padowitz, Chief Investment Officer, Wingate Asset Management. Here are three ways to combat retirement’s big issues.
With the dramatic fall in interest rates around the globe, investors have been searching for assets that will generate the necessary income to meet their future cash-flow needs, writes Lonsec CEO, Amanda Gillespie
We are all living longer, which creates new risks for retirement that we all need to consider, says Stephen Duchesne, CEO of Endowment Bond Exchange.
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