• Latest
• Planner
• SMSF

Putting that extra into superWed, 07 Jul 2010 Andrew Proebstl, chief executive of legalsuper tells us how the fund encouraged record voluntary contributions from members

Finance body urges new PM, miner talksWed, 07 Jul 2010 Newly revamped financial services body focuses on tax reform, Brogden says.

Investing after this downturnWed, 07 Jul 2010 Morningstar’s head of equities strategy Ross Bird tells what investors can expect following this correction.

Catastrophe bonds warm upWed, 07 Jul 2010 Catastrophe bonds are coming under the radar of institutional investors

Government changes transform fund managersWed, 07 Jul 2010 Fund managers are in for some big changes as advisers overhaul their businesses

A super profit tax for banks?Wed, 07 Jul 2010 Could the controversial super profits tax for miners also apply to the banking sector?

Beware capital gains tax on SMSF rolloversWed, 07 Jul 2010 Certain activities in running a self managed super fund can trigger capital gains tax liabilities.

Caps off for low super balances, says BrogdenWed, 07 Jul 2010 John Brogden explains why IFSA thinks changes to the super concessional caps are unfair for some workers

Fear and volatility in the marketWed, 07 Jul 2010 Pengana's John McGuinness talks about the impact of recent market jitters.

Intech heads into retirementWed, 07 Jul 2010 Intech rebrands as Ibbotson Associates and plans expansion into the post-retirement market.

No choice for insurance - TowerWed, 07 Jul 2010 Tower's Jim Minto explains why the insurer opposes further consolidation, especially if it reduces the choice of insurance products on a platform.

Contravention report has a major impact for SMSFsWed, 07 Jul 2010 SPAA chair Sharyn Long talks about the auditor contravention report and how SMSF trustees can best deal with them.

The tasks ahead - what’s on ASFA’s hit list?Wed, 07 Jul 2010 What's on the to-do list for the superannuation industry and its representative organisation? We asked ASFA's Pauline Vamos.

Shareholder Scrooges named and shamedWed, 07 Jul 2010 Morningstar names the companies that pay dividends slowly, pocketing the interest and short-changing shareholders.

Caps off for low super balances: BrogdenWed, 07 Jul 2010 John Brogden explains why IFSA thinks changes to the super concessional caps are unfair to some workers.

China - year of the bubble?Wed, 07 Jul 2010 It's the year of the tiger, but also one in which observers are looking closely at China's economy for signs of a bubble.

Hedge funds: in from the cold?Wed, 07 Jul 2010 is there a role for hedge funds in a diversified portfolio?

Multi-managers forecast 2010Wed, 07 Jul 2010 The institutions that collectively control more than $40 billion of Australian investment dollars are viewing 2010 as a year to tread carefully

Funds for a market correctionMon, 07 Jun 2010 What does a market correction mean for investors with managed funds and what types are favourable?

Why fixed interest remains a vital part of your portfolioMon, 07 Jun 2010 They may not be as exciting as some, but fixed interest investments play an important role.

Where has the HNW gone?Mon, 07 Jun 2010 Investor sentiment has taken a dip, so what are investors intending for the rest of 2010?

The tasks ahead - what's on ASFA's hit listMon, 07 Jun 2010 What's on the to-do list for the superannuation industry and its representative organisation? We asked ASFA's Pauline Vamos

Make the nest egg last the distanceMon, 07 Jun 2010 Retirees face the risk of running out of money. We asked Macquarie Funds Group's head of longevity risk solutions Andrew Robertson how this can be avoided

Do SMSFs seek advice?Mon, 07 Jun 2010 SMSF members like control but do they eschew advice?

Cooper, super and SMSFsMon, 07 Jun 2010 Understanding the Cooper review’s proposed changes to our super and SMSFs.

Beware capital gains tax on SMSF rolloversMon, 07 Jun 2010 Certain activities in running a self managed super fund can trigger capital gains tax liabilities.

Insurance gets built-in for longer livingMon, 07 Jun 2010 Lifetime income guarantee funds make sure your money won’t run out.

Hefty tax for exceeding capsMon, 07 Jun 2010 What to do if you exceed the superannuation contribution caps.

New innovations to address longevity riskMon, 07 Jun 2010 Andrew Barnett discusses longevity risk and some new solutions to the problem.

Penalties for your SMSF's poor reportMon, 07 Jun 2010 SPAA chair Sharyn Long talks about the auditor contravention report and how SMSF trustees can best deal with them.

Ensuring your auditor is qualifiedMon, 07 Jun 2010 SPAA accredited auditors have now become approved auditors under the SIS Act.

Keep your super in the familyMon, 07 Jun 2010 Is your SMSF for the whole family? Grant Abbott discusses if you should have insurance or other products included.

Make the nest egg last the distanceMon, 07 Jun 2010 Retirees face the risk of running out of money. We asked Macquarie Funds Group's head of longevity risk solutions Andrew Robertson how this can be avoided

Penalties for your SMSF’s poor reportMon, 07 Jun 2010 SPAA chair Sharyn Long talks about the auditor contravention report and how SMSF trustees can best deal with them.

New TPD insurance regulationsMon, 07 Jun 2010

SMSF ReservesMon, 07 Jun 2010

Will your SMSF pass these tests?Mon, 07 Jun 2010 How Australian is your SMSF? Dire consequences await those funds that fail to meet requirements.

The SMSF in-house asset ruleMon, 07 Jun 2010 Darin Tyson-Chan speaks to SMSF Strategies principal Grant Abbott about the amended in-house assets rule for SMSFs

Trustee responsibility (pt 1) Mon, 07 Jun 2010 Trustees often trip over the law with SMSFs, lawyer Peter Townsend warns in the first of this two-part interview.

Trustee responsibility (pt 2) Mon, 07 Jun 2010 The second part of this SMSF discussion provides tips for trustees

Maximum earnings and super contributionsMon, 07 Jun 2010 Salary sacrificing? Understanding the 10 per cent maximum earnings rule is a must.

SMSFs and gearingMon, 07 Jun 2010 Administrative considerations with Andrew Biviano and Darin Tyson-Chan

Trustee EducationMon, 07 Jun 2010 Liz Westover gives her recommended changes to superannuation trustee skill and knowledge.

China's insatiable appetite for resources has been credited for buying the Australian mining and energy sectors, even sheltering the Australian economy from the global financial crisis. This appetite is based on Chinese domestic growth of an amazing trajectory. But as we enter the Year of the Tiger, some observers are asking how long this growth can continue.

Brian Parker:

And I think when you look at what the Chinese authorities are doing now, they are taking steps to try and reign in the economy. You have seen a big surge in, say, investment activity, a big surge in property activity. And this kind of needs to be reigned in before problems emerge down the track. But medium to long term, the China story is still a pretty good one.

Christine St Anne:  

Brian Parker is head of the investment strategy of MLC and a China optimist.

Brian Parker:  

I think the big issue for China is, how do you get Chinese consumer spending to grow in a really sustained, powerful way? Because at the moment, Chinese consumers households save a very large percentage of their income because there really isn't an adequate social sentiment.

Christine St Anne:

Not all fund managers are optimistic, however. According to a fund manager survey from the Bank of America Merrill Lynch, just seven percent of global fund managers think China's economy will strengthen in the coming 12 months, the lowest rating since March, 2009.

Christopher Selth:

In order to engineer the kind of change they're trying to do at the speed they're doing means there's risk.

Christine St Anne:

Christopher Selth, chief investment officer at Five Oceans Asset Management has just returned from China and still remains upbeat about the country's economic prospects.

Christopher Selth: 

Under normal circumstances a bubble doesn't build that fast. Having said which, they pump a lot of money in here in an act of necessity or desperation. And the shock waves of the deceleration are likely to cause, and have already started causing a degree of fear in the markets.

Christine St Anne:

Manufacturing slowed in February according to China's purchasing manager's index. And there are reports that China is at least facing a property bubble. House prices in Shanghai rose 40 percent last year.

Brian Parker:

The one reason I would not call it a bubble is that you don't at this stage have the credit difficulties emerging. For example, a large number of Chinese property buyers pay cash. So credit doesn't enter into the equation. The level of mortgage debt outstanding isn't all that great.

Christine St Anne:

The country is facing rising inflation running at an annualized rate of four percent over the last six months, according to a report by AMP.

Morningstar analyst Mark Taylor believes the Chinese hunger for resources, especially those from Australia won't be satisfied any time soon.

Mark Taylor: 

The thing you've got to remember about China is that while some of the numbers seem very, very large, you've got a very large population that's underlying that. And you've also got this urbanization and progression towards development that's occurring. So when you're looking at consumption of commodities in GDP growth and all these sorts of things, it's not just a question of can it keep growing like that in growth terms. You've got to look at what's happening at the grass roots level. And in China, as the population urbanizes and becomes more wealthy, then the rate of consumption of raw materials is going to increase. At the moment it's still very, very low on up ahead of population basis. So there's masses of room for growth in consumption of raw materials.

Brian Parker:

What happens when an economy develops? You end up with quite a growing and very affluent middle class. And what sort of things do middle class consumers spend their money on? Well in the emerging markets, middle class consumers increasingly spend their money on the same kind of things that you and I spend our money on.

Now, who supplies those things? Well, some of those are supplied by Chinese companies, for example. So there's going to be benefits to be had by investing in a number of Chinese companies that are clearly going to benefit from the emergence of a Chinese middle class. But the winners out of this emerging middle class in China and India and other parts of the emerging world, the winners could be listed anywhere.

Christine St Anne:

It isn't possible to discuss the long term prospects of the Chinese economy without mention of the communist government.

Christopher Selth:

I think there are risks in China because of the planning questions from the Chinese government. And they are yet to be fully exposed. As long as China can maintain its momentum, it will gloss over some of those problems. But unquestionably, some do exist.

Brian Parker:

Within, let's say, 20 or 30 years, China will be an overwhelmingly private sector economy with an affluent population, a very burgeoning middle class. And it will be the second largest economy in the world. India, of course, will be the largest by sheer weight of numbers. Well, how do you marry that situation with the communist party dictatorship? Now the answer is, you don't. But how do you get from point A to point B while still maintaining social stability in China? And I think what we're likely to see is that over the next 20, 30, 40 years or however long it will take, China will take steps towards democratization. China will take steps towards some semblance of a multi party system. But the Chinese will move at their own pace.

Christine St Anne:

In the meantime, world economists will be looking for clues in China's economic work report due to be submitted to the National People's Congress later this week.

Christine St Anne for InvestorDaily.

Go to today's InvestorDaily news