Fundamentals

7 Principles For Successful Long-Term Investing

1 – Plan On Living A Long Time Thanks to advances in medicine and healthier lifestyles, people are having longer lives. This chart shows the probability of reaching the ages of 80 or 90 for some who are aged 65 today. A 65 year-old couple may be surprised to learn that there is a 51%…

Wealth and poverty in Australia

Helen Westerman and Wes Mountain The Household, Income and Labour Dynamics in Australia (HILDA) Survey, which started in 2001, collects information on Australian households, focusing on economic and subjective well-being, labour market dynamics and family dynamics. The infographic below charts the changes in wealth and poverty of Australian households over the 15-year history of the…

Investor Signposts: Week Beginning December 21 2015

Savanth Sebastian – Economist – CommSec The final countdown ·       The cupboard is largely bare in terms of key domestic economic indicators or events until January 4. Still, the private sector credit or lending figures are released on New Year’s Eve. ·       In terms of private sector credit, lending…

How 1.5 became the most important number at the Paris climate talks

One of the final obstacles in the way of a binding agreement at the Paris climate talks comes down to a simple number: 1.5. Limiting warming to a 1.5? temperature rise above pre-industrial levels is one of three potential targets on the table as negotiations approach the crucial final days. The other options are a…

Australia still dragging its feet on climate change

Marc Hudson, University of Manchester A divided government firmly on the back foot ahead of a major climate conference, its green credentials shaky, and riven with bubbling tensions between those who want serious climate action and those resistant to it. Sound familiar? But the government I’m describing is not today’s version, but Bob Hawke’s federal…

Concentrated investments are bad bets

By Wealth Foundations Most people are attracted to the idea of becoming fabulously wealthy by being a substantial and early investor in the next Microsoft, or Google. But they generally understand that the chances of selecting such “winners” are slim. However, it is not widely understood that although a large holding in a single investment…

Do I get dividends from CFDs? And how does the process work?

Question:  Do I get dividends from CFDs? And how does the process work? Answer:  Thomas Roberts, Financial Writer, IG Markets One of the attractive things about CFD share trading is that, by holding a CFD, you are eligible for many of the benefits that you would receive if you held the shares outright through a…

The most profitable stocks in Australia

When you screen for stocks it’s natural to gravitate to using metrics like the price to earnings ratio, the price to book ratio, debt levels and net income. Those are all important metrics to consider, but you’re forgetting about one of the most important ratios of all – return on equity, or ROE. ROE can…

Is Wesfarmers (WES) a safehaven in troubled times?

Wesfarmers has for years defied contemporary business logic by continuing to perform as one of the world’s most profitable conglomerates.  Decades ago, the idea of individual companies diversifying their income streams by acquiring unrelated companies was in favor.  In a rush to get in on the game, many large corporations went on acquisition binges.  Like…

Lessons from the Gurus – Peter Lynch

Of all the great investors throughout history, some feel Peter Lynch offered more simple and practical advice than any other guru.  He started out as an ordinary mutual fund manager for Fidelity Investments, managing their Magellan fund. He started in 1977 and by the time he left the fund in 1990, he had achieved average…