News & Views
Special Market Update
Global markets were sold down aggressively overnight in response to lingering concerns over the European sovereign debt issues and a slower than expected economic recovery in the US. Our market has responded accordingly falling around 4.2% at midday.
We do not take these issues lightly, nor their impact on your investments. However, our job is to remain focused on issues closer to home, that is, your individual strategies, the fundamental strength and security of your assets and the reliability of investment income. These are the factors that will ultimately drive market values and achieve realistic asset values.
Through the GFC period we took affirmative action to replace any non-performing assets with quality assets and generally restructure and rebalance portfolios. We placed a high concentration on regular dividend income and growth recovery potential. These factors remain in place and we are therefore very confident of your security and the future recovery of your portfolio values.
It is important to emphasise that this is broad market devaluation; it is not related directly to any specific issues with your assets or their performance.
We will continue to monitor the situation closely and assure you of our concern for your wellbeing.
At this time we have no reason to take any drastic action and believe your strategy remains valid and effective. We realise that this instability of asset values is of concern, but ultimately true values will be based on financial fundamentals, not market sentiment.
We will keep in touch with you but if you have any specific concerns please call us to discuss.
Posted: 5th August 2011
Written By: John Hewison CEO
Special Market Update
US Debt Ceiling
It has been hard to escape the rising level of hysteria emanating from the United States due to the ongoing political negotiations surrounding their Debt Ceiling.
It is unsurprising that the Government continues to tinker with regulations surrounding financial planners. Clients place a great deal
of trust in financial planners, whose advice can have an enormous impact on their wealth, lifestyle and retirement planning.
Young Australians must approach financial fitness like a gym workout, says Hewison Private Wealth
Young Australians eager to ‘get rich quick’ may be disappointed to hear that wealth creation can be as tough as achieving washboard abs, but those who attended a Young Investors Wealth Forum, hosted by Hewison Private Wealth, in Melbourne last week were in for a reality check.
Super strategies to consider for financial year end, Hewison Private Wealth.
With one month to go until the end of this financial year, wealthier investors would do well to review their superannuation strategy and maximise their super savings before changes announced in this year’s Federal Budget kick in, Melbourne financial advisory firm, Hewison Private Wealth, has warned.
J-curve returns The costs are steep and the risks many, but the payoff can be worth the wait.
Social media company Twitter has been a good bet for those able to take advantage of its quick doubling in price following its listing on the New York Stock Exchange last November.
But those profits are small when compared to the returns enjoyed by those who bough into Twitter ...
With interest rates at record lows, households are taking the chance to get ahead on their mortgages.
Instead of cutting their monthly mortgage payments in line with interest rates, a large number of borrowers are paying the same amount, and paying off the loan more quickly.
This Article also appeared in print (Sydney Morning Herald, The Age, Canberra Times) and online across the Fairf...
IT is pretty startling to find that some employers are cheating their workers out of compulsory superannuation contributions when the employees make extra concessionary contributions, but it’s happening.
“It’s legal, but it’s immoral,” says John Hewison, a Melbourne wealth adviser who says the practice of basing the employers’ 9.25 per cent compulsory contributions on the ...
If the federal government was serious about its changes to Labor’s advice reforms delivering a professional financial advice profession, it should ban grandfathered commissions retrospectively, according to the chief of an advice firm.
What is Asset Allocation?
Asset allocation is the percentage allocation of investment funds to the various investment classes, the main ones being –
· Real estate property
· Australian shares
· International shares
· Fixed and variable interest
It has certainly been a long hard slog for investors with the Australian sharemarket remaining flat despite all the positive economic indicators. We have low unemployment, a booming resource sector, apositive GDP outlook as forecast by the International Monetary Fund and the Reserve Bank. So why isn’t our share market booming? Major global share markets have recovered despite their economies co...
Over the past ten years Australians have experienced a residential property super cycle where values have increased considerably over this period. The main drivers of this meteoric rise have been historically low interest rates, low unemployment, government grants for first home buyers and the strongest terms of trade seen in 140 years. The only hiccup during this period was from late 2007 through...
While many thought that the world markets would recover strongly over 2011 it seems we have been stuck in a rut over the past few months with most investment markets tracking sideways.
While markets are often driven by fear and greed we cannot ignore the underlying economic factors that also serve to drive investment markets on a global scale.