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Merging super funds guaranteed tax relief

HARRISON WORLEY  |  FRIDAY, 15 MAY 2020
Superannuation funds are set to permanently avoid negative tax outcomes upon merging, after an amendment bill sailed through parliament yesterday. While the FASEA extension stalled yesterday, the parliament successfully shepherded the government's Treasury ...

Chief economist update: Pay cut or pay not?

BENJAMIN ONG  |  FRIDAY, 15 MAY 2020
"Tell him he's dreaming!" The Australian Bureau of Statistics' (ABS) report showing that the country's unemployment rose from 5.2% in March to ONLY 6.2% in April surely is a pleasant dream considering the nightmarish backdrop of the long ...

Realigning remuneration expectations

KANIKA SOOD  |  THURSDAY, 14 MAY 2020
... (like asset management) becomes necessary by riskier. The report says portfolio managers and senior management will have to show greater commitment in 2020 (in regards to sale), increasing interaction with key clients and channels. It says sales compensation ...

Few funds immune to ERS

ELIZABETH MCARTHUR  |  THURSDAY, 14 MAY 2020
... Australians as the impacts of COVID-19 continue. The volumes are not beyond the levels expected across the industry but they do show just how tough it is for many people right now." The data also showed funds catering predominantly to essential services ...

Technical Services Forum: Testing risk tolerance

ELIZA BAVIN  |  THURSDAY, 14 MAY 2020
In uncertain times clients may not be as risk tolerant as previously thought, the virtual Challenger Financial Standard Technical Services Forum has heard. Digitally presenting, Challenger's head of technical services Andrew Lowe said many financial ...

Behavioural tools to limit losses, fear

ALLY SELBY  |  THURSDAY, 14 MAY 2020
Market volatility is unavoidable, especially after a significant crash, but focusing on practical techniques to limit behavioural risk can help financial advisers limit the fear, anxiety and grief that they and their clients may be feeling. Behavioural ...

March ASX200 volatility worse than GFC

KANIKA SOOD  |  THURSDAY, 14 MAY 2020
... uncertainty, fear, forced and panic selling, as well as reduced liquidity, are all contributing factors and all measures show a recent spike in, and currently elevated levels of, volatility." To calculate intraday volatility, Allan Gray measured the ...

ASIC secures $160m in remediation over junk credit insurance

ALLY SELBY  |  THURSDAY, 14 MAY 2020
ASIC has announced it has secured $160 million in remediation for consumers sold junk credit insurance from 11 major banks and lenders between 2011 and 2018. These include offerings from ANZ, Australian Central Credit Union, Bank of Queensland, Bendigo ...

Retirees hurt by APRA dividend pressure

ELIZA BAVIN  |  THURSDAY, 14 MAY 2020
Self-funded retirees have seen their nest-egg investment assets plunge due to COVID-19 and pressure from APRA on companies to cut dividends has made matters worse, according to Midsec Financial Advice. Midsec director Phillip Middleton said APRA's pressure ...

Adviser guilty of misuse of client money

ELIZA BAVIN  |  THURSDAY, 14 MAY 2020
Former financial adviser Anthony Dick pleaded guilty to 11 counts of dishonestly using his clients' money for his own personal use. Dick was charged in February this year after an ASIC investigation revealed he had accessed and transferred around ...