19/12/13: The Fed finally tapers

...and what it means for investors

Overnight the US Federal Reserve announced that it will begin carefully and slowly scaling back its massive stimulus program next month. It is the central bank's first step towards winding back the stimulus that has helped the US recover from its worst recession since the 1930s and a sign that the US economy is recovering.

In response, the US share market surged by almost 2% and at the time of writing, local markets are up by about 1.5%. Our local currency immediately dropped to 88.18 US cents but then quickly recovered to 89.45 US cents as investors digested the news. Most importantly, this should be viewed as good news. AMP Capital's Dr Shane Oliver discusses the implications for investors here. Rick Maggi (Westmount. Financial Solutions.)

01/09/13: The US fiscal cliff, debt ceiling and economic outlook.

Oliver's Insights for January 2013

This note looks at the deal to avert the US fiscal cliff along with its debt ceiling and broader economic outlook. Generally pretty positive for 2013 (easy reading). Enjoy! Rick Maggi. Read here

12/04/13: Are we in for another bout of weakness?

Olivers Insights

After a strong start to the year, share markets have had a few wobbles lately and bonds have rallied again. Sell in May and go away? Rick Maggi. Read more here

30/03/12: Should super funds have more bonds?

Shares or Bonds?

In this article, Dr Shane Oliver looks at the recent move to the relative safety of bonds and whether now is the right time to be making the shift. Read more here

16/10/12: Managing super in challenging times

Your questions answered...

The last few years since the GFC have been difficult for investors - each time share markets take a step forward, changes in the global economy pull them back. Paul Clitheroe joins AMP Capital's Dr Shane Oliver to provide their views on where share markets are placed and how to navigate the period ahead. Also included is a link on the Eurozone (easy reading). Enjoy. Rick Maggi.

Watch video here          Read Eurozone update here

14/08/12: If you invested $10,000 thirty years ago...

The Vanguard 2012 Index Chart

There's nothing quite like time to smooth out the rough patches and provide investors with some perspective. This chart, just released by Vanguard, shows what would have happened to a $10,000 investment made in 1982 had an investor selected either Australian shares, international shares, US shares, listed property, Australian bonds or cash. While the final result will likely surprise many, I believe the wide gap between Australian shares and cash is the standout statistic. View Chart Here

27/07/12: The search for a decent yield

Oliver's Insights

The uncertain investment environment and poor returns from shares since the GFC has seen the popularity of bank deposits surge while that of shares has collapsed. With term deposit rates falling it makes sense for investors to consider some of the alternatives. This article, written by Dr Shane Oliver of AMP Capital, takes a closer look at some of the options available.  Rick Maggi. Read more here

28/06/12: What about the US?

Greek relief for now - but what about the US?

In addition to providing a brief update on Europe, this note (courtesy of AMP Capital) focusses on the US economy, both in terms of the slowdown evident in some economic indicators and the impending fiscal tightening from January 1 next year. Read more here

13/04/12: When cash is king, what does tomorrow hold?

The importance of diversification...

The Australian love affair with cash has been understandable one since the beginning of the GFC. Where else could you get a guaranteed, government backed asset paying 5% plus while all around was failing miserably? Vanguard's Robin Bowerman highlights investors to the age old 'health warning' that applies to all investments - namely that past performance is no guarantee that the future will deliver the same outcome.  Rick Maggi  Read here

13/02/12: Warren Buffett: Why stocks beat gold and bonds

Warren Buffet

At a time when many investors have become jaded and cynical about shares, often tempted to run to the relative 'safety' of cash or bonds, Warren Buffett's shareholder letter explains why it may pay too be a little more patient. Enjoy. Rick Maggi  Read article here

16/12/11: Behold the beauty of bonds

An outstanding year for Bonds...

Vanguard's Robin Bowerman focuses on the outstanding performance of bonds during 2011, but also highlights the age old importance of diversification.   Rick Maggi  Read here