Self Managed Super Funds - Your Perfect Match?

Sick of lack lustre returns?   Think you could do a better job investing your hard earned superannuation savings than the professionals?   If you would like to control where your money is invested, a Self Managed Superannuation Fund (SMSF) could be the answer.   A word of warning though - you might be biting off more than you chew!

Managing your own self managed superannuation fund can be time consuming,  and very few investors fully understand the responsibilities of being a Trustee of their own fund (and the ATO are onto them!).   To give you a hand to start your research to ascertain whether a SMSF is your perfect match, I have sourced the following publications on the Australian Taxation Office website:- Read the story »

5 simple ways to avoid overspending at the shops

Beat the Retailers at their own Game

We are all prone to overspending. Ladies, just look at all the clothes you have purchased over the years, and half of them you probably don’t wear. If I calculated how much I have spent just on clothes since I started work at 15 years of age, I would no doubt be horrified (best to stick my head in the sand!).

The men are not going to get away with it either. From my experience they tend to purchase big ticket items, such as big screen TVs, power tools, and stereos. Read the story »

Margin Lending - the good, bad and the ugly.

Margin loans are simply an investment loan that is secured against the assets you are purchasing, such as shares and managed funds.   You don’t need to sign over your house and that is why so many people like them.    However, investors can get into trouble if their investment falls below a certain level, known as the loan to valuation ratio (LVR).

You may have heard of margin calls.   When these happen, investors are in a bind.  They can either sell down their investment to restore the LVR,  in other words forced to crystalize losses, or have to find the funds to top it up.  What a tough decision to make in this current economic climate.  You could be buying bargains, or perhaps throwing good money after bad.    Some institutions also allow you to assign other assets.  Read the story »