Why volatile markets separate true investors from the rest

Male looking stressed out in front of his laptop computer

There’s a saying among seasoned pilots that flying can best be described as long stretches of boredom punctuated by moments of sheer terror.

Many investors, reeling from the recent pullback in the US sharemarket that commenced on 5 February after the stellar returns of 2017,  would no doubt share these sentiments.

For newer investors who’ve never experienced a share market pullback of this size and speed, the recent movements must have been nerve-wrecking. Media headlines screaming “market rout”, “bloodbath” and “worst point decline in history” certainly didn’t help matters either, stoking fear in the investing public for the sake of clicks, views and readership.   

If you’ve just had your first experience of a sharemarket dip, welcome to the club. Grab a seat and catch your breath. It may be your first market correction but it will almost certainly not to be your last. All-time sharemarket highs followed by the occasional reversal are a feature, not a bug, of long-term investing.

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What your favourite wine says about your investing style

Group of friends cheering with wine

First things first: if you’re sipping on a beautiful red or white right now, that already says a lot about your awesome personality. Cheers! But it turns out that your favourite tipple gives a lot more away about what type of person you really are – the wine you love might say an awful lot about what sort of investor you are.

Don’t believe us? Let’s get straight into it:
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5 important financial conversations to have with your partner

clouds in the shape of hearts

With Valentine’s Day coming up this week, loved up couples everywhere are talking dinner plans, presents and romantic gestures. But there’s one other thing you might want to bring up with your special someone and that’s money.

Because, ok, while financial discussions might not seem like the most romantic topic under the sun, having an open and honest conversation with your partner about money management and financial goals is an important step in any relationship.

But, since it can also be a tricky subject to bring up, Kirsty Lamont from comparison site Mozo has shared five money conversations that you might need to have with your significant other and her tips on how to tackle them without killing the mood. Continue reading “5 important financial conversations to have with your partner”

8 investing habits you can learn from tennis

 

Roger Federer

The 106th Australian Open has been served, volleyed and aced to victory right here in Melbourne, and that’s why it’s forehands, breakpoints and double faults are on our minds.

The combination of Aryna Sabalenka’s ridiculously loud grunting at Melbourne Park and the tantalising $4 million taken home by the men’s and women’s singles champions really got us thinking. Winning big sports tournaments like the Australian Open and succeeding in investing really are similar in many ways.

Both the Australian Open tennis champion and a successful investor …

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2017: The Investment Year in Review

financial markets

Another year is behind us. 2017 was a year where politics, both global and domestic, seemed to dominate the news, from the ongoing turmoil in the White House, to the Parliamentary citizenship debacle here, and the historic passing of the same sex marriage legislation just as the year drew to a close.  

On the investment front, most markets and asset classes delivered returns significantly above the forecasts of a year ago. 2017 was a year in which risk was amply rewarded, with global sharemarkets in general, and emerging markets in particular, producing outsized returns for investors.  

Clover portfolio options benefited from the strong run up in global sharemarkets during 2017, in being constructed to provide more exposure to international shares relative to Australian shares, a positioning that added to relative returns during the year.

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6 investing mistakes young Australians make

investing mistakes

Ask a seasoned Australian investor, and they will have little doubt about why they put their money to work. They’re thinking about retirement, paying off homes and giving their kids a financial boost, building great businesses – building wealth.

But when it comes to younger Australians, it’s more challenging to encourage them to start making smart investment choices. The vast majority don’t invest at all, with many saying they can’t afford it or simply don’t know enough.

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Three worthwhile ways to grow your money

Happy Millennial

One thing people tend to forget when they’re trying hard to save money is that it isn’t just about budgeting and cutting back your expenses. You can and should also explore ways to earn more money as well.

Finding ways to increase your income can help you grow your wealth and even hit financial goals faster. There are several ways you can earn a bit more money on the side, like asking for a raise or doing a bit of freelancing in your spare time.

However, the best forms of additional income are low maintenance and effort, because unlike money, you can’t grow your time.

Here are three ways to earn more money while keeping your day job.

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What you should know about buying and trading bitcoin

bitcoin

If the surging popularity of Bitcoin has somehow passed you by, you may have been living under a rock. The cryptocurrency’s value has skyrocketed this year from $1,341 in January to a new high of around $25,000 (in Australian dollars) this month. It’s not a surprise Bitcoin is on everyone’s lips, and many are wondering if they should try their luck trading bitcoin.

Here are a few things you should be wary of before buying or trading bitcoin.

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7 ways to consider your finances over Christmas

financial review

Well, 2017 may not quite be over, but as you start getting ready to taste that turkey and pull those crackers, the Christmas lull is definitely a good time to take stock of your personal finances and make some plans, changes and resolutions for the looming year.

Here are some things to consider to get your financial house in order before 2018 starts.

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Time is your biggest advantage

Relaxed Millennial

Millennials are under pressure and in a hurry. They face quite a few pressing issues in this meteorically fast-moving 21st century. The cost of living is high, job security is low, and it’s a fact that they are more stressed than the other living generations.

So what could be the antidote for these young Millennials and professionals who are looking into an uncertain future in this volatile world?

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