NewsBite

Smart Investor

Yesterday

Not only have American stock markets hit record highs but other risk assets have also surged, with bitcoin jumping to its own record high of $US90,000.

How to invest in the Trump era

From bitcoin to navigating the new president’s Tudor court, investors should bear the following in mind.

  • Gillian Tett
Hit by tax because your high-interest saver did too well? Here’s what you can do.

Average tax refund revealed, and why you may receive ‘surprise’ bill

Bank depositors have had much to celebrate as rates have stayed higher for longer. But with more interest comes more tax. Here are some solutions.

  • Lucy Dean
The Department of Government Efficiency could go a long way to determining whether sovereign and institutional investors would rather lend to cash-rich US corporates than Uncle Sam.

Bond investors may bet on Silicon Valley over Uncle Sam

The US tech sector, which is sitting on a cash balance approaching $US1 trillion, is well-placed to reward – and protect – creditors and shareholders.

  • Todd Hoare

This Month

Super recontributions are growing in popularity.

This super loophole can create tax-free money for the kids 

There has been a surge in the number of people using so-called recontribution strategies, which allow older Australians to wash tax from super inheritances.

  • Michelle Bowes
Owen Hereford is determined to raise his three daughters Grace, Elizabeth and Bella without a sense of entitlement.

Signs you’re raising entitled brats (and how to avoid it)

Keeping children grounded and helping them understand the value of money is a perennial problem for wealthy parents. This dad reckons he has the answers.

  • Michelle Bowes
Advertisement
If a member of a super fund dies, the death benefit payable on their death can be received tax-free by only their dependants.

Why more retirees might dodge the death tax on super

Forcing people with superannuation balances above $3 million to pay more tax will give rise to a range of new strategies.

  • Michael Hutton
Since your wife is over 65, she can start a pension at any time but will need to withdraw 5 per cent of the balance each year.

We have $5m in super as a couple. How can we contribute more?

The maximum amount of super that can be transferred into a tax-free pension account is $1.9 million, although investment earnings can grow the balance without penalty.

  • John Wasiliev
Stephen Pastor is working hard to reframe his attitude to money.

‘I’m worth millions but I still fret about money’

Money mindsets are established early in life and can lead to poor financial decision-making, but there are ways to reframe your approach.

  • Joanna Mather
Interest rate movements often have a greater effect on sentiment than affordability.

Spoiler alert: interest rate cuts will be small and slow

What property investors need to know is that interest rate increases often come in clusters, but drops tend to be far more spread out.

  • Jarrod McCabe
He’s back. A Trump presidency will shake up global trade and markets, but investors warn against making sudden moves.

What Trump’s victory means for your money

From a sugar-hit to your super, to higher-for-longer interest rates, and a trade-war on the horizon, here’s what Trump 2.0 means for your finances.

  • Updated
  • Lucy Dean, Michelle Bowes and Joanna Mather
Division 293 tax applies to those who had income together with pre-tax concessional contributions greater than $250,000 in 2023-24.

Be on the lookout for the super surcharge for high earners

If you receive a Division 293 tax assessment from the ATO, you must pay the bill within 21 days to avoid penalties.

  • Colin Lewis
Australians are investing more money in foreign markets.

Why Australian investors of all ages are switching to offshore shares

Those aged 25 to 49 have a roughly half-half split between domestic and international markets, but the change has been most marked among over-50s.

  • Adam DeSanctis
Distressed investors have contacted AFR Weekend after they read our story about Alex and David Didlock.

Hundreds of SMSFs may have been misled into this illiquidity trap

The financial complaints authority says two people who set up SMSFs based on bad advice are owed almost $400,000. Hundreds of others may be in the same boat.

  • John Wasiliev
The highlight was 130 hours spent in the car with my wife and daughters.

A family road trip upended my thinking about how we advise retirees

Spending 130 hours in the car with my wife and daughters made me realise how easily we lose sight of what truly matters.

  • Renato Mota
Chinese stocks skyrocketed then slumped as traders grew impatient over the pace of stimulus measures.

What to know about investing in China’s volatile stock market

Investors are waiting anxiously to see details of a fiscal stimulus package expected to be confirmed by Chinese authorities this week.

  • Diana Li
Advertisement
Helping out the kids with your super? Here’s what you should know.

Tapping super to help your kids buy a home? Read this first

While accessing your super to help the kids buy property may seem like a good idea, there are a few things to understand first.

  • Ben Smythe
AI can be useful in financial advice, but caution is needed says Tim Mackay.

AI science won the Nobel Prize, but can it fix your finances?

Artificial intelligence could help younger people grow their wealth, but there’s a risk it could also result in “quirky” – if not risky – portfolios.

  • Tim Mackay
Shoppers outside a Lululemon store at Brickell City Centre in Miami, Florida.

Index investing isn’t as passive – or profitable – as you think

How many people give thought to what is in the index, who decides what’s in the index, and how are those decisions made?

  • Bhanu Singh
Which country could send you home the richest?

From London to Riyadh: six expat hotspots that will make you richer

We sent a hypothetical young lawyer abroad to find out which income and tax combination would help them grow wealth fastest. The winner may surprise you.

  • Lucy Dean

October

Elections tend to have limited, if any, long-lasting impact on markets.

Resist the temptation to adjust your portfolio for a Trump win

Wagering markets have Donald Trump winning the White House but don’t bet your investment portfolio on election results.

  • Penny Pryor

Original URL: https://www.afr.com/topic/afr-smart-investor-1mu8