We have received quite a few phone calls over the past couple of days with regards to Joe Hockey’s incentive to get small business’s spending their hard earned cash. Who can receive its benefit: you hold an active ABN your turnover (income before expenses) is under $2 million How does it work: Each asset purchased, […]
NAB needs to raise funds to enable them to exit the investment they made in the Clydesdale Bank in the UK. The main reason is to be able to provide some security in case the deal goes pear shaped. The regulatory authority needs to be sure that there is sufficient funds available to clean up […]
When I first read of the proposed BHP demerger and the creation of a new company, South32, my first thoughts about it were negative: why should this be any more successful that the two previous demergers, BHP Gold and BHP Steel? However, on reading the reports of two analysts that I respect, my attitude has […]
If you have shares in BHP, no doubt you (or your advisor) will have received a copy of the massive document (191 pages) that BHP has sent to all shareholders extolling the virtue of a hiving off part of the company into a new, WA based company , South32. The new company will takeover […]
As the RIO buy back has now closed, we are able to find out the Trade Weighted Price of the shares to which the final discount will by applied. This amount was $56.3169, so if – as we predict – the 14% discount will be the final price, it means that RIO will buy the […]
After crunching the numbers, we are firmly convinced that the buy back could reap up to $10 per share for those clients who pay 0% (or very little) tax. This is because of the high level of franking credits associated with the special dividend to be paid to boost the return to the shareholder back […]
In these times of low inflation, investors with a small level of funds within their SMSFs may be tempted to believe that they should hold their investments outside super in their own names. This approach is fraught with danger due to the different tax treatments of SMSFs and individuals. Whilst SMSFs 100% in pension mode […]
The Rio Tinto Limited Off-market buy-back tender booklet has been distributed, and many of our clients are now asking “Is the Buy-Back good for me?” The answer -as always – is it depends! RIO like BHP and Telstra have surplus funds (and franking credits) that they are keen to return to their shareholders in the most […]
In our last couple of blogs we have looked at the sectors of shares and cash in your SMSF (Self Managed Super Fund) and in this blog we look at direct property as a component of your Fund. The “chunky” nature of property means that a considerable outlay needs to be made to purchase it […]
In our last blog we talked about why we used the Cash Management Account that we did, and the many benefits that flowed through to the majority of clients who used this account as part of their overall management of their SMSF. In this blog, we want to explain why we strongly recommend using Core […]