15
Dec 2016

Musings from our Advisers for 2016

Musings from our Advisers for 2016

What have I learned this year?

by Phillip McGann

Uncertainty creates opportunity. Just when everyone says a certain thing is going to happen quite often the un-conventional, even contrarian view sometimes pays off big time. 

Think Brexit and Trump. 

Prediction for next year

A much improved share market return locally. This may well come from a combination of tailwinds from overseas market movements and a return of some confidence to the local market as many investors come to realise current prices offer upside for the longer term 

Final note 

When investing try hard to be optimistic rather than pessimistic, but temper the optimism by being realistic with your outlook. 

“Many an optimist has become rich by buying out a pessimist.” – Robert G. Allen

“The pessimist complains about the wind; the optimist expects it to change; the realist adjusts the sails.” – William Arthur Ward

Many happy returns for the year ahead!


What have I learned this year?

by Ivan Fletcher

Uncertainty does not necessarily mean immediate bad news (as per Kris’s comments re BREXIT and Trump). Something I have found encouraging this year is that uncertainty has become the catalyst for members to take an active interest in all things financial, and this is always a good thing. It’s easy to let things roll on when all seems good in the world but this year we have been able assist more members due to an increased active interest.

Prediction for Next Year

We may see some decline in the AUD/USD currency measure if the USA marches on somewhere in the vein of the current Trump rhetoric. 
We may also see the banks reviewing lending rates separate of RBA decisions. 

Final word for 2016

It’s the scary expenditure month, you’ve worked hard all year and want to treat your self and loved ones and before you know it you get carried away with last minute buys and blow your regular expenditure clean out of the water and find yourself playing credit card catch-up for the next few months. It’s worth the annual reminder to be mindful of where your money is going. The biggest budget blow will be last-minute buys. Write a list for everyone you need to buy something for with ideas and a budget for each and stick to it. To all Hudson members I wish you a safe and happy time with your loved ones. "As always but especially this time of year, if you see someone without a smile, give them one of yours."


What have I learned this year? 

by Michal Park

That despite negative sentiment, residential property is still a love affair of mine and will continue to have a place in a long term growth portfolio.

That the Australian shares market is an unpredictably wild beast, whether you are a virgin investor or an experienced economist – the key is diversity.

That the media is even more powerful and influential on impressionable individuals than previously thought – case in point, my six year old daughter suddenly developing an interest in American politics. 

That the most exciting part of building a house is the anticipation at the very beginning before ground has even been broken.

That some people are givers and some people are takers.

Prediction for next year 

We have been living in the shadow of the GFC for the last 8 years. I predict that investors will start to shrug off bad news and instead start to embrace it and the opportunities it may bring – generally the bark is worse than the bite.

With the contraction in the economy, I also predict the RBA will cut interest rates again – however, it is unlikely these will be passed on by banks. If they are, it will be purely to bring them back to status quo given they are raising rates independently now.

Final note 

Don’t be a taker.

Have a relaxing and safe Christmas break. It’s been a hell of a year!

What have I learned this year?

by Matthew Kerr Platinum Finance Consultant

This year I’ve learned that despite all the changes that have been implemented in order to try and slow the growth in investment lending, that banks are going to and will always continue to lend money to those who can afford to borrow it.

It’s also been reinforced to me that people only start thinking about their interest rates when they are on the move. It is still hard to motivate people to review their existing lending when rates are on hold. On average I would say that we can improve people’s interest rates by at least the equivalent of a rate cut (0.25% p.a.) every time we conduct a review. It is generally your biggest monthly expense in the household budget so it should be in your calendar to ring in for a finance review every 12 months.

Why not lock it in for January each year as part of your new year’s resolutions?

Prediction for Next Year

More complexity in interest rates but no changes in the cash rate by the reserve bank. We are going to see banks implement different rates for home loans, investment loans, investment loans with P&I repayments, investment loans with interest only repayments, lines of credit, fixed home loans, fixed investment loans.

It’s going to be more important than ever to use our Finance division to ensure your lending structure has A/ the correct products and B/ are on the right interest rates.

Final word for 2016

Don’t believe everything you read and hear in the media about the economy. Take advantage of your membership to speak with your advisor and insurance and finance professionals to get advice that isn’t driven by hysteria.

What have I learned this year?

by Kris Wrenn

For me the most significant lesson from 2016 has to be that when it comes to the share market you need to "stay the course" and not to be convinced to exit the market based on fear, and/or short-term volatility.

2016 saw a UK referendum result in them choosing to exit the European Union. We also saw Donald Trump be elected as the next United States president. In both cases the Australian share market saw a short-term drop and convinced many people to "go to Cash" with significant amounts of their assets. Within a day or two however investors obviously saw the value in the market and sure enough, things bounced back.

Shares should be a long-term investment, especially in your Super/Pension account where they are your hedge against your retirement assets being eroded by inflation. If you choose to go to Cash in expectation of a falling market, you are essentially taking a gamble that you will be able to buy back in at a lower point.

Prediction for Next Year

Volatility and lot's of it. There will be a huge amount of scrutiny of any changes Trump brings about. Some things will suggest positive change for the US and will drive markets forward, while other changes will be met in a similar fashion to earlier this year, with investors potentially jumping at shadows.

Final word for 2016

If you haven't done so already perhaps have a final review of your investments to make sure they are appropriate to you, then sit back and enjoy the festivities. I wish all Hudson members a very Merry Xmas and look forward to working with some of you into 2017.

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15
Dec 2016

3D Office Tour - Three Event Cinema Vouchers To Be Won

3D Office Tour - Three Event Cinema Vouchers To Be Won

Find the answers to the clues and the first three CORRECT responses drawn will win Event Cinema vouchers.

Competition closes 31 Dec 2016. Winners drawn 9th January.

  1. How many Rubiks cubes are there?
  2. What are the names of two businesses that can be seen from the Hudson windows?
  3. What magazines are in reception?
  4. What is the score on the dartboard?
  5. Where is the 8 ball?

Take Hudson office tour

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15
Dec 2016

Hudson ha ha

Hudson ha ha
   
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