SMSFs ‘sowing seeds of next finance wreck’: Morgan Stanley
Morgan Stanley Australia chief executive Steve Harker has renewed alarm over the vigour with which investors are borrowing money in their self-managed super funds to buy property, saying it’s sowing the seeds of a future economic wreck. He also predicts Australia is headed for a “low-growth, low interest-rate environment” for a sustained period.
$A above US91¢, equities rise on global outlook
Before the Bell | Stock markets worldwide are higher after Chinese trade and inflation data boosted optimism about the global economy and the appeal of riskier assets ■ S&P 500 up 0.2pc ■ SPI futures down 3 pts■ $A at US91.01¢.
ASX service for managed funds tipped for 2014
Investors will be able to start buying and selling managed funds on the ASX from early next year with the local bourse hopeful that it will receive the regulatory greenlight in the coming weeks.
Voters turn on Abbott as Newspoll puts Labor ahead
The Abbott government’s extraordinary collapse in public support has been confirmed in the latest Newspoll, which puts Labor well ahead at 52-48 per cent on a two-party preferred basis.
Adelaide’s elite put hand out for post-Holden future
South Australia’s political and business elite have all but given up on General Motors Holden staying in Adelaide and are working on a list of demands to help fill the state’s looming economic hole.
Ironbridge joins the IPO race with Healthbridge offer
Ironbridge, a mid-tier private equity firm, looks set to join the rush to the public boards next year with a $500 million plus listing in the offing for its fertility business, Healthbridge.
Investors value taxi app ingogo at $25m
Investment bank UBS and private equity funds have poured $3.4 million into taxi-booking app ingogo, valuing the two-year-old Australian start-up at $25 million as it prepares to list on the ASX.
Triple A rating matters little in the era of more yield
The number of triple A-rated borrowers has dwindled over the years. Nowadays there are just four US companies that have triple A ratings from both Moody’s and Standard & Poor’s.
Early Fortescue backer sets sights on LNG Ltd
Early Fortescue Metals investor Eddie Sugar, founder of EAS Advisors, is backing Perth-based Liquefied Natural Gas Limited, which aims to develop a $2.48 billion LNG plant in Louisiana.
Tech chiefs urge Hockey to tackle share scheme taxes
CEOs from Australia’s technology sector have called on the government to speed up its deliberations on changes to rules governing employee share schemes, saying current policy hampers the sector.
Is Venroy the next Billabong?
From humble beginnings, Sean Venturi and Theo Smallbone have carved out a footprint from Tokyo to New York, where they claim to have spawned a new board short culture.
Woolies, Aldi in Mexican standoff
Woolworths has raised pressure on Aldi to sign the grocery code of conduct, claiming its rivals private label products may infringe on the intellectual property of leading brands.
Japara schedules January meetings ahead of float
Aged care provider Japara Holdings will be pitched as Australia’s version of red-hot Kiwi stocks Ryman Healthcare and Summerset Group, when initial public offering marketing gets under way in the new year.
NAB hires EY’s David Boyle as CIO
NAB has appointed Ernst and Young partner David Boyle as its chief information officer.
Xbox One smashes sales records
Microsoft’s Xbox One has been crowned the fastest-selling video game console to date in Australia.
Mailplus flags possible IPO or sale
First-and-last-mile logistics provider Mailplus has flagged a potential initial public listing or sale to private equity next year.
Are you alpha banker enough for a beard?
Beards can shout power and virility and bankers and traders are a conspicuously clean-shaven lot, but is Goldman Sachs boss Lloyd Blankfein starting a new trend in the industry?
Tablet apps to keep our seniors switched on
If you’re thinking of buying a senior person in your life a tablet for Christmas, here are some apps that will help them be connected.
Entrepreneurs bypass venture capitalists
Tech entrepreneurs frustrated with risk averse Australian venture capitalists are establishing funds of their own.
L1 Capital builds $1bn fund on a face value philosophy
It was on a study tour to Europe that L1 Capital’s founders really learned the value of one more conversation.
More Aussies pay cash for cars, eschewing loans
More Australians will pay cash for their next car than borrow, reflecting a broad trend ever since the financial crisis to keep household debt down.
The wealth effect in education
It is easier for a camel to pass through the eye of a needle than for a rich man to enter the kingdom of God, but the same isn’t true for Harvard University.
Buy a piece of the Opera House online
Australians will be able to own a piece of the Sydney Opera House when the naming rights of tiles of its tallest sail are sold online.
National
Greens warn Coalition on budget cuts
Freed from the shackles of a debt ceiling, the Australian Greens will establish a parliamentary committee to challenge the findings of the federal government’s audit commission and buttress their plans to oppose savings measures.
- Adelaide’s elite put hand out for post-Holden future
- Tech leaders call for speed, ubiquity in NBN rollout
- Barangaroo towers will stun Sydney, says O’Farrell
- Economists back faster action on IR reform
- TPP clause set to be bitter pricing pill
- Woolies, Aldi in Mexican standoff
- General Motors plans to close Holden plants: report
- Jetstar shuts up shop in Darwin
Overhaul of approvals process needed, says Productivity Commission
Australia needs to overhaul its “daunting” approvals system for major projects, which forced a gold mine in Western Australia to obtain 66 separate approvals before it could go ahead, according to a Productivity Commission report.
Opinion
Where Qantas management, board went wrong
There are several factors that have contributed to Qantas’s weakened performance for which Virgin Australia CEO John Borghetti can’t be blamed.
How to prepare for the incoming data privacy law
One of the strangest requests a lawyer gets is “We’re setting up a new business. Do you have a standard privacy policy you can send us?”
Containment may be the best policy to prevent a war
Critics of the agreement with Iran concerning its nuclear program are right about most things but wrong about the most important things. They understand the agreement’s manifest and manifold defects and its probable futility. Crucial components of Iran’s nuclear infrastructure remain.
World
China inflation slows to 3pc in November
Chinese inflation decelerated to 3.0 per cent in November, the National Bureau of Statistics says, well under the government's target for the year.
- German data shows mixed start to quarter
- McDonald's Nov sales miss as US weakness persists
- EADS to cut 5800 European jobs: union
- Massachusetts settles Alpha coal lawsuit for $US265m
- Record cold, ice grip US; snow heads East
- Thai parliament dissolved amid mass protests
- Japan’s economic growth revised down
- US traces JPMorgan’s China-hiring to ‘potential’ business
- Kiev crowd topples Lenin statue in Yanukovich protext
Time for Obama to find courage on trade and move to the front line
By a quirk of history, the 20th anniversary of the North American Free Trade Agreement coincides with a crisis over US healthcare. This time it is about Obamacare’s rocky debut. In 1993, the crisis was over Hillary Clinton’s healthcare plan. When push came to shove, Bill Clinton chose NAFTA – it squeaked through Congress while Hillarycare fell apart.
Business
Jetstar shuts up shop in Darwin
Qantas shares equalled a 12-month low on Monday as the airline closed subsidiary Jetstar’s Darwin base and cut flights from the city. Some Jetstar international routes are also being cut back.
- Taxi app ingogo scores another $3.4m in new funding
- Woolies, Aldi in Mexican standoff
- UBS prepares to sound out bidders for ANZ Terminals
- TPG plan has takeoff after $450m AAPT deal
- Lion to protect cheese business with Warrnambool stake
- Woodside considers onshore Timor option for Sunrise
- Early Fortescue backer sets sights on LNG Ltd
- Pleasing result but Vocation now must ‘deliver on 2014 numbers’
- Mailplus flags possible IPO or sale
What’s behind the QBE disaster?
Insurance is the business of dealing with disasters, and QBE has offered its shareholders plenty. Monday’s profit downgrade – the insurer’s third in two years comes after a hike in claims costs, reduced premium rates and natural disasters forced the company to slash its dividend and cut costs by outsourcing jobs.
Technology
Investors value taxi app ingogo at $25m
Investment bank UBS and private equity funds have poured $3.4 million into taxi-booking app ingogo, valuing the two-year-old Australian start-up at $25 million as it prepares to list on the ASX.
- TPG plan has takeoff after $450m AAPT deal
- NAB hires EY’s David Boyle as CIO
- Aussie tech start-ups disrupt jobs market
- Internet companies demand spying overhaul
- How to prepare for the incoming data privacy law
- Tablet apps to keep our seniors switched on
- ACCC flags crackdown on misleading ‘free’ mobile apps
- Mobile tech to drive faster global advertising growth
- TPG Telecom pays $450m for AAPT
Tech chiefs urge Hockey to tackle share scheme taxes
CEOs from Australia’s technology sector have called on the government to speed up its deliberations on changes to rules governing employee share schemes, saying current policy hampers the sector.
Markets
$A above US91¢, equities rise on global outlook
Before the Bell | Stock markets worldwide are higher after Chinese trade and inflation data boosted optimism about the global economy and the appeal of riskier assets ■ S&P 500 up 0.2pc ■ SPI futures down 3 pts■ $A at US91.01¢.
- China inflation slows to 3pc in November
- ASX service for managed funds tipped for 2014
- Wall St gains on China data, Fed speakers on agenda
- European shares rise as China data underpins growth
- Nickel rises on worries about Indonesia export ban
- Triple A rating matters little in the era of more yield
- Amcor shareholders approve Orora demerger
Local Government Super considering coal ban
On Tuesday, the Local Government Super board will consider a motion to adopt a mandate to prohibit the fund from investing in traditional coal miners and chief investment officer Craig Turnbull is a passionate advocate of the proposal.
Personal finance
Exchange-traded funds offer a broader, cheaper choice
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When Alex Vynokur arrived in Australia from the Ukraine as a 16 year old, he had no idea that 20 years later he would be running a “disruptive” investment business that is challenging the banks’ wealth oligopoly.
- Beware a season of floats ending in regrets
- A little vision goes a long way for Darwin optometrist
- Extended low rates boost market appeal
- Landscaper’s resourceful approach a blooming success
- GFC no handicap for growth in billionaires
- Heads or tails bet on bitcoin
- Festive pressure doubles the heat in housing market
DIY super in-house asset rules here for good reason
Having some idea of the history of do-it-yourself super can be very handy for those wishing to understand the rationale behind some of the often complicated rules.
Lifestyle
The best gadget gifts this Christmas
Take a look at the latest gadgets sure to bring joy to the technology-obsessed this Christmas.
Home is where the designer collaboration is
Fans of art and fashion are loving the trend by big labels to expand into home decor and kitchenware.
The perfect gift for the wine lover in your life
Finding something special for the wine connoisseur in your life just got a little easier.
Gifts for him
Travel | For maximum wow factor and bragging rights, you can’t go wrong with one of these experiences.
Latest TV
Barangaroo ahead of schedule
NSW premier Barry O'Farrell has touted the progress of Sydney's $6 billion Barangaroo development which is ahead of schedule.
Convergence pressures on media companies
In this week's Marketing & Media, convergence pressures could make 2014 an unprecedented year of media consolidation, whilst Seven reaps in more sponsorship.
Nelson Mandela dies
South African president Jacob Zuma has announced Nelson Mandela has "departed", saying the world will never see another leader like him.
Ups and downs of the IPO rush
The recent flurry of IPOs is a good sign for the equity market, though eager investors should beware the impact of rising interest rates.
