I hope this newsletter finds you well. Winter is definitely well and truly upon us and I am sure many of our retirees are very grateful for the easing of the internal state borders so they can head to warmer parts and read this newsletter in the sunshine.
It is nearly the end of June and a lot is happening in all aspects of the markets and end of financial year.
Some Important Items to be aware of:
We still believe high levels of volatility will be occurring for a period of time and especially the next 6 months. With the US Federal election in Nov, Trump not caring what the results are from Covid-19, China at odds with numerous nations and the financial impact still to be felt when government funding ends in Sept for many people.
Please have a read through the attached article from Investors Mutual whom many of our clients hold in their portfolio’s.
MLC has sent out marketing information to many regarding Core which promotes an MLC fund cheap on fees, but does not offer any diversification and is not suitable for clients with larger balances than $50 000 as is so limited in its choice. We do not see this as appropriate for our clients. Please disregard this marketing material.
Pension Payments for account based pensions to be adjusted in July
We have spoken to many people in regards to their super pension payments in July. Unless you advise us otherwise, the payments you receive in July will be more than half of what they were this year due to the gov’t allowing the pension reduction by 50 %. This only affects those retired and taking a pension from their super fund. If you want to discuss to see what best suits your needs please contact our office. Many people were happy to have the payments reduced whilst many others wanted to retain the same. The payments can always be adjusted at any time if an increase is needed.
An interesting article from a legal firm is attached highlighting some of the issues we have tried to raise with Government on the paperwork dilemma for our clients.
If you have any questions please get back to our office and in the meantime hope you are all going well and aren’t we lucky to be in a good state in all ways.
Explore WA and travel safe.
The Pennywise Team