Financial Impact of a Death in the Family

September 20th, 2010

A great article highlighting the REAL financial impact on a family after a parental death where there is little or no life insurance.

ING Survey on Financial Impact of a Death in Family

Business Protection Insurance

August 3rd, 2010

The most important asset for a small business is it’s people. They drive the revenue, they manage the staff and most importantly, they hold the relationships that keep the business moving ahead. What would occur if something happened to one of these key people without a viable succession plan?

There may be significant financial hardhship on the remaining business owners, financial stress on the previous owners remaining family, financial loss to the business due to key relationships, as well as the previous owners family now being joint owners of the business whether each party likes it or not.

Most of these issues can be resolved with the right protection and agreements in place. The attached article goes over some of these important issues and key resolutions.

For expert advice on how Bâtir Wealth can help you and your business Enquire Now

Business Protection for Clients

A Period of Unrivalled Global Prosperity

August 2nd, 2010

Herston Economics chief economist Clifford Bennett recently wrote an article explaining ‘we now, with another 12 months under the bridge, are leaning very aggressively toward this indeed being a 15 year economic ‘boom’, a period of unrivalled global prosperity’.

US GDP confirms a stabilizing Q2 as forecast, and we look for improvement henceforth. China’s manufacturing continues to expand. The pace may slow a little, but this is due to the upward acceleration in the base line, rather than any real economic concern. Subsequently all markets, except our “Big Bear US dollar”, look ready to make further significant gains this week, especially resources and the Australian dollar.

US GDP came in at a reasonable 2.4%. We forecast 2.5%. Market consensus was for a gain of 2.6%, with a range of 1% to 4%. So at 2.4% we have confirmation of a growing economy at a reasonable rate, though nothing to write home about. This was a quarter that was bombarded with false and misguided notions of double dip recessions and suggestions of the disintegration of Europe. If you had been reading only the US press, you would have thought Europe was already in the midst of civil war, and the Afghan army was intervening to try to bring peace to Germany and Greece.  No wonder consumers and business were hesitant, and it was a moderate economic quarter, but even under such an onslaught of negativity the US economy still recorded sound growth at 2.4%.

Herston Economics forecasts

US GDP:  2.9% in Q3, and 3.4% in Q4

Euro-zone GDP:  2.0% in Q3, and 2.6% in Q4

China GDP:  10.2% in Q3, and 11.2% in Q4

Global: GDP:  5.0% in Q3, and 5.2% in Q4
Read the rest of this entry »

CPI & RBA to stay on hold

July 28th, 2010

Australian CPI data confirms inflation moderating as forecast. The Reserve Bank is on hold until 2011 Australia’s inflation data has come in at just 0.6% for Q2, which compares with 0.9% for Q1. The through year data comes in at 3.1%, compared with 2.9% at the end of Q1.

For full article Click Here

Clifford Bennett

Chief Economist

Herston Economics

Consumer Sentiment Surges

July 14th, 2010

The Westpac-Melbourne Institute Consumer Sentiment Index rose by 11.1% in July from 101.9 in June to 113.1 in July.

Westpac’s Chief Economist, Bill Evans, commented that even though a bounce back was expected,  “… we were surprised at the vigour of the bounce back. We saw a comparable surge in confidence in 2009 when households realised that Australia had avoided recession but at that time the Index was recovering from a much lower level. This is the strongest monthly increase in the Index from a base above the 100 level since records began in the mid-1970s”.

This reading is the highest level in the consumer sentiement index since April. Even though the market has gone through a period where interest rates have been held steady, they do not appear to have been the most significant driver of the July result.

For the full report click here

Bull Market Ignition & Aus Employment

July 8th, 2010

Herston Markets 080710 We have ignition bull trend and Aus employment

We have ignition on our synchronized bull markets. Equity markets globally are looking very good to begin to price in strong manufacturing and consumer activity.

Australian un-employment drops to 5.1%.

AUD 96 then $1.03 ASXSP200 target 5,200.

Clifford Bennett

Chief Economist

Herston Economics

Rosy Europe

July 6th, 2010

With all the doom and gloom talk about the European area being vulnerable to sovereign debt overhang, the people on the ground there, the real investors, seem to have a far more favourable impression of things.

The German equity market is out-performing the US market

Herston Markets EQ 2 Rosy Europe

Clifford Bennett

Chief Economist

Herston Economics

RBA Interest Rates

July 6th, 2010

There has to be some overhang against the Australian dollar. With the prospect of no change by the RBA today, and an election in play, the buyers are choosing to be patient.

Other currencies, Euro, GBP, Yen, are all nicely consolidating recent gains.

Clifford Bennett

Chief Economist

Herston Economics