Market Commentary

Short Selling

Nothing scares investors quite like a falling share price. Terms like ‘losses’, ‘tanking’, ‘bear market’, ‘downside’ have all been known to strike fear into the hearts of investors, both retail and institutional alike. However, not all investors fear the downturn, in fact, some investors profit from it. Jesse Livermore, one of the greatest investors of

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Life Insurance

Life Insurance Life Insurance is a contract between an insurer and a policyholder wherein the insurer guarantees payment of a benefit to named beneficiaries upon death of the insured. Life insurance has long been a major tool in estate planning. The purpose of life insurance is to provide financial stability to dependents after the death

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Contracts for Difference (CFDs)

What is a CFD? A Contract for Difference (CFD) is a leveraged, derivative financial products. As a derivative product the value of a CFD is derived from the value of the underlying asset. As a leveraged product, a CFD is inherently more risky than regular asset trading, multiplying both the upside potential, as well as

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Strengthening US Dollar

The AUD/USD exchange rate took another hit this week following the announcement from the RBA to keep interest rates steady at 1.5%, which marks the 19th consecutive month that no rate changes have been made. This uneventful May policy decision from the RBA sent the exchange rate even lower, with markets expecting further US interest

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Spilled Milk? Competition Fears See A2M Sold-Off.

There’s a new player launching A2 infant formula products in the Chinese market, which created fear for investors in the A2 Milk Company (ASX:A2M) and Bellamy’s Australia (ASX:BAL). Almost two weeks ago, an article in the New Zealand Herald announced that international consumer staples company Nestle would be launching A2 formula products in China. This

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Global Markets Tumble as Trade War Fears are Heightened

Overnight the American market has seen its worst performance in 6 weeks, and marking the fifth-largest point decline in history. Trump’s unexpected announcement of a trade tariff on $US60bn worth of Chinese imports sent US and global markets into major panic. The Dow Jones Industrial index lost more than 720 points declining 2.9%, the S&P500

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Royal Banking Commission: Is now a good time to Invest in bank shares?

The Royal Commission into Banking has commenced, with the second week of hearings kicking off  in Melbourne, and cases of fraudulence and misconduct continue to be revealed. Share prices for all  the big four banks have declined since the commencement of the hearings, with some trading close to their lowest level in 12 months. This

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Made in the US of A: Trump’s Steel Blockade

The Trump Administration during the beginning of the week from the 12th of March 2018 has officially signed legislation which imposes a 25% tariff on imported steel along with a 10% tariff on foreign aluminium entering the United States. Trump has advocated this legislative policy in line with his isolationist and protectionist America First policy

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Peaky Bonds and Bearish Stocks

The US economy has maintained strong growth with unemployment levels still at a 17 year low measured at 4.1% with real annual GDP growth for the final quarter of FY17 measured at a rate of 2.6%. The performance of the US economy and stock market has resulted in gains for other economies contributing to the

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