MIM Insight

Term deposits - still creating interest?

Market volatility since the Global Financial Crisis has seen investors seeking refuge in bank deposits, prioritising investment certainty through a renewed focus on capital preservation and attractive Term Deposit (TD) rates. However, with the RBA reducing cash rates, TD rates have been coming down and are likely to continue to fall. In this article we address concerns over the likely direction of TD rates and consider alternative investment options for those investors who seek to preserve capital and generate a return above the cash rate.

US shale gas: a good news pipeline

Significant technological advances have enabled a surge in investment in the production of shale gas, in what is widely acknowledged as the most noteworthy energy development in the United States in a generation. As a result, listed infrastructure investors can identify attractive opportunities, particularly in pipeline and related infrastructure names.

Lifting the lid on hybrid securities

The recent resurgence of the issuance of hybrid securities is providing further investment opportunities for those investors seeking ‘income-based’ securities. As with any investment opportunity, investors need to exercise caution and conduct rigorous analysis. Investors should be aware that hybrids are not homogenous securities but are structured differently, each with their own terms and conditions. This article highlights some considerations for assessing the relative merits of a particular hybrid.

The Great Underfunding

Many Australians have the potential for a nasty surprise in retirement if they are unaware that their superannuation is underfunded. While Australian Superannuation has great advantages over many other countries through the Superannuation Guarantee Legislation, this article discusses some of the shortfalls in superannuation, along with some suggestions to avoid disappointment and regret.

The shift to income

With the financial world likely to continue to be dominated by global deleveraging, the capital gains investors became accustomed to prior to the Global Financial Crisis will be more difficult to achieve. This is likely to lead investors to seek more stable and income producing investments. Additionally, an aging population will likely lead to increased demand for income generating assets. The combination of these two structural themes has resulted in what we have termed "the shift to income".

Consumption - Investing in Asia’s next phase of growth

Asia presents fantastic long-term investment opportunities for those willing to do the work on the ground. Underpinning Asia's long-term growth is consumption; a sustainable structural trend that when combined with a large, relatively inefficient small to mid-cap market, presents us with a compelling investment opportunity.

Income investing: opportunities in a world where deleveraging rolls on

Our fixed income product specialists look at global deleveraging and how this presents compelling opportunities for fixed income investors to receive elevated income levels on credit investments.