Re: So, forum financial gurus...

[skully]

You've said a number of times that the Capital Gain rules on investment properties are ridiculously generous. .

Well that is true. But that doesn't mean you shouldn't be doing it if the rules allow you to though.

You've chucked in my face a couple of times during Pinko v Blues stoushes. Just thought it odd, given your line of work. As you know, I deem you a classic enigma.

But no sweat, it's all good fun.

I don't see it. You don't have to agree with the world to live in it.

In fact, part of the nobility of my line of work is to help exposure the flaws in the system by ruthlessly exploiting them. You can't get more community minded than that.

I respect your opinion to disagree with my opinion, you enigma.

[JGK]

hahhaha...there is a lawyer I know in Sydney who has the most odd hoby I have heard of...which is combing tax law for loopholes and advising the ATO on how to close them

Now, that is the worst kind of evil. What a qunt.

[taipan]

So, Mick, JGK et al, I have a healthy Term Deposit maturing shortly and most institutions are offering a pretty shitty 4.70% to 4.80% for all terms up to 2 years. Investec Bank is currently offering 5.30% for 90 and 180 day terms, and 5.11% for 12 months.

Is this too good to be true, or is this a sound mob in your experiences?

Investec have a good name here.

[Invader Zim]

Your memory is short. That great hero of the people, Paul Keating, abolished negative gearing in the late 80s/early 90s. It absolutely killed the housing investment market and sent rents through the roof due to lack of house building activity. He backflipped very quickly and it has been in place ever since.

Not so. Two studies, one using ABS stats, found that although rents went up in Sydney and Perth, they either fell or remained flat in the other capitals. If negative gearing was to blame then it should have been felt across the whole country.

Indeed if negative gearing was supposed to make housing more affordable it's been a spectacular failure. Housing in this country is almost the most expensive in the world.

Not that any of this stops me claiming back the running costs of my rental property...don't really see why the government would be allowing me to earn tax free money, but I'll take it.

[lardbucket]

You'd better take it.

If the property market collapses and you make a significant capital loss, you won't get a refund.

[Henry]

The stock market might be worth tentatively dipping a toe into again in about six months time. Assuming the EU doesn't just consist of Germany and a few Nordic Countries by then......

Aye Trev. I'm waiting for some signs of stability. There are very few places for the average punter to get a good return at the moment so stocks have to start looking good again soon. It's still far too shaky for me to gamble just yet, so am parking my investment in cash ATM.

Stocks for most European banks (ie Lloyds) are dirt cheap at the moment. Any sign of a stable recovery and their price could shoot up by as much as 50% in a year. You could play safe and invest a moderate amount (say $50,000) and still get a very tidy return. But don't get greedy and hang on to them for too long. Banks being banks, they'll forget the past, go and push the limits again, and we'll be back to 2008.

"Moody’s, a leading international ratings agency, on Thursday night cut its scores for Barclays, Lloyds and Royal Bank of Scotland because of the eurozone crisis."



Oh FFS!

[lardbucket]

LOL

[skully]

So, with the Reserve Bank highly likely to cut official rates by maybe 50 basis points by Christmas, should one look to the All Ords to get a better return on his hard-earned?

TD rates only likely to yield 4.8% at best. If the ASX All Ords can claw back to above 4,600 in coming months then it may be worth a punt.

Financial jocks, any thoughts? Where do you think the AO will be in 6 to 12 months?

All opinions accepted as just that - opinion.

[Big Dog]

So, with the Reserve Bank highly likely to cut official rates by maybe 50 basis points by Christmas, should one look to the All Ords to get a better return on his hard-earned?

TD rates only likely to yield 4.8% at best. If the ASX All Ords can claw back to above 4,600 in coming months then it may be worth a punt.

Financial jocks, any thoughts? Where do you think the AO will be in 6 to 12 months?

All opinions accepted as just that - opinion.

*Dusts off crystal ball*...Bugger!! the batterys flat.

[skully]

Well, that's no help at all.

[bodyline]

So, with the Reserve Bank highly likely to cut official rates by maybe 50 basis points by Christmas, should one look to the All Ords to get a better return on his hard-earned?

TD rates only likely to yield 4.8% at best. If the ASX All Ords can claw back to above 4,600 in coming months then it may be worth a punt.

Financial jocks, any thoughts? Where do you think the AO will be in 6 to 12 months?

All opinions accepted as just that - opinion.

The call to abolish Imputations is getting louder.

[bodyline]

hahhaha...there is a lawyer I know in Sydney who has the most odd hoby I have heard of...which is combing tax law for loopholes and advising the ATO on how to close them

Now, that is the worst kind of evil. What a qunt.

Why would you worry - the ATO's record in the High Court of late is farken atrocious.

[horace]

hahaha...just saw the jgk comment...best of all is that my lawyer mate provides the advice to the ATO on a pro bono basis

[JGK]

hahhaha...there is a lawyer I know in Sydney who has the most odd hoby I have heard of...which is combing tax law for loopholes and advising the ATO on how to close them

Now, that is the worst kind of evil. What a qunt.

Why would you worry - the ATO's record in the High Court of late is farken atrocious.

Aye. And long may it continue, starting with the Mills case.

[JGK]

As to the market skully, I have NFI. My sense is that the recent run is a bit illusory. Nothing has really changed in Europe and the world economy is slowing down if anything.

FWIW - I have been selling various stocks (including gold stocks) over the last couple of weeks.

[Big Dog]

As to the market skully, I have NFI. My sense is that the recent run is a bit illusory. Nothing has really changed in Europe and the world economy is slowing down if anything.

FWIW - I have been selling various stocks (including gold stocks) over the last couple of weeks.

Pretty much what i was trying to say in my own roundabout way.

[skully]

Thanks boys. Obviously from my posting I too have NFI. I guess a safe 4.8% is way better than a shitty loss, and not too much skin lost if the All Ords clawed 5 or 6% forward.

Interesting that there is so much uncertainty, yet the Goose tells us that the Aus Economy is going gangbusters (relative to the RotW).

[JGK]

It is going gangbusters relative to the ROTW.

Most companies on the ASX have exposure to the ROTW.

[skully]

Aye. Hence my reluctance to dive in to shares just yet. Still far too much shit going on in Europe for mine.

[JGK]

Aye. Hence my reluctance to dive in to shares just yet. Still far too much shit going on in Europe for mine.

Wise I think.

[bodyline]

hahhaha...there is a lawyer I know in Sydney who has the most odd hoby I have heard of...which is combing tax law for loopholes and advising the ATO on how to close them

Now, that is the worst kind of evil. What a qunt.

Why would you worry - the ATO's record in the High Court of late is farken atrocious.

Aye. And long may it continue, starting with the Mills case.

PERLS are safe - the FCT is a tosser. The real question is when is Ali Noroozi going to start getting stuck into those guys about the requirement to be a model litigant!

[JGK]

The government doesn't really care so even if Noroozi speaks up it will have little impact. D'Ascenzo just says "we're trying to raise you hundreds of millions of dollars" and they shrug and say "how much do you need?".

The real effect will come from the Courts themselves who are clearly getting the sh1ts with the ATO.

[Henry]

F*ck you Australian dollar.

Iron ore prices dropping, demand from China is dropping, retail and tourism in Australia is in the doldrums, but you, you stubborn little over-valued currency, remain tediously strong.

On what basis??

[Henry]

As to the market skully, I have NFI. My sense is that the recent run is a bit illusory. Nothing has really changed in Europe and the world economy is slowing down if anything.

FWIW - I have been selling various stocks (including gold stocks) over the last couple of weeks.

I think the Aussie and Asian markets in general are destined to go nowhere in the next year or so. Not up, but not down either. I'd be surprised if the AO pushes through 4500 by the end of the year.

Any money to be made on the markets at the moment is by taking a gamble and investing in Europe. The markets in Athens, having been hammered into the ground this last year, have gained by about 30% in the last three months. There's some money to be made with a 'get in/get out' strategy in Greek, Italian, and Spanish markets. The first firm sign of a recovery and the money will come pouring back in.

Otherwise TDs are still the least risky option if you're planning on setting yourself up for a comfortable retirement.

[skully]

F*ck you Australian dollar.

Iron ore prices dropping, demand from China is dropping, retail and tourism in Australia is in the doldrums, but you, you stubborn little over-valued currency, remain tediously strong.

On what basis??

Weakness of the US$ and Euro would seem obvious.

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