Mercer actuary David Knox says the data used to determine the old age dependency ratio is “totally out of date” and overstates the severity of the problem.
From their inception, SMSFs have always attracted more than their fair share of criticism. Now it’s an ageing membership that’s being used to restrict their numbers.
Inside Investor morning report – carnage continues
The carnage continues…
The precipitous drop in oil prices continued with futures for June delivery falling to just $12 per barrel. The moves place mounting pressure on many global economies from Russia, to Saudi Arabia and even Australia, the worst. However, it may be the US where this will only add to the many millions of jobs lost and billions in capital expenditure cuts. Oil storage group Royal Vopak NV reported that almost all of its space is now sold. Interestingly most oil stocks outperformed, Exxon Mobil -0.53% and Chevron Corp -2.31% compared to the S&P 500 which fell -3.07%.
The oil price weakness may actually be a boon for economies slowing moving out of extended shutdowns, with investors so far unwilling to see it. Tuesday’s falls were the most in three weeks with the global mega-caps including Microsoft (-4.14%) and Apple (-3.09%) giving back recent gains.
European markets fell similarly with the UK’s FTSE 100 down 2.96% and the Eurostoxx -4.06% as investors come to terms with the slow recovery process. On the positive side, Netflix Inc announced double the amount of new subscribers it forecast for the month, improving 15.8m, compared to around 7m expected.
The pain continued in Australia with the S&P 200 falling a further 2.46% to 5,221 points as the gravity of the task ahead began to mount. Sydney Airports not unexpectedly scrapped its interim dividend whilst announcing that management had taken $20% pay cuts with passenger traffic close to a standstill.
Grocery retailer Metcash announced what looks to be an opportunistic capital raising for $330m amid stronger than expected revenue growth, as they seek to capitalise on the environment to acquire up to three new businesses. As expected, Virgin entered voluntary administration with the likes of BGH Capital and Oaktree lining up for an opportunity.
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