What a difference (less than) a couple of years makes. Go back to early 2022 when - sorry for those who are triggered by this - the Reserve Bank's official cash rate was still 0.1%. You couldn't get an at-call bank account that actually paid interest (without onerous terms and conditions) for love nor money. At the time, analysts were throwing around the acronym TINA 'There Is No Alternative' than to be in shares.
Then, everything changed. With a sudden rush, the cash rate started to climb. And climb. And climb.
So - somewhat belatedly - did returns on cash in the bank. Not only that but, as we saw when the banks last reported their earnings, competition is heating up, which - hurts bank margins but is wonderful for depositors and slightly cushions the blow for borrowers.
It's also increasingly led people to wonder whether they need shares as part of their income portfolio. Cash in the bank is about as safe as it gets (at least the proportion that's governmentguaranteed), and if you can get a decent term deposit rate, why bother taking a risk with shares?
この記事は Money Magazine Australia の December/January 2023 版に掲載されています。
7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。
すでに購読者です ? サインイン
この記事は Money Magazine Australia の December/January 2023 版に掲載されています。
7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。
すでに購読者です? サインイン
An outrageous, beautiful monopoly
Telstra's mobile business is a cash machine with few competitors, giving it the highest returns in the world.
Drop the anchor to judge value
Buying and selling decisions should be based on where a stock price is going, not where it has been.
Powering the AI boom
Beyond the software and chipmakers, where will the energy come from?
Get into life
Tucked inside super are products that can protect you from life's inevitable uncertainties.
Paths to home ownership
Taking the road less travelled can sometimes deliver unexpected benefits.
Sold! Quick ways to add value
Small, strategic changes can have a big impact on the look and feel of your home. And get you a better price on auction day.
Money lessons the kids need to know
Your children can learn a lot from your past money mishaps. Here are eight financial conversations I have had with mine.
Property-investing rules: are they likely to change?
The pressure for the government to curb the tax benefits of tax concessions, such as negative gearing and the capital gains tax discount, is unrelenting. Most recently, independent senators David Pocock and Jacqui Lambie proposed five options for paring back investment property tax concessions, with savings to the Federal budget of up to $60 billion over the next decade.
What's love got to do with it?
A rollercoaster of emotions could be driving poor crypto behaviour.
Are we ready to be cash-free?
Saying goodbye to our piggy banks too soon could leave small businesses in the dark when problems arise.
