K64 Auxiliary Finance and Insurance Services

Re-think urged on share income tax

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Original article by Joanna Mather
The Australian Financial Review – Page: 11 : 25-Sep-15

Australia’s dividend imputation system is under scrutiny in the wake of BHP Billiton’s proposal to use a payment from its Australian-listed company to fund a dividend payout for British shareholders. This would result in Australian shareholders losing some franking credits. Fidelity Australian Opportunities Fund portfolio manager Kate Howitt says the dividend imputation system should be retained, as shareholders in large companies often use their dividends to invest in smaller and more innovative businesses.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, FIDELITY AUSTRALIAN OPPORTUNITIES FUND, KPMG AUSTRALIA PTY LTD, CORPORATE TAX ASSOCIATION, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

ASX recovers from low to close above 5000

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Original article by Vesna Poljak, Mark Mulligan
The Australian Financial Review – Page: 26 : 25-Sep-15

The Australian sharemarket rebounded on 24 September 2015, with the S&P/ASX 200 adding 73.57 points to close at 5,071. Rio Tinto was 0.6 per cent higher at $A48.30 and Senex Energy advanced 24 per cent to end the session at $A0.155 Wesfarmers rose by 2.5 per cent to finish at $A39.14 and Metcash was up 5.05 per cent at $A1.04

CORPORATES
STANDARD AND POOR’S ASX 200 INDEX, RIO TINTO LIMITED – ASX RIO, SENEX ENERGY LIMITED – ASX SXY, WESFARMERS LIMITED – ASX WES, METCASH LIMITED – ASX MTS, BHP BILLITON LIMITED – ASX BHP, WOOLWORTHS LIMITED – ASX WOW, NORTHERN STAR RESOURCES LIMITED – ASX NST, ILUKA RESOURCES LIMITED – ASX ILU, SYRAH RESOURCES LIMITED – ASX SYR, SANTOS LIMITED – ASX STO, G8 EDUCATION LIMITED – ASX GEM, IG MARKETS LIMITED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, ALDI STORES SUPERMARKETS PTY LTD, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, IGA, RESERVE BANK OF AUSTRALIA, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, WESTERN AUSTRALIA. DEPT OF TREASURY AND FINANCE, STANDARD AND POOR’S ASX ALL ORDINARIES INDEX

Miners savaged as ASX plunges below 5000

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Original article by Vanessa Desloires
The Australian Financial Review – Page: 34 : 24-Sep-15

The Australian sharemarket lost ground on 23 September 2015, with the S&P/ASX 200 shedding 105.4 points to close at 4,998.1. The Commonwealth Bank was down three per cent at $A71.60 and BHP Billiton was 4.4 per cent lower at $A22.80. Telstra eased 0.9 per cent to end the session at $A5.62 and Woolworths fell by 1.7 per cent to finish at $A24.38.

CORPORATES
STANDARD AND POOR’S ASX 200 INDEX, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, BHP BILLITON LIMITED – ASX BHP, TELSTRA CORPORATION LIMITED – ASX TLS, WOOLWORTHS LIMITED – ASX WOW, RIO TINTO LIMITED – ASX RIO, FORTESCUE METALS GROUP LIMITED – ASX FMG, WESTPAC BANKING CORPORATION – ASX WBC, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, LIQUEFIED NATURAL GAS LIMITED – ASX LNG, WESFARMERS LIMITED – ASX WES, NUFARM LIMITED – ASX NUF, IG MARKETS LIMITED, SAXO CAPITAL MARKETS (AUSTRALIA) PTY LTD, FIDELITY AUSTRALIAN OPPORTUNITIES FUND, STANDARD AND POOR’S ASX ALL ORDINARIES INDEX

Dividends seek caring home

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Original article by Vanessa Desloires
The Australian Financial Review – Page: 31 : 23-Sep-15

Australian-listed companies are poised to pay investors some $A18bn worth of dividends. However, UBS Wealth Management’s David Sokulsky says that in the near-term investors may be better off retaining their dividends in cash rather than reinvesting in shares. He says investors should wait until the US Federal Reserve increases the cash rate, as bank stocks may offer value when the central bank finally tightens monetary policy. He also says equity markets may have further downside.

CORPORATES
UBS WEALTH MANAGEMENT AUSTRALIA LIMITED, UNITED STATES. FEDERAL RESERVE BOARD, AMP CAPITAL INVESTORS LIMITED, CREDIT SUISSE (AUSTRALIA) LIMITED, EUROPEAN CENTRAL BANK, SUNCORP GROUP LIMITED – ASX SUN, WOODSIDE PETROLEUM LIMITED – ASX WPL, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA

Get used to lower growth, returns

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Original article by Vanessa Desloires
The Australian Financial Review – Page: 23 : 18-Sep-15

UBS Global Asset Management’s Tracey McNaughton believes that the US Federal Reserve should raise the cash rate in September 2015, but warns that financial markets may experience further volatility in the near-term regardless of its decision. McNaughton also says Australian investors can expect to receive lower returns in the future and should no longer rely on the traditional "set and forget" investment strategy.

CORPORATES
UBS GLOBAL ASSET MANAGEMENT (AUSTRALIA) LIMITED, UNITED STATES. FEDERAL RESERVE BOARD, NIKKO ASSET MANAGEMENT GROUP

New PM a win for retail, media and tech shares

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Original article by Vanessa Desloires
The Australian Financial Review – Page: 31 : 16-Sep-15

David Bassanese of BetaShares expects consumer and business confidence to rise in the near-term under new Prime Minister Malcolm Turnbull. He adds that Turnbull’s success in pursuing economic reform will determine whether a rise in business confidence is sustained. He says stocks in the retail, technology and construction sectors are likely to benefit from the leadership change. ST Wong of Prime Value Management say a Turnbull government may be positive for media stocks in particular.

CORPORATES
BETASHARES CAPITAL LIMITED, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, PRIME VALUE ASSET MANAGEMENT LIMITED, PEAK ASSET MANAGEMENT PTY LTD, IG MARKETS LIMITED, UNITED STATES. FEDERAL RESERVE BOARD, SEVEN WEST MEDIA LIMITED – ASX SWM, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, NEWS CORPORATION – ASX NWS, AUSTRALIAN ETHICAL INVESTMENT LIMITED – ASX AEF, AUSTRALIA. DEPT OF THE ENVIRONMENT

Top sectors for feeding the dividend beast cited

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Original article by Vanessa Desloires
The Australian Financial Review – Page: 27 : 15-Sep-15

Beulah Capital’s Peter Mavromatis does not expect further increases in Australian companies’ dividend payout ratios. He forecasts that companies will instead pursue mergers and acquisitions as investors continue to seek high dividend yields. Mavromatis believes that local and offshore companies will target sectors such as IT, property, transport and logistics. Gerald Moser of Credit Suisse Private Bank suggests that the healthcare and IT sectors are likely to experience more consolidation.

CORPORATES
BEULAH CAPITAL PTY LTD, CREDIT SUISSE (AUSTRALIA) LIMITED, GRAINCORP LIMITED – ASX GNC, TRANSURBAN GROUP LIMITED – ASX TCL, OIL SEARCH LIMITED – ASX OSH, WOODSIDE PETROLEUM LIMITED – ASX WPL, BHP BILLITON LIMITED – ASX BHP, FIDELITY AUSTRALIAN OPPORTUNITIES FUND, 3P LEARNING LIMITED – ASX 3PL, LEARNOSITY PTY LTD

Growth key in tighter IPO environment

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Original article by Joyce Moullakis
The Australian Financial Review – Page: 16 : 11-Sep-15

The Australian Private Equity & Venture Capital Association’s 2015 conference has been told that conditions remain favourable for IPOs, although the market is not as strong as in 2014. Justin Ryan of Quadrant Private Equity says low interest rates will continue to make IPOs attractive to investors. Jeremy Tasker of Macquarie Group says IPO candidates that offer good earnings growth will receive support from fund managers in an environment of slowing economic growth.

CORPORATES
AUSTRALIAN PRIVATE EQUITY AND VENTURE CAPITAL ASSOCIATION LIMITED, QUADRANT PRIVATE EQUITY PTY LTD, MACQUARIE GROUP LIMITED – ASX MQG, AVENTUS RETAIL PROPERTY FUND, GREENSTONE LIMITED, LINK GROUP PTY LTD, PETERS ICE CREAM, PACIFIC EQUITY PARTNERS PTY LTD, MYER HOLDINGS LIMITED – ASX MYR, QANTAS AIRWAYS LIMITED – ASX QAN, KKR AND COMPANY LP, ALLIER CAPITAL PTY LTD, ARCHER CAPITAL PTY LTD, HEALTHE CARE AUSTRALIA PTY LTD

Chinese investors lose $12b with Aussie’s fall

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Original article by Rose Powell
The Australian Financial Review – Page: 27 : 10-Sep-15

Data shows that Chinese investors have injected some $A92.6 billion into the Australian economy over the last three years. However, the Australian dollar’s 34 per cent slump since the end of 2012 is estimated to have reduced the value of Chinese investments in the residential property market and resources groups by 30 per cent. This equates to a monetary loss of $A12bn.

CORPORATES
BASIS POINT CONSULTING, AUSTRALIA. FOREIGN INVESTMENT REVIEW BOARD, STANDARD AND POOR’S ASX ALL RESOURCES INDEX

ASX sheds $32b as China fears deepen

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Original article by Vanessa Desloires
The Australian Financial Review – Page: 28 : 2-Sep-15

The S&P/ASX 200 index fell 2.1 per cent or 110.6 points to 5,096.4 on 1 September 2015. The market lost $A32 billion in capitalisation. Investor sentiment was negatively affected by a fall in China’s official purchasing manager’s index, from 50 in July 2015 to 49.7 in August. BHP Billiton declined 2.1 per cent to $A24.65 and Rio Tinto fell 1.8 per cent to $A49.37.

CORPORATES
RESERVE BANK OF AUSTRALIA, STANDARD AND POOR’S ASX 200 INDEX, BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, WOODSIDE PETROLEUM LIMITED – ASX WPL, AGL ENERGY LIMITED – ASX AGL, SYDNEY AIRPORT – ASX SYD, QANTAS AIRWAYS LIMITED – ASX QAN, SHANGHAI COMPOSITE INDEX, ASX LIMITED – ASX ASX, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, WESTPAC BANKING CORPORATION – ASX WBC, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB