Autumn edition SA​

The new-year has started with an air of optimism for the economy, with the first few months avoiding the instability we experienced for much of last year.  With that said, consumers and businesses alike continue to take a cautious approach in anticipation of further bumps over the coming 12-18 months.

In the foreseeable future, we look set for a low interest rate environment as the Reserve Bank of Australia attempts to stimulate more economic activity. While that’s good news for businesses and home-owners, it isn’t so good for investors who face diminishing returns on their deposits.

For this reason, there has been a marked shift by investors back to the share market. During 2012, the ASX 200 index increased by 20% and in many cases, franked dividend yields are now returning more than cash deposits.

Banks continue to take a watchful approach to credit, making it as important as ever to have a strong banking relationship. I encourage you to read the third installment of our series on managing your banking relationship on page.

Once again, we have a newsletter full of useful advice and information. Of particular note is an update on a raft of changes introduced for Self Managed Super Funds (SMSFs), a must read for anyone managing their own super.

The legislative changes for SMSFs are yet another example of the increased regulatory environment that has been implemented around the world since the GFC as Government’s seek to avoid future economic meltdowns. In recent times we’ve seen changes to the various regulatory regimes affecting our firm as well as tax and other reporting requirements.

In recent months, I’ve had the privilege of hearing a number of inspiring speakers who have challenged traditional thinking on business in South Australia.

The first of these was Professor Goran Roos, a former thinker in residence for Adelaide and one of the world’s leading experts on advanced manufacturing. Goran presented to a select group of our manufacturing clients about the global transformation that is taking place in advanced manufacturing.

I was also fortunate to hear from the Chair of South Australia’s Economic Development Board, Raymond Spencer. In his presentation, Raymond re-iterated how important the coming decade is for South Australia and as businesses, it was important that we create and “seize” any opportunity, not wait to “receive” it.

I wish everyone a prosperous 2013 and thank you for your custom and support. We look forward to working with you over the coming 12 months and helping you achieve successful outcomes. 

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