It was the most challenging year for investment markets since the GFC. There was a welcome improvement in the last quarter, but with some of the gains given back in December. Importantly, our portfolios have remained resilient during a challenging year and continue to be well placed as we head into 2023.
It’s pleasing that 2023 is off to a strong start as markets see inflation may have peaked and an end to rising interest rates. Only time will tell if this optimism is justified, we are on the cusp of a global recession and the true impact of higher interest rates is yet to be felt. However, this illustrates the market’s willingness to look through the economic cycle and the importance of taking a longer term view to investing.
On the regulatory and tax front, in the video, I discuss the pending increase to the lifetime superannuation transfer balance cap up to $1.9m, and the potential increase to the concessional and non-concession caps. We also hope the legislated tax cuts for FY 24 survive the next Federal Budget in May Budget, which may influence the sale of assets with capital gains or any lump sum payments.
The information provided should not be considered personal financial advice as it is intended to provide general advice only. The content has been prepared without taking into account your personal objectives, financial situations or needs. You should seek personal financial advice before making any financial or investment decisions.