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Diversify, diversify

Source:DFA Australia Ltd

This slide illustrates the importance of diversifying across asset classes. The patchwork table shows from top to bottom the highest returning asset classes each year. The second table shows which asset class each colour represents.
There is no real pattern in the best performing asset classes from year to year. For instance, in the year 2011 Australian Small was the best performer, but one year later it was the worst.
Even within one broad asset class such as Australian equities, the sub asset classes – large, value and small – behave differently from year to year as you can see from the second table.
What’s more, it is not just about picking the best asset class from year to year, but about timing your moves in and out of the best performers. That is an awful lot of decisions to get right.
The only way for an investor to ensure exposure to the highest performing asset classes each year is to incorporate all of them into a portfolio.

I would like to confirm that Garry Hughes has been my accountant for some years now and I can honestly say that I would not consider changing accountants under any circumstances. I am a USA Citizen having retired to New Zealand, therefore I require both a USA tax return completed every year as required by Congressional law and a New Zealand tax return completed every year as required by New Zealand tax law. Obviously this becomes quite a professional understanding by Garry as to what must be reported by each country and the dead lines for reporting and paying. Garry Hughes always performs a totally professional task and I have to say that I have not run into any problems with the work Garry does. I would not consider another accountant.
W. Bruce Johnson

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Introduction of Best Start

Posted on July 5, 2018 by BDS Hughes

From 1 July 2018, eligible parents who have a baby born on or after 1 July 2018 will receive a Best Start payment of $60 per child. Eligible individuals will receive $60 a week until the baby turns one regardless of household income. For those with a household income of less than $79,000, you will receive $60 a week until the child turns three. The eligibility requirements are as follows: – You must be the principal caregiver of the child – You must be a New Zealand resident or citizen and have been in New Zealand for a continuous period […]

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