Is this you? As a journalist, you can create a free Muck Rack account to customize your profile, list your contact preferences, and upload a portfolio of your best work.
Claim your profile
Articles by Daniel Pennell
How banks and private markets are redefining credit
Eleanor Dartnall, AFA Adviser of the Year, 2014: "Our clients love your newsletter. Your articles are avidly read by advisers and they learn a great deal." Reader: "Is one of very few places an investor can go and not have product rammed down their throat. Love your work!" Professor Robert Deutsch: "This has got to be the best set of articles on economic and financial matters. Always something worthwhile reading in Firstlinks.
Why economic forecasts are rarely right (but we still need them)
Reader: "Keep it up - the independence is refreshing and is demonstrated by the variety of well credentialed commentators." Eleanor Dartnall, AFA Adviser of the Year, 2014: "Our clients love your newsletter. Your articles are avidly read by advisers and they learn a great deal." Reader: "Congratulations on a great focussed news source. Australia has a dearth of good quality unbiased financial and wealth management news." Reader: "I subscribe to two newsletters. This is my first read of the week.
Firstlinks
Eleanor Dartnall, AFA Adviser of the Year, 2014: "Our clients love your newsletter. Your articles are avidly read by advisers and they learn a great deal." Andrew Buchan, Partner, HLB Mann Judd: "I have told you a thousand times it's the best newsletter." Reader: "Keep it up - the independence is refreshing and is demonstrated by the variety of well credentialed commentators." David Goldschmidt, Chartered Accountant: "I find this a really excellent newsletter. The best I get.
Add banking stress to rising rates and recession may be baked in
Economists have been forecasting a US recession would happen since the Federal Reserve (Fed) started raising interest rates back in March 2022. The federal funds rate has risen almost 500 basis points since last year, as the Fed has aggressively attacked inflation. J. Patrick Bradley, Senior Vice President – Investment Research at Brandywine Global, part of Franklin Templeton says: “On the other side of the coin, there is a sizable contingent who still assert that a soft landing remains possible.
Former RBA Governor's mortgage cliff warning
This is an edited transcript of an interview between Stanford Brown CEO Vincent O'Neill and former RBA Governor and Stanford Brown Investment Committee member Ian Macfarlane. Vincent O'Neill: Do you mind if we start by let us just talk about inflation? Where do you see it now versus where we were 12 months ago? Ian Macfarlane: Well, yes, there has been progress made on inflation. Particularly in the U.S. So it peaked at 9.1% and it's now 4.9%, which is quite a big fall.
Welcome to Firstlinks Edition 510 with weekend update
The Weekend Edition includes a market update plus Morningstar adds links to two additional articles. One of the bigger furphies in the funds industry is that portfolio managers must invest all their personal wealth in their own fund to 'align their interests' with their clients. It is supposed to ensure they work longer hours, turn over more stones, travel the world looking for the best companies and avoid the 'spend more time with the family' syndrome.
Chemist Warehouse founder reveals his success secrets
Jack Gance is a rare entrepreneur who’s created not one but two dominant market leaders from scratch. He built Australia’s leading pharmacy retailer, Chemist Warehouse, after founding and ultimately selling Le Specs, one of the top brands in fragrances, cosmetics, suntan lotion and sunglasses.
Meg on SMSFs: Adjusting to the new tax on super over $3 million
In a monthly column to assist trustees, specialist Meg Heffron explores major issues on managing your SMSF. At the 2023 Federal Budget, the Government recommitted to introducing a new tax on super fund earnings for those with balances above $3 million. While there was a short public consultation period from 31 March to 17 April 2023, I expect the tax will be introduced pretty much as already outlined by Treasury.
Why Aussie bank hybrids are rock solid
In 2008, a combination of Rio Tinto management mistakes and the GFC saw the RIO share price fall from a May 2008 high of $124 to $41. The Chinese sensed an opportunity and lobbed a cheeky bid for some of the assets and a 18% stake at a premium to the market's valuation.
‘Prepare for war’ with hostile markets
An ancient Latin adage advises 'if you want peace, prepare for war'. This is useful advice for current market conditions. This may seem a surprising comment considering the recent performance of global equities. After all, indexes are up, and volatility is down. Never mind that a handful of tech giants like Apple and Microsoft are driving the headline positive numbers while most shares are having a harder time. And there has been good news.
Thinking small to win big
Conventional wisdom suggests that ‘time in the market’ is a less risky strategy than ‘timing the market’. Boom and gloom provide attractive entry and exit points but only if the timing is right. Accurately identifying market peaks and troughs is notoriously difficult. In our experience, gradually allocating more to markets during times of market distress and less when ‘everything is awesome’ is a preferable approach.
Five steps to become a better investor
The sentiments of three-time world Formula One champion, Niki Lauda, live permanently in our minds: “From success, you learn absolutely nothing. From failure and setbacks, conclusions can be drawn.” But what conclusions? What lessons? Indeed, what should even be measured to evaluate success, versus setbacks or failure? Below are five unambiguous truths that will help investors answer these questions: 1. Think in terms of probabilities We humans tend to guess what the future holds.
Why an active fund should not perform like its benchmark
Eric Marais, CFA, is an Investment Specialist at Orbis Investments. He joined Orbis in 2013 and is a member of the institutional client servicing team and part of his role includes conducting investment and economic research. He spoke to Firstlinks from his San Francisco office. The Orbis Global Equity Strategy launched in 1990 and has assets of over $28 billion, of which $13 billion is sourced from Australian institutional and retail investors.
The companies well placed to weather an economic storm
The Australian equity market was almost at an all-time high when the RBA began lifting interest rates a year ago to rein in inflation. While initially falling over 10%, ten hikes and 3.5% later the equity market is once again back near its highs. Such a steep rise in interest rates drives the cost of capital higher for companies and should result in lower valuations for assets such as equities while earnings should be impacted by the resulting slower growth.
Three companies with balance sheet strength and opportunities
Emma Fisher is Portfolio Manager of the Airlie Australian Share Fund. She discusses the Airlie portfolio and highlights companies she currently favours with Jennifer Herbert, Head of Listed Funds at Magellan. JH: CSL is one of the largest positions in the portfolio, and you were recently in Europe at a CSL site visit. What key takeaways from that visit? EF: Over the last five years, CSL has spent nearly US$6 billion on capital expenditures (capex). It was great to see in person what they've built.
Review exposes the blunders of a broken structure
The cornerstone of the Reserve Bank of Australia (RBA) Review is the recommendation that monetary policy powers be taken from the RBA Board and instead be given to a dedicated monetary policy committee staffed mostly by external experts.
Fixed Income Investment Outlook 2Q23
Reader: "Congratulations on a great focussed news source. Australia has a dearth of good quality unbiased financial and wealth management news." Reader: "The BEST in the game because of diversity and not aligned to financial products.
Show More
loading
Actions
Is this you?
As a journalist, you can create a free Muck Rack account to customize your profile, list your contact preferences, and upload a portfolio of your best work.Get in touch with Daniel
Contact Daniel, search articles and posts on X, monitor coverage, and track replies from one place.
Learn more about Muck Rack