Wattle Partners,
In The News.
Welcome to the final episode of the Passive Income Series with Director, Drew Meredith and Owen Raszkiewicz from Rask Australia!💰
In this episode on The Australian Investors Podcast, Drew and Owen answers a range of questions about passive income, some including "how to invest on behalf of children" and "Is the BetaShares YMAX ETF a good investment for income".
A $1 million portfolio, how this CFP invests for income | Passive Income [4/5]
In this episode on The Australian Investors Podcast, Drew and Owen walk through a full case study of a fictitious Australian couple, Ralph & Jane, looking to generate passive income from a diversified portfolio.
The result: Drew predicts this couple could retire on a generous yearly income if they can get to $1.2 – $1.6 million of investable assets before retirement.
Listen or watch the full podcast here
10 investing mistakes (you need to avoid) | Passive Income [3/5]
In this episode, Owen and Drew share their 10 biggest investing mistakes when investors go in search of income from a diversified portfolio.
Listen or watch the full podcast here
Bond funds, term deposits & defensive alternatives | Passive Income [2/5]
Welcome to episode 2 of the Passive Income Series with Director, Drew Meredith and Owen Raszkiewicz from Rask Australia!💰
In this episode on The Australian Investors Podcast, Drew and Owen make the case for bonds, why owning term deposits works and explore the world of “alternative defensive” assets.
Dividend income, diversification & growth alts. | Passive Income [1/5]
Welcome to the Passive Income Series with Director, Drew Meredith and Owen Raszkiewicz from Rask Australia!
In episode 1 of 5 of the passive income series on The Australian Investors Podcast, Drew and Owen discuss how to build a diversified portfolio from scratch, as well as whether a 4% portfolio income yield is still achievable and more.
Australia’s top 5 Australian Shares ETFs: VAS, A200 & more
Director Drew Meredith recently joined Owen Raszkiewicz from Rask Australia in The Australian Investors Podcast.
In this episode Drew and Owen talk about the most popular ETFs for Australian shares including ETFs from BetaShares, Vanguard Australia, State Street SPDR ETFs and VanEck Australia.
Listen or watch the episode here
How to analyse a fund manager
2 February 2022
In a recent episode of The Australian Investors Podcast, Director Drew Meredith joined Owen Raszkiewicz from Rask Australia to chat about ‘How to analyse any fund manager’.
Using Drew’s experience as a financial adviser and Owen’s experience interviewing fund managers and time spent being a fund analyst, the duo breaks down what it takes to analyse a fund manager before investing.
Stocks to watch
29 January 2022
Director Drew Meredith once again joined Owen Raszkiewicz from Rask Australia on The Australian Investors podcast.
In this episode, the duo take a good look at four investments on the ASX to watch like a hawk, including Smartpay Australia Holdings Ltd, Magellan Financial Group Ltd, VanEck Australia MSCI International Quality ETF and ETF Securities AU Morningstar Global Technology ETF.
How to build an inflation proof ASX portfolio
26 Jan 2022
Director Drew Meredith joined Owen Raszkiewicz from Rask Australia on The Australian Investors podcast.
In this episode, they walk you through what it takes to build an inflation-resistant portfolio.
Experts warn retirees to plan for higher inflation
22 Dec 2021
Financial advisers are recommending retirees adopt investments that protect against inflation as rising living costs put pressure on the budgets of Australians least able to counter the falling value of money.
Rising inflation hits retirees harder than younger investors because they lack the time and income streams to offset it. Retirees are less likely to have a wage or salary that rises with inflation.
The future of advice is institutional grade
20 Dec 2021
Short-term returns are rewarded with capital flows, and with client pressure mounting on sectors like cryptocurrency, there are many reasons to throw away a long-term, cautious investment approach and do what’s easy, sell everything and go to cash.
However, if an advisory firm’s mandate, like ours, dictates guiding those nearing or in retirement to deliver sustainable, consistent, and strong income and growth, then doing so is becoming increasingly difficult.
Big bank profit margin tipped to widen alongside higher rates
25 Oct 2021
Bond yields are rising across the globe as inflationary fears balloon. While this might be bad news for bond prices and equities sensitive to inflation, it could be news good news for Australia's big banks as rising yields have historically widened interest rate margins and pushed up profits.
Drew Meredith, director and adviser at Wattle Partners agrees, saying higher bond rates typically afford banks a greater opportunity to increase their net interest margins (NIM), which are sitting near all-time lows.
Investment landscape still attractive
18 Oct 2021
Despite a growing list of concerns, the current market environment is better than many think thanks to ongoing support from central banks and governments, according to Wattle Partners.
Drew Meredith, the firm’s director, cautioned investors against succumbing to the so called “wall of worry", a term describing that often stopped investors from putting capital into the market.
How expert financial planners would manage a $2.3 million retirement
14 Oct 2021
Drew Meredith and Jamie Nemtsas, certified financial planners from Wattle Partners, join Owen Rask on The Australian Investors Podcast to walk us through how they would manage the $2.3 million retirement portfolio of a fictitious couple, Fiona and Craig.
This episode is filled with great insights around portfolio construction, investment planning, investment property, retirement strategy, risk profiling, lifestyle goal setting, investment returns and more.
SMSF trustees avoid retirement income mandate
Oct 04 2021
Draft legislation for the impending ‘Retirement Income Covenant’ was released this week, with SMSF trustees no doubt breathing a sigh of relief after being exempt from the new law. The change in legislation will require all APRA-regulated funds, specifically industry and corporate super plans, to develop and implement a retirement income strategy for those who are retired or nearing retirement.
Quality assets provide the best insurance
12 Aug 2021
With fears of rising inflation spooking investors, it is timely to consider which equity investments can best protect against inflation’s corrosive impact.
Drew Meredith, managing director at financial planning firm Wattle Partners, favours the quality factor though all economic scenarios, including inflationary periods. ‘‘The inflation risk, in our view, is overstated, but regardless, it will drive markets in the short to medium term,’’
What is a cash management account and how do they work?
22 Feb 2021
New to investing, or simply trying to streamline your finances and investment reporting? A cash management account may be one option to consider.
Cash management accounts, or CMAs, are a popular account choice for DIY investors ranging from the inexperienced, to those running their own self-managed super funds (SMSF). So, why are they popular, and what do they have to offer?
Read full article by Director Drew Meredith in collaboration with Canstar.
Why Telstra's latest dividend isn't as odd as it seems
12 Feb 2021
Telstra maintaining its 8 cent dividend has been framed as odd due to the falling revenue the dividend accompanies, but experts have a different take.
On its face, you can understand why a maintained dividend and falling revenue may seem like an odd couple. Dividends can be barometer for a company's health, a spoil of success rewarded to investors who back the horse.
Take my advice: AMP, industry complexity spark calls for a reboot
31 Aug 2020
Drew Meredith, director and adviser at Wattle Partners, agrees. He concedes conflicts of interest are endemic among most of the larger players in the Australian financial advice industry, by virtue of the fact they run in-house products and employ advisers to advise on them.
However, Meredith says this is not the case for the bulk of independent advisers. Additionally, he says any merger between IOOF and MLC is unlikely to change this landscape of conflicts.
How much risk can you handle?
Jul 06, 2020
Given the volatility, investors need to be more mindful than ever of how much risk they can tolerate within their portfolio. This includes deciding how much to invest across risk assets such as shares and property, and how much in lower-risk cash, says Drew Meredith, managing director at financial planning firm Wattle Partners.
“Having now experienced both the Global Financial Crisis and COVID-19 meltdown, I know firsthand that clients and our team were far more prepared for the volatility than before,” Meredith says.
Two years of digital transformation in two months”: How an operations overhaul could help businesses rebound
Jun 25, 2020
As a business owner myself, I’ve found the COVID-19 shutdown to be an incredibly useful time to not only prepare our business for the new financial year, but for the next decade. There is nothing like being inundated with client requests, new business, and typical administration matters — while juggling family life — to bring the need for change to a head.
In those long days working from the home office it became apparent to me, as I am sure it did for many business owners, that there had to be a better way.
Will Chinese investments disappear from Australia?
Jun 15, 2020
“There are limited assets that fall into these sectors that remain on the ASX, many are already held by overseas investors, domestic-offshore consortiums or our own industry super funds like Australian Super or IFM investors.
“In terms of the focus on China, whilst these acquisitions get the most attention … it is actually Japanese and US companies that seem to have been the most acquisitive,” says Meredith.
“If anything, the announcement is likely to be a negative for the valuation of existing unlisted infrastructure, port and distribution network owners, as the major overseas buyers like Chinese state operated enterprises sovereign funds will be subject to more scrutiny.”
Investors hot in pursuit of ETFs
May 28, 2020
Frankly, there is a lot of hype surrounding exchange traded funds, or ETFs, says independent financial planner Drew Meredith.
But much of the exuberance is justified, he quickly adds.
"ETFs are extremely useful, particularly during periods of heightened volatility," says Meredith, a director with independent, fee-for-service financial planning firm Wattle Partners in Melbourne.
For one thing, ETFs are easily executable, which proved valuable when COVID-19 hit global markets hard and fast in February.
Capital issues deliver solid performances
May 25, 2020
Drew Meredith, director and adviser at Wattle Partners, says there have been some surprisingly good results, especially for companies struggling the most with the coronavirus pandemic.
“Interestingly, it has been those businesses that were relying on a successful capital raising just to survive that have recovered most strongly. Webjet (ASX: WBJ) and Ooh! Media (ASX: OML) are both up over 100 per cent and Flight Centre (ASX: FLT) is around 49 per cent [as at May 22],” said Meredith.
What every beginner needs to know about picking stocks
May 21, 2020
Now more than ever, value and price are moving in opposite directions. The back end of March clearly showed "an asset's price can diverge from its value and remain that way for an extended period of time," says Drew Meredith from Wattle Partners.
"At present, this is occurring across nearly all asset classes from bonds to equities and commodities. They may not be solely focused around valuing a company, but more so around determining the 'investability' of a company."
Value investing isn't for the faint hearted.
Australian banks run risk of retiree mutiny with dividend cuts
May 13, 2020
“High income is generally more risky and ‘sustainable growth’ looks less so at the moment, if you think in terms of total return,” says Jamie Nemtsas, director at financial advisory firm Wattle Partners. “You might be looking at a regional building company in New South Wales that has got a strong dividend on paper, but it’s going to be far better to hold something like Google that has got a massive audience, low cost of capital, great balance sheet – and you’re sacrificing some kind of regular income for a very, very strong company.”
Does 'sell in May and go away' hold true during the coronavirus crisis?
May 13, 2020
"There are too many unanswered questions with regard to COVID-19 which will likely continue to be the driver of market expectations, ahead of seasonal factors."
Investing is rarely an all or nothing situation, so rather than 'sell and go away', you may be better served by refining your portfolio.
"I would be further cleaning up portfolios in May, rather than selling out completely," says Drew Meredith from Wattle Partners.
Bonds income strategies harder to justify
May 5, 2020
Typical income strategies based on bonds became harder to justify as interest rates ground lower in the 2010s in the wake of the global financial crisis and income-seeking investors are effectively forced up the risk curve, toward corporate bonds, high-yield bonds, cash-generating real asset investments, and the share market.
What is more, according to experts, Angela Ashton, founder and director of managed account provider Evergreen Consultants, and Jamie Nemtsas, director at independent financial advisory firm Wattle Partners, the income aspect of share dividends – turbo-charged by Australia’s dividend imputation system – became a major attraction, with effective yields in the 6%–8% range readily available.
Protecting assets for the long term is the goal
April 30, 2020
Drew Meredith, director and adviser at Wattle Partners, says investors should keep cash available to take advantage of market volatility and falls in share prices of companies and other quality assets.
“The greatest opportunities arise when markets are volatile, but investors must focus on the earnings growth and earnings sources, rather than short-term price movements and valuations,” says Meredith.
ETF Securities Partner Series: Dividend cuts and COVID-19, what it means for income?
29th April, 2020
Kanish Chugh speaks with Jamie Nemtsas from Wattle Partners and Angela Ashton from Evergreen Consultants to discuss: how COVID-19 will impact dividends and yield focused ETFs and where people can look for yield in a post COVID world.
Caution urged on corona capital raising
April 18, 2020
Drew Meredith, director and adviser at Wattle Partners, is generally sceptical about rights issues, as they are often heavily tilted towards investment banks, institutions and broking houses and their clients.
“But it’s not often that the ‘world is on sale’ like this and there is no doubt some high quality businesses in need of capital for a short period of time," he says.
Why your dividends from the big four banks are under threat
April 9, 2020
Drew Meredith from Wattle Partners believes the APRA announcement is symptomatic of a trend already in motion.
"Banks are among the most well-capitalised in the world. Payout ratios were 95% in some cases, so dividends were bound to come down."
The downgrade from Fitch is also likely to have less impact than investors may think.
Covid-19 Crisis: Implications for advisers as industry super funds disappoint members
April 6, 2020
Would this be considered a bailout? Or the government underwriting industry funds?
Our business has seen a lot of potential and existing clients switch to industry funds in the past few years and so I’d go so far as saying they have been our biggest competitor. Yet, how do you compete on a playing field that isn’t level?
Using digital tools to solve a financial advice crisis
April 3, 2020
As you tackle the headaches caused by COVID-19 quarantine and attempt to find new ways to add value to clients online, there are some very simple tricks and tools you can use to craft your marketing funnel and online workflow.
Your website’s home page should have a contact form or at least a very clear email/newsletter subscription form. This is where your transition begins. It’s also where your client starts his or her journey. First impressions count.
Why hedging makes sense
April 2, 2020
Local currency could gravitate higher over the remainder of the year. This means currency hedging makes sense for offshore investments, says Drew Meredith, managing director at financial planning firm Wattle Partners
“Once the Australian dollar moved under US60 cents, we engaged with every client to switch to hedged wherever possible. The dollar is now below historical averages and represents potential risk to those investing overseas,” says Meredith.
Covid-19 Crisis a rude awakening for industry super
March 24, 2020
Wattle Partners partner Drew Meredith told ifa that with dramatic falls already seen in some of Australia’s largest industry funds as the share market slumped over the past weeks, the government’s recently announced initiative to widen eligibility for early access to super was likely to cause further declines in industry fund performance.
Seeking income through infrastructure. This episode we are joined by Nick Langley from ClearBridge Invesments (Authorised Representative of Franklin Templeton Australia Ltd).
Income diversification through property. Rob Morrison and Sophie Monsour from Barwon Investment Partners discusses the growing importance of both income and capital diversification when building portfolios for retirement.
SMSF Deep Dive. Mark Smith from NEO Super shares his insights into recent trends in SMSFs, the reasons behind the growing popularity of the option and the explosion in technology making their administration lower cost than ever.
Evolution of Global Commercial Real Estate. Simon Redman of Invesco's Global Real Estate team focused on the evolution of property, seeking to understand its growing importance in the way we work, live and do business.
Investing in Asia. Qiao Ma from Cooper Investors discusses the unique cultural differences required to understand the Asian Markets.
Retirement Income Alternatives. Andrew Lockhart from Metrics Credit Partners discusses the events of 2020 and their impact on dividends.
MMT and the Economy. Professor William Mitchell from the University of Newcastle talks about the evolution of economic policy, Modern Monetary Theory, and the implications for retirees.
Income Plus Growth = Total Return. Dushko Bajic from First Sentier discusses the importance of both income and growth in measuring retirement outcomes.
Talk of the death of retail has been overstated. Despite the headlines, online sales remain less than 10% of the total. In this session, we speak with David Wanis of Longwave Capital, to discuss the evolution of retail in a digital world.
Big data, cloud computing, artificial intelligence and automation. All are central to the digitisation trend but what do they have in common? They all rely upon and leverage the ‘cloud’. In this session, Jamie and Drew catch up with Portfolio Manager at Firetrail Investments, Matt Fist to discuss the integral importance of the cloud and its impact on the future of the economy.
Extraordinary times call for extraordinary measures. In this session with Chris Joye of Coolabah Capital we discuss the evolving nature of monetary and fiscal policy in Australia whilst seeking to understand what’s driving property prices.
With technology set to be the next battleground between the US and China, Jamie and Drew catch up with Chief Investment Officer at Munro Partners, Nick Griffin to discuss the integral importance of high performance computing and semi-conductors in the future of the global economy.
For season two of our Market Thinkers series, we focus on identifying and understanding the most powerful, demographic, societal and technological themes occurring the global economy right now. This session, with Francyne Mu, Portfolio Manager of the award winning Franklin Global Growth Fund, covers the fast evolving e-commerce space. We cover everything from the recent growth in e-commerce sales, global penetration and those sectors and companies set to benefit most.
For season two of our Market Thinkers series, we focus on identifying and understanding the most powerful, demographic, societal and technological themes occurring the global economy right now. This session, with Tobias Bucks and Simon Wood, co-managers of the Ausbil Global Small Cap Fund covers the incredible opportunities emerging in the cleaner and renewable energy sector. We cover everything from batteries to solar panels, converters and the businesses funding the green economy.
In the fifteenth session of our Market Thinkers series, Wattle Partners speak with Andrew Canobi, Director Australia Fixed Income at Franklin Templeton and co-lead Portfolio Manager of the Franklin Absolute Return Bond Fund, to bring you 'Bond Rates & Inflation'.
Andrew has over 20 years' industry experience in fixed income portfolio management, including macro strategy formulation, credit research, and portfolio construction.
With digital assets and the blockchain space gaining wider adoption and greater institutional interest, Jamie and Drew catch up with Chief Investment Officer, Henrik Andersson of Apollo Capital to discuss 'Crypto & Digital Assets' in the fourteenth session of our Market Thinkers series.
In the thirteenth (and first for 2021) session of the 'Market Thinkers' series, Wattle Partners have partnered with Antipodes Partners to bring you 'The Asian Middle Class', with guest speaker, Portfolio Manger, Sunny Bangia.
In the twelfth in our series of 'Market Thinkers' Wattle Partners have partnered with Platinum Asset Management, to bring you 'The Future is East–Why Asia will be the growth driver of the global economy', with guest speaker, Dr Joseph Lai.
In the eleventh in our series of 'Market Thinkers' Wattle Partners have partnered with Franklin Templeton, to bring you 'Unearthing the Next Amazon', with guest speaker, Don Huber.
In the eighth session of the 'Market Thinkers' series, Chad Hitzeman from ETF Securities discusses with Jamie Nemtsas and Drew Meredith from Wattle Partners the topic of: "Gold - More Than Just an Inflation Hedge".
In the seventh session of the 'Market Thinkers' series, Christopher Joye, Chief Investment Officer and Portfolio Manager of Coolabah Capital Investments discusses with Jamie Nemtsas and Drew Meredith from Wattle Partners the topic of: "Pandemics, Money Printing and Property Prices."
In the sixth session of the 'Market Thinkers' series, Nick Griffin, founding Partner and the Chief Investment Officer of Munro Partners discusses with Jamie Nemtsas and Drew Meredith from Wattle Partners the topic of: "The Digitisation Theme is Just the Beginning."
Middle America: The New Emerging Market? Growth Opportunities in Global Small Caps. Tobias Bucks & Simon Wood from Ausbil Investment Management discuss this topic with Jamie Nemtsas and Drew Meredith.
‘Why Fixed Income Doesn't Have to be Fixed Loss’, Andrew Canobi from Franklin Templeton talks to Jamie Nemtsas and Drew Meredith from Wattle Partners.
‘Why Private Markets are Poised to Outperform’, Cameron Brownjohn from Federation Asset Management discusses with Jamie Nemtsas and Drew Meredith from Wattle Partners.
‘Has COVID-19 Paved the Way for a More Sustainable Future?’, Tom King from Nanuk Asset Management discusses with Jamie Nemtsas and Drew Meredith from Wattle Partners.
‘Infrastructure 2.0 - the Assets Supporting the New Economy’. Gerald Stack from Magellan Financial Group talks to Jamie Nemtsas and Drew Meredith from Wattle Partners.