by Kris Sayce on March 4, 2010
You’ll remember this quote we relayed to you from one of Christopher Joye’s recent blogs at Business Spectator:
“There is an investment category out there that you likely have a large chunk of your wealth tied up in. The problem though, is that it is literally 11.6 times riskier than ‘cash’… Australian equities also don’t stack up relative to fixed income investments, such as bank bills and government bonds. I am pretty sure one could also add AAA-rated Australian home loans and A1+ corporate debt to the fixed-income outperformers…”
It was his ‘bombshell’ moment. The ‘revelation’ that investing in shares is a risky game. Thanks for the info!
Shares are risky, but not property. Investing in property and residential mortgages is much safer apparently. In fact, according to Joye’s ‘bookend’ appearance on the SBS show Insight:
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by Kris Sayce on February 23, 2010
We’ll poke a stick at property and inflation today.
Inflation, if mixed with deflation is fine. Prices rise, then prices fall.
But inflation by itself, well, that isn’t good at all. If you look at the chart below, you can see perfectly how the value of money has been devalued almost without break for the last fifty years:
Money devalued by 99.4%
According to the Reserve Bank of Australia (RBA) numbers on Money Aggregates, the M3 money supply has increased from the equivalent of $6.7 billion in 1959 to $1.19 trillion by the end of 2009.
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by Kris Sayce on January 8, 2010
You may have noticed yesterday’s Money Morning was more like Money Afternoon. However, you can be assured that contrary to one of the comments on the Money Morning blog…
“Maybe Chris and his mob have had him arrested for daring to challenge their idiocy?”
…We haven’t been arrested. Although as you’ll see below the property spruikers and cheerleaders aren’t happy with us.
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by Kris Sayce on November 20, 2009
Sometimes your editor just doesn’t know what to do.
Last night as we prepared to grab three litres of low fat milk from the local Ritchie’s IGA supermarket, we wondered whether walking would emit more CO2 than if we drove.
According to the esteemed University of Wikipedia, each human contributes about 1kg of CO2 per day due to breathing.
Or, 365kg of CO2 per year.
By contrast, your editor’s miniscule Hyundai Getz churns out 2,760kgs of CO2 per year.
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by Kris Sayce on November 19, 2009
As you may have noticed, we’ve given the climate change/global warming “tree” a bit of a shake over the last few days.
Given the response, we’ve clearly strayed into dangerous territory. More dangerous perhaps than when we took on the property clowns and their lies about a housing shortage and that property doubles every seven years.
Anyway, many of the comments we’ve received to the Money Morning mailbag have agreed with our view. Others haven’t. Others still have suggested your editor is a “right wing extremist” and a “climate change denier.”
And even that we’ll claim we’ve been abducted by aliens next!
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