Basis Points

Defensive assets are meant to be the boring part of a portfolio. Now, it’s where advisers are making some of their hardest calls.Bonds spent the past few decades earning a reputation as the go-to hedge to equities. Since 2022, that reputation has been tested, with the correlation between the two asset classes flipping to positive territory.So, are bonds broken? Are they still good diversifiers for stocks? Or do advisers need to be looking elsewhere to “diversify their diversifiers”?In this episode, Zenith Investment Partners’ Head of Portfolio Solutions, Andrew Yap, and Head of Alternatives and Global Fixed Income, Rodney Sebire, outline why they believe now is the time for advisers and investors alike to rebuild the defensive portion of their portfolios.They share where they are seeing the most opportunity (across both public and private markets), how they assess managers (and the red flags you can look out for), as well as some of the recent innovations in managed accounts that can help advisers track public and private exposures.Chapters:00:00 Why Bonds Aren’t Broken05:05 Is De-Dollarisation a Threat?07:00 Why Private Credit Boomed11:11 Spotting Private Credit Risks15:44 Private Credit’s “Cockroach” Problem19:00 Navigating Private Asset Structures21:53 Managers That Stand Out24:38 Building the Defensive Portfolio27:43 Why Fixed Interest ExcitesRegister for your ticket to FinFest Industry Day here!———CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.0.5 Total HoursKnowledge Requirements: Managed Investments (0.25 hour), Fixed Interest (0.25 hour)Legislated CPD Area: Technical Competence (0.50 hour)———This episode has been sponsored by Zenith Investment Partners. Zenith Investment Partners is a leading investment research and managed account provider, with a 20-year track record of delivering premium investment research, fund ratings and investment portfolio solutions for financial advisers. https://www.zenithpartners.com.au/———Want more Basis Points?Sign up to the Basis Points emailJoin the conversation on LinkedInWatch all episodes in full and relive some of our favourite clips on YouTube———Basis Points is a product of Equity Mates Media.This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.Equity Mates Media operates under Australian Financial Services Licence 540697.

Stephen Otter, Partners Group’s Global Head of Private Markets Royalties, argues that royalties are uncorrelated to markets, low volatility, an inflation hedge, and generate a predictable yield. So, it’s surprising that most investors still have zero allocation to the asset class - despite royalties being around for a good 600 years.They originated with royal families (as the name suggests), where a payment would be made to a sovereign in return for the granting of mining rights. Today, they cover everything from music, healthcare, film, television, mining, oil and gas, books, theatre, and increasingly YouTube.To be clear, the asset class isn't without risk. Development-stage royalties can return zero if a drug fails approval or a mine never produces. Even established assets can disappoint.In this interview, we dive into the opportunity in royalties today, what advisers get wrong about the asset class, and perhaps the most perplexing question of all - why so few investors have exposure.Chapters:00:00 Introduction01:18 Why Evergreen Fits Royalties03:56 Streaming Transformed Music08:31 Beyond Music Royalties11:41 Energy and Mining Royalties13:42 How Royalties Are Valued17:37 Royalties in Client Portfolios19:07 Understanding Regulatory Risk20:57 When Royalty Investments Go Wrong24:03 Why Invest in Royalties Now27:08 Music’s Untapped Growth📈 Stocks and ETFs Mentioned: Deterra Royalties (ASX: DRR), BHP Group (ASX: BHP)Register for your ticket to FinFest Industry Day here!———CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.0.5 Total HoursKnowledge Requirements: Alternative Assets (0.50 hour)Legislated CPD Area: Technical Competence (0.50 hour)———Want more Basis Points?Sign up to the Basis Points emailJoin the conversation on LinkedInWatch all episodes in full and relive some of our favourite clips on YouTube———Basis Points is a product of Equity Mates Media.This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional. Equity Mates Media operates under Australian Financial Services Licence 540697.

Grant Hackett has now spent more time working in finance than he did in the pool, but he’s still best known for being one of, if not the greatest, distance swimmers Australia has ever produced.Hackett hung up his goggles in 2008 and is now the group CEO of ASX-listed Generation Development Group.In this episode of Basis Points, he takes advisers through the highs and lows of his Olympic career, his early days in business, as well as the significant shifts he believes are coming for the industry.He also shares his views on what some of the Government’s policy changes (super, capital gains tax, negative gearing and trusts) mean for advisers and their clients.Chapters:00:00 Meet Grant Hackett01:47 From Olympic Gold to Finance06:20 Olympic Lessons for Leadership10:44 Inside Generation Development Group13:44 How GDG Finds Growth19:28 The Future of Financial Advice21:05 Investment Bonds and Tax27:04 What Advisors Are Worried About29:32 Life After Olympic Swimming📈 Stocks and ETFs Mentioned:Generation Development Group (ASX: GDG)Apple Inc. (NASDAQ: AAPL)Westpac Banking Corporation (ASX: WBC)Register for your ticket to FinFest Industry Day here!———CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.0.5 Total HoursKnowledge Requirements: Generic Knowledge (0.25 hour), Managed Investments (0.25 hour)Legislated CPD Area: Technical Competence (0.25 hour), General (0.25 hour)———Want more Basis Points?Sign up to the Basis Points emailJoin the conversation on LinkedInWatch all episodes in full and relive some of our favourite clips on YouTube———Basis Points is a product of Equity Mates Media.This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.Equity Mates Media operates under Australian Financial Services Licence 540697.

Will Hamilton has enshrined a simple belief at Hamilton Wealth Partners: Most financial advice practices pay lip service to client experience, yet it makes all the difference in the eyes of clients.In this episode, he shares how HWP differentiates through hyper-personalised service, from capping advisers at 50 clients to running large-scale client events that function more like weddings than seminars.He also gets into the harder conversations, how he manages complex family dynamics, what he screens for when acquiring practices, and the delicate balance of incorporating AI to expand capacity without compromising on service.Finally, he shares his view on markets. Australian equities are at their lowest weighting in the firm's history, and he explains why he thinks the market is overpaying for AI.Chapters:00:00 Introduction01:12 Why Advisers Need Differentiation03:10 Creating Memorable Client Experiences07:29 Events That Drive Growth10:32 Scaling with AI and Acquisitions15:07 Managing Complex Family Wealth19:52 AI, Security, and Advice22:36 Market Outlook and Portfolio Positioning26:44 Chart of the Week & Closing📈 Stocks and ETFs Mentioned:Magnificent 7 - Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT), NVIDIA (NASDAQ: NVDA), Amazon (NASDAQ: AMZN), Alphabet (NASDAQ: GOOGL / GOOG), Meta Platforms (NASDAQ: META), Tesla (NASDAQ: TSLA)Register for your ticket to FinFest Industry Day here!———CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.0.5 Total HoursKnowledge Requirements: Practice Management (0.50 hour)Legislated CPD Area: Client Care & Practice (0.50 hour)———Want more Basis Points?Sign up to the Basis Points emailJoin the conversation on LinkedInWatch all episodes in full and relive some of our favourite clips on YouTube———Basis Points is a product of Equity Mates Media.This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.Equity Mates Media operates under Australian Financial Services Licence 540697.

Advisers’ entire tech stack will collapse in the next two years; that is the bold prediction of Paradino AI Co-Founder and CEO Alex Gassner.He sees the glaring gap between the 15,000 financial advisers in Australia and those 16 million Australian’s who need advice, as being closed in one way only- by purpose-built AI tools.Courtenay Fox, Co-Founder of Fox & Hare Financial, knows this firsthand.After testing around 10 AI tools before narrowing it down, her firm now runs AI across everything from file notes and paraplanning to document review and client communications. No client data goes into any general LLM tool.In this interview, Gassner and Fox outline why purpose-built AI is set to transform the advice industry, how Fox & Hare are already putting it into practice, and what every adviser needs to know about data security, liability and the looming advice gap.Chapters:00:00 AI Will Transform Advice01:23 The Future Advice Tech Stack04:05 How Firms Use AI Today05:17 AI Security and Compliance10:28 Human Oversight Still Matters13:00 Client Trust and Transparency15:32 Data Privacy and AI Models19:59 Can AI Close the Advice Gap?21:20 Practical AI Tips Today24:08 The Future of Financial AdviceRegister for your ticket to FinFest Industry Day here!———CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.0.50 Total HoursKnowledge Requirements: Managed Investments (0.50 hour)Legislated CPD Area: Technical Competence (0.50 hour)———This episode has been sponsored by Paradino AI. Paradino is the AI advice automation platform built specifically for Australian financial advisers. To find out more head to paradino.ai.———Want more Basis Points?Sign up to the Basis Points emailJoin the conversation on LinkedInWatch all episodes in full and relive some of our favourite clips on YouTube———Basis Points is a product of Equity Mates Media.This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.Equity Mates Media operates under Australian Financial Services Licence 540697.

The Hall of Fame fund manager and IML founder, Anton Tagliaferro, has seen enough cycles to know we’re nearing the top.He is convinced we are in a "speculative frenzy" of a bubble.In this episode, he provides his outlook on markets and where he’s seeing value.Chapters:00:00 Introduction01:22 AI Bubble or Déjà Vu?03:54 Why AI May Disappoint07:40 Is Value Investing Dead?10:17 How Anton Invests Personally15:15 Back Into Fund Management16:56 Small Caps and New Fund20:45 Advice for Uncertain Markets23:25 Quant Funds Take Over24:41 Final Market Outlook📈 Stocks and ETFs Mentioned:Brambles (ASX: BXB), Coles Group (ASX: COL), Amcor (NYSE: AMCR), Main Pharma (ASX: MYX), DroneShield (ASX: DRO), WiseTech Global (ASX: WTC)Register for your ticket to FinFest Industry Day here!———CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.0.5 Total HoursKnowledge Requirements: Managed Investments (0.50 hour)Legislated CPD Area: Technical Competence (0.50 hour)———Want more Basis Points?Sign up to the Basis Points emailJoin the conversation on LinkedInWatch all episodes in full and relive some of our favourite clips on YouTube———Basis Points is a product of Equity Mates Media.This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.Equity Mates Media operates under Australian Financial Services Licence 540697.

Do you understand what you're investing in within private credit?Frank Danieli, Managing Director and Head of Global Credit Solutions at MA Financial explains why that is so important.From funds providing better disclosures, to advisers having a clearer understanding of what classifies as “private credit”- Danieli talks through the road ahead for the asset class.Plus, Ally asks for his take on whether we’re in a private credit reckoning.Chapters:00:00 Introduction01:34 Defining Private Credit04:17 Diversification Beats Specialisation07:47 Why Close A Fund?10:31 Biggest Credit Opportunities14:56 The Quality Concentration Trap18:46 Due Diligence Red Flags20:27 Questions Every Adviser Should Ask21:36 Alternatives In PortfoliosRegister for your ticket to FinFest Industry Day here!———CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.0.50 Total HoursKnowledge Requirements: Fixed Interest (0.25 hour), Managed Investments (0.50 hour)Legislated CPD Area: Technical Competence (0.50 hour)———This episode has been sponsored by MA Financial. To learn more about MA Financial’s listed and unlisted private credit strategies, visit MAFinancial.com. Thanks to MA Financial for helping us keep all our content free.———Want more Basis Points?Sign up to the Basis Points emailJoin the conversation on LinkedInWatch all episodes in full and relive some of our favourite clips on YouTube———-Basis Points is a product of Equity Mates Media.This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.Equity Mates Media operates under Australian Financial Services Licence 540697.

What will be the biggest risks and opportunities in markets over the next decade?While nobody has a crystal ball, Capital Group’s Investment Director Matt Reynolds joins the show to discuss the four structural shifts he believes will have the biggest impact on the decade to come.Plus, he explains the biggest mistake advisers are making with “diversified” portfolios.Chapters:00:00 Introduction01:40 Shift One AI Opportunity05:13 AI Bubble Or Earnings Boom08:52 Shift Two Rewiring Globalization10:23 Industrial Winners Emerging13:59 Shift Three Consumers Want Experiences19:07 Shift Four Healthcare Innovation24:05 The Diversification Mistake📈 Stocks and ETFs Mentioned:Taiwan Semiconductor Manufacturing Company (NYSE: TSM)Broadcom (NASDAQ: AVGO)Register for your ticket to FinFest Industry Day here!———CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.0.50 Total HoursKnowledge Requirements: Managed Investments (0.50 hour)Legislated CPD Area: Technical Competence (0.50 hour)———This episode has been sponsored by Capital Group. To find out more about Capital Group and their funds, head to their website: https://www.capitalgroup.com/intermediaries/au/en/Thanks to Capital Group for supporting this episode of Basis Points and helping to keep our content free.Disclaimer: Past results are not a guarantee of future results. This information has been provided solely for informational purposes and is not an offer, or solicitation of an offer, or a recommendation to buy or sell any security or instrument listed herein. Statements attributed to an individual represent the opinions of that individual as of the date published and do not necessarily reflect the opinions of Capital Group or its affiliates. The information provided is not intended to be comprehensive or to provide advice.———Want more Basis Points?Sign up to the Basis Points emailJoin the conversation on LinkedInWatch all episodes in full and relive some of our favourite clips on YouTube———Basis Points is a product of Equity Mates Media.This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.Equity Mates Media operates under Australian Financial Services Licence 540697.

What if the strategy that built your clients' wealth is the same one quietly destroying it in retirement?A new report from Milford; When Timing Becomes the Biggest Risk in Retirement, suggests that retirement fundamentally changes the maths of investing- including Dollar Cost Averaging.Ally sits down with Regan van Berlo, Australian Country Manager at Milford, to hear how the report affects the way advisers prepare their clients for retirement.Chapters:00:00:00 Why Retirement Changes Portfolio Construction03:38 Advising Clients 15 to 20 Years Earlier00:07:04 Managing Sequencing Risk and Drawdowns00:10:15 Choosing Better Retirement Portfolio Metrics00:12:25 Building Retirement Portfolios That Last00:18:02 Practical Advice for Retirement Conversations———CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.0.25 Total HoursKnowledge Requirements: Retirement (0.25 hour)Legislated CPD Area: Technical Competence (0.25 hour)———This episode has been sponsored by Milford. Visit Milford’s website to find out more about their funds and download their latest Orange Paper ‘When timing becomes the biggest risk in retirement’ here. Thanks to Milford for helping us keep our content free.https://milfordasset.com.au/orange-paper-when-timing-becomes-the-biggest-risk-in-retirement/———Want more Basis Points?Sign up to the Basis Points emailJoin the conversation on LinkedInWatch all episodes in full and relive some of our favourite clips on YouTube———Basis Points is a product of Equity Mates Media.This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.Equity Mates Media operates under Australian Financial Services Licence 540697.