Take care if a tax break is your main motive for borrowing
Article Abstract:
Rising interest rates and an unstable stock market are making margin loans a risky prospect for personal tax reduction. With margin lending, investors can borrow between 50% and 70% of the market value of shares; investors must deposit enough cash to make up the difference or "margin." To reduce risk, many investors are setting up margin loan accounts and "drip feeding" into the market, by partially investing in the share market with the remainder of cash going into a management trust.
Publication Name: Business Review Weekly
Subject: Business, general
ISSN: 0727-758X
Year: 1999
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More doubts about super choice
Article Abstract:
The Australian government's deferral of its choice of superannuation fund regime legislation has prompted employers to react in varying manners. Some believe there is no point in planning for a choice-of-fund regime until the legislation is ready to pass the Senate. Other employers have been planning for choice-of-funds or have been seeking advice about how to handle pension fund obligations. Smaller employers have started to implement choice-of-fund even without the legislation.
Publication Name: Business Review Weekly
Subject: Business, general
ISSN: 0727-758X
Year: 1999
User Contributions:
Comment about this article or add new information about this topic:
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