28/10/2009

We hope you enjoy this month's Good News Stories.

 

RECOVERING ECONOMY RESTORES SUPER LOSSES, CLIMBING TO 2006 LEVELS

 

Recent research conducted by SuperRatings shows that the value of Superannuation funds has regained its momentum for seven months in a row, bringing it back up to 2006 levels.

"Perhaps the most realistic perspective is that despite the whole global financial crisis, the average Australian superannuant in a balanced option is now sitting in exactly the same spot as they sat three years ago from an investment point of view, "said Jeff Bresnahan, managing director of SuperRatings.

 

The strengthening Aussie dollar is having a negative effect on the value of investment, with increases in earnings measured in overseas currencies.  ''While share markets around the world have been rising strongly, most super fund members haven't picked up the full benefit because earnings measured in overseas currencies - especially the US dollar - are worth less when converted into Australian dollars'' said Chant West’s principal Warren Chant.

 

JOB LOSSES IN THE SKILLED MARKET SLOWING

 

The Clarius skills index, which measures underlying supply and demand of skilled labour, showed a surplus of about 45,000 in the September quarter compared to 37,000 in the June quarter.  Kym Quick, executive manager of Clarius Group said that the government’s stimulus earlier this year is starting to have some impact in the professional jobs market.

 

"But our feedback is that companies are still cautious," Mr Quick said.

 

"The building and construction industries are not yet seeing a lengthening pipeline of projects becoming available.

 

"But there are certainly pockets of activity.

 

"In sectors like health, there is increasing demand."

 

PROPERTY MARKET ON THE RISE

 

In the “National top 10 Boom Town Hotspots” report, Terry Ryder, real estate researcher said key towns across Australia will experience boost in property prices due to the recovering economy.

 

Among the top 10 towns are Port Hedland, Karratha and Bunbury of Western Australia, Orange and Newcastle in New South Wales, Ceduna in South Australia, Gladstone in Queensland and Portland in Victoria. 

 

He commented that property buyers should be “better served looking for nearby regional centres that will enjoy the economic surge of major new projects”

 

FAMILY BUSINESSES OBLIVIOUS TO ECONOMIC DOWNTURN

 

Family businesses felt little or no impact of the Global Financial Crisis with more than half maintaining their staff in the 12 months to June and a whopping 13 per cent increasing their staff, a recent survey conducted by KPMG has found.

 

36 per cent of more than 600 Australian family businesses said they felt no impact on their business and 35 per cent said it only had a small effect.

 

"In general, our survey confirmed that family businesses were coping reasonably well with trying economic conditions, particularly when it came to issues of financing," the report said. "They also appeared to be doing somewhat better than their non-family counterparts."