FSI submissions part two: asset allocation
A number of submissions to Australia's financial system inquiry (FSI) discuss the issue of asset allocation within the country's superannuation system – including the perception that allocation to income assets is too low. Proposals mainly focus on taxation and investor education, while Industry Super Australia (ISA) lays out a root-and-branch assessment of the superannuation system with a raft of proposals designed to facilitate longer-term investment.
FSI submissions part one: the bond market
A number of submissions to Australia's financial system inquiry (FSI) include commentary and proposals on the bond market – most commonly relating to a desire to develop a larger domestic option for funding corporates and the infrastructure sector. Regulatory impediments, retail development and education, asset allocation and the tax system all come under the microscope of market participants.
LGFA in good shape for offshore ownership growth as first CEO announces retirement
New Zealand's Local Government Funding Agency (LGFA) has initiated the search for a new chief executive following the announcement of the forthcoming retirement of its first-ever leader, Philip Combes. Combes tells KangaNews the agency is in good shape for the future, with offshore ownership of its bonds in particular having seen a significant increase since the middle of last year.
China biggest concern to Australian fixed-income investors, Fitch/KangaNews survey shows
The inaugural Australian Fixed-Income Investor Survey, published by Fitch Ratings (Fitch) and KangaNews on April 2, suggests Australian investors see the situation in China as the biggest risk factor to domestic credit markets over the next year. However, responses elsewhere suggest the investor base remains relatively comfortable with the state of the market, for instance predicting gradual contraction to be the prevailing credit spread dynamic.
Bonds take role in ASX submission to financial system inquiry
The Australian Securities Exchange (ASX) has elected to make fixed income an important theme of its submission to Australia's financial system inquiry. In the March 31 submission, the ASX claims that the "only market where Australia underperforms currently is the fixed-income market and particularly the corporate bond market".