How exposed are you to Australian banks?
Changes arising from the Financial System Inquiry are designed to safeguard depositors and taxpayers in the event of financial distress. However, the additional capital requirements for banks, including increased loss-absorbing hybrid capital, could adversely impact future cashflows investors could expect from banks.
In this paper we discuss…
How changes arising from the Financial System Inquiry could adversely impact the future cashflows investors should expect from banks
That Australian banks continue to represent a significant concentration risk to super funds, particularly in the SMSF sector
How dynamic asset allocation and active management are strong frontline tools to manage concentration risk
Read the full report here.