90% negative on franking credits impact
Nearly 90 per cent of investors who responded to a recent survey dealing with the impact of the Federal Opposition’s proposed removal of refundable franking credits believe it would reduce their quality of life, according to a survey conducted by investment services firm, Australian Stock Report (ASR).
In a submission filed with the House of Representatives Economics Committee inquiry into the Labor policy proposal, ASR revealed the outcome of a survey of 2,500 of its clients conducted in October, nearly 70 per cent of whom were aged 65 or over and 62 per cent operated their own self-managed superannuation fund (SMSF).
The submission said the survey revealed that 64 per cent of respondents received a total income of less than $75,000 a year and that 84 per cent believed they would lose less than $30,000 a year from the policy change because of the moderate scale of their portfolios.
However, the survey also revealed that 89 per cent believed the change of policy would reduce their quality of life and 84 per cent indicated that listed equities represented their largest asset class.
The survey had also revealed the average SMSF balance held by respondents was around the Australian Taxation Office’s average of $599,000, with 60 per cent having balance above this.
Recommended for you
The Reserve Bank of Australia (RBA) has lowered rates to a level not seen since mid-2023.
Financial Services Minister Stephen Jones has shared further details on the second tranche of the Delivering Better Financial Outcomes reforms including modernising best interests duty and reforming Statements of Advice.
The Federal Court has found a company director guilty of operating unregistered managed investment schemes and carrying on a financial services business without holding an AFSL.
The Governance Institute has said ASIC’s governance arrangements are no longer “fit for purpose” in a time when financial markets are quickly innovating and cyber crime becomes a threat.
