Breaking ground for new apartment towers continues apace in Sydney, and has actually accelerated in Melbourne.  Does that tell us that the inner-city property development boom goes on unabated – no, definitely not.  Melbourne residential property prices fell over 10 percent in the last year and approvals for new apartments are predicted (by the Master Builders Association) to fall 30 percent in the next 3 years.  So, what is going on?

A key issue for personal investors is that many investment tasks are ‘important but not urgent’, so they are put off indefinitely even though the investor could be far better off over time if action was taken.  Changing superannuation fund falls into this category.  Millions of Australians have the wrong type of super fund, but they don’t switch.  Households with their super in either: retail super funds; low balance SMSFs; or small industry funds can expect a boost of 1 - 2.5% per year on their returns if they switch to one of the large industry funds.  The Productivity Commission’s Final Report on superannuation is the latest compelling evidence of how much better large industry funds are for many investors.

The Brexit negotiations between the UK and the EU are such a terrific case study in the principles of negotiation, and so current, that it is worthwhile drawing out some lessons.  I wish they were all positive examples of the skilful conduct of negotiation that results in a win-win for both parties.  But, sadly, they are mostly the opposite.