2015 Long-term Investing Report

A reflection over the last 20 years for Australian investors


Attached is an interesting report by both the ASX and Russell Investments called “2015 Long-term Investing Report”, which looks at the historical investment landscape. It highlights the dangers of Australian investors relying on local-asset classes to achieve their long-term investment goals.


What stands-out for me is seen on page 8; last paragraph “The impact of tax is more heavily felt on Australian fixed interest and cash as they are treated as income and are not offered any tax concessions. Investing in cash and paying the highest marginal tax rate led to a 1.9% p.a. return over the 20-year period, making it the only asset class and investment structure that failed to keep up with the 2.7% inflation rate."