With interest rates close to zero, should you still invest in fixed interest?

In the past, portfolio theory was fairly simple. To work out how much you should allocate to growth-based assets, you simply used the following formula:

International Cash, Fixed InterestAlex Jamieson27 October 2019ajfinancialplanning, alexjamieson, Fixed Interest, howtoinvest, interest rates, investing tips

What is the impact of negative interest rates?

Run the Red; Run the Risk – How negative interest rates turn economies on their heads.

If you have a home loan or a term deposit, then it is likely that you also have some level of curiosity around what is going on with interest rates.

Economy, International Cash, Fixed Interest, investingSeptember Design Studio2 February 2016ajfinancialplanning, interest rates, RBA, termdeposits

Why do term deposit rates keep dropping?

If you have been holding term deposits, you may have noticed that the interest rates have been falling. Some may be a little confused why the interest rates were dropping well before the RBA made the change, and are questioning whether they will continue to fall?

Cash Account, investingSeptember Design Studio20 March 2015ajfinancialplanning, alexjamieson, eurozone, interest rates, term deposit

Interest Rates…Should I borrow more when they are high or low?

In 1976 the RBA (Reserve Bank of Australia) cash rate was around 12.85% and the average home loan back then was around 15.35% to 17% p.a. Today some 38 years on, things are very different with the RBA cash rate at 2.5% and the average home loan is around 5%.

Australian Shares, Investing, propertySeptember Design Studio21 October 2014ajfinancialplanning, alexjamieson, borrowing, interest rates, RBA