Hi Guys,

Welcome to the August Blue Chip newsletter.

So much has happened this year, especially since the latest budget changes that were released back in May.

The most notable changes are the removal of negative gearing for existing properties, the removal of the 50% capital gains tax discount, and the 11th-hour final blow: the abolition of lending through super.

Lending through super has been a cornerstone strategy for many of our clients over the past decade, delivering outstanding results. Seeing the strategy abolished was not just a shock but also a real loss for investors who were unable to take advantage of such a unique wealth-creation tool.

Also of interest is, of course, the recent inflation figures, which were lower than expected but still above the 2-3% RBA target range.

I have said this in the past: Government spending is out of control and needs to be reined in; however, in reality, I just know that this will not happen anytime soon.

If you follow us on social media, you would have recently seen our story/post about how Labour has spent $4.2m of taxpayer money on a climate change "pre-conference" of all things in Fiji! All while telling consumers to tighten their belts! If that's not a slap in the face, then I really don't know what is.

The only way to get the economy back on track and make Australia great again (before it's too late) is a Government that is commercial and clever enough to generate real revenue from our existing assets and resources, responsible spending, and an immigration policy that doesn't jeopardise existing housing supply and infrastructure. Increasing immigration just to pump up GDP numbers does the country no favours and does nothing but create a false sense of security that masks underlying productivity issues.

Of course, many more changes could be made to get Australia back on track, like amendments to the NDIS black hole, but without the right people in place, it's just not going to happen.

I don't know why I'm so passionate about how our country is run. Still, one thing is for sure: no matter what governments change, sound advice, disciplined investing and taking control of your own financial future will always matter.

Until next time, happy reading! 😊