The Royal Commission Report has singled out NAB for an extra bashing, in comparison to the other big banks. NAB may have come across too arrogantly in their dealings with Commissioner Hayne, with late and deliberately misleading documents; ultimately, costing NAB CEO Andrew Thorburn and Chairman Ken Henry, their jobs.
Among the key recommendations for consumers from the honorable Hayne, from his list of 76 recommendations, was the establishment of a new body consisting of three persons to oversee what APRA and ASIC are doing to make sure regulators are being resourced and adapting to new technologies, challenges, and environment of the economy.
There were also more than 20 referrals of major financial institutions for APRA and ASIC to investigate, including mortgage brokers. There is a big push for brokers to move to a fee-for-service model and a ban on commissions. We don’t feel confident this move will be beneficial for consumers, tune in now for our reasons why.
Our Investor Exchange Round Table Discussion Covered:
- What impact will the Royal Commission have on the property market? Brett explains how it won’t massively impact pricing, but will impact the way mortgages are obtained. Listen in for his prediction on how these changes will play out in the property space. (12:00)
- Louis explains step two of staying on track with your financial new year’s resolutions, by looking at your debt position. Looking at your home loan interest rate, investment loans, credit cards and personal loans to see how you can change your debt structures to reduce your interest rates or borrowing costs to have an immediate impact on how quickly you can pay down your debts. Listen in for further insights now (24:12).
- How do you take advantage of volatility in the market? Joel explains the stock market was due for a bit of a pull back and anticipates further choppy market conditions in the coming months; though nothing quite as dramatic as what we saw leading into Christmas. In a market that is going sideways, how can you still make money? Tune in for some actionable insights (31:15)
You Cannot Be Serious this week:
Our friends across the ditch don’t win often against us in a number of sports, so New Zealanders have been looking for something to hang their hats on. An obscure study has been found on the average size of male genitalia. Fortunately for them, they prove to be a “high growth area”.
A young man named Josh Trump, an 11-year-old with no relation to the presidential family, was invited to the State of the Union address by Melania Trump because he’s been dealing with some bullying for his infamous last name. He was very excited to attend but ended up sleeping through the entire address!
Write in to get your investment and wealth management questions answered by Joel, Brett, and Louis.
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The Investor Exchange Theme Music: “Happy Happy Game Show” by Kevin MacLeod (incompetech.com) Licensed under Creative Commons: By Attribution 3.0.
Photo Credit: The New Daily