Basis Points

Defensive assets are meant to be the boring part of a portfolio. Now, it’s where advisers are making some of their hardest calls.

Bonds spent the past few decades earning a reputation as the go-to hedge to equities. Since 2022, that reputation has been tested, with the correlation between the two asset classes flipping to positive territory.

So, are bonds broken? Are they still good diversifiers for stocks? Or do advisers need to be looking elsewhere to “diversify their diversifiers”?

In this episode, Zenith Investment Partners’ Head of Portfolio Solutions, Andrew Yap, and Head of Alternatives and Global Fixed Income, Rodney Sebire, outline why they believe now is the time for advisers and investors alike to rebuild the defensive portion of their portfolios.

They share where they are seeing the most opportunity (across both public and private markets), how they assess managers (and the red flags you can look out for), as well as some of the recent innovations in managed accounts that can help advisers track public and private exposures.

Chapters:
00:00 Why Bonds Aren’t Broken
05:05 Is De-Dollarisation a Threat?
07:00 Why Private Credit Boomed
11:11 Spotting Private Credit Risks
15:44 Private Credit’s “Cockroach” Problem
19:00 Navigating Private Asset Structures
21:53 Managers That Stand Out
24:38 Building the Defensive Portfolio
27:43 Why Fixed Interest Excites

Register for your ticket to FinFest Industry Day here!

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CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.
0.5 Total Hours
Knowledge Requirements: Managed Investments (0.25 hour), Fixed Interest (0.25 hour)
Legislated CPD Area: Technical Competence (0.50 hour)

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This episode has been sponsored by Zenith Investment Partners. Zenith Investment Partners is a leading investment research and managed account provider, with a 20-year track record of delivering premium investment research, fund ratings and investment portfolio solutions for financial advisers. https://www.zenithpartners.com.au/

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Basis Points is a product of Equity Mates Media.

This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.

Equity Mates Media operates under Australian Financial Services Licence 540697.
Hosted on Acast. See acast.com/privacy for more information.

Stephen Otter, Partners Group’s Global Head of Private Markets Royalties, argues that royalties are uncorrelated to markets, low volatility, an inflation hedge, and generate a predictable yield. So, it’s surprising that most investors still have zero allocation to the asset class - despite royalties being around for a good 600 years.

They originated with royal families (as the name suggests), where a payment would be made to a sovereign in return for the granting of mining rights. Today, they cover everything from music, healthcare, film, television, mining, oil and gas, books, theatre, and increasingly YouTube.

To be clear, the asset class isn't without risk. Development-stage royalties can return zero if a drug fails approval or a mine never produces. Even established assets can disappoint.

In this interview, we dive into the opportunity in royalties today, what advisers get wrong about the asset class, and perhaps the most perplexing question of all - why so few investors have exposure.

Chapters:
00:00 Introduction
01:18 Why Evergreen Fits Royalties
03:56 Streaming Transformed Music
08:31 Beyond Music Royalties
11:41 Energy and Mining Royalties
13:42 How Royalties Are Valued
17:37 Royalties in Client Portfolios
19:07 Understanding Regulatory Risk
20:57 When Royalty Investments Go Wrong
24:03 Why Invest in Royalties Now
27:08 Music’s Untapped Growth

📈 Stocks and ETFs Mentioned: Deterra Royalties (ASX: DRR), BHP Group (ASX: BHP)

Register for your ticket to FinFest Industry Day here!

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CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.
0.5 Total Hours
Knowledge Requirements: Alternative Assets (0.50 hour)
Legislated CPD Area: Technical Competence (0.50 hour)

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Want more Basis Points?

Sign up to the Basis Points email
Join the conversation on LinkedIn
Watch all episodes in full and relive some of our favourite clips on YouTube

———

Basis Points is a product of Equity Mates Media.

This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional. Equity Mates Media operates under Australian Financial Services Licence 540697.
Hosted on Acast. See acast.com/privacy for more information.

Grant Hackett has now spent more time working in finance than he did in the pool, but he’s still best known for being one of, if not the greatest, distance swimmers Australia has ever produced.

Hackett hung up his goggles in 2008 and is now the group CEO of ASX-listed Generation Development Group.

In this episode of Basis Points, he takes advisers through the highs and lows of his Olympic career, his early days in business, as well as the significant shifts he believes are coming for the industry.

He also shares his views on what some of the Government’s policy changes (super, capital gains tax, negative gearing and trusts) mean for advisers and their clients.

Chapters:
00:00 Meet Grant Hackett
01:47 From Olympic Gold to Finance
06:20 Olympic Lessons for Leadership
10:44 Inside Generation Development Group
13:44 How GDG Finds Growth
19:28 The Future of Financial Advice
21:05 Investment Bonds and Tax
27:04 What Advisors Are Worried About
29:32 Life After Olympic Swimming

📈 Stocks and ETFs Mentioned:
Generation Development Group (ASX: GDG)
Apple Inc. (NASDAQ: AAPL)
Westpac Banking Corporation (ASX: WBC)

Register for your ticket to FinFest Industry Day here!

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CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.
0.5 Total Hours
Knowledge Requirements: Generic Knowledge (0.25 hour), Managed Investments (0.25 hour)
Legislated CPD Area: Technical Competence (0.25 hour), General (0.25 hour)

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Want more Basis Points?

Sign up to the Basis Points email
Join the conversation on LinkedIn
Watch all episodes in full and relive some of our favourite clips on YouTube

———

Basis Points is a product of Equity Mates Media.
This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.
Equity Mates Media operates under Australian Financial Services Licence 540697.
Hosted on Acast. See acast.com/privacy for more information.

Will Hamilton has enshrined a simple belief at Hamilton Wealth Partners: Most financial advice practices pay lip service to client experience, yet it makes all the difference in the eyes of clients.

In this episode, he shares how HWP differentiates through hyper-personalised service, from capping advisers at 50 clients to running large-scale client events that function more like weddings than seminars.

He also gets into the harder conversations, how he manages complex family dynamics, what he screens for when acquiring practices, and the delicate balance of incorporating AI to expand capacity without compromising on service.

Finally, he shares his view on markets. Australian equities are at their lowest weighting in the firm's history, and he explains why he thinks the market is overpaying for AI.

Chapters:
00:00 Introduction
01:12 Why Advisers Need Differentiation
03:10 Creating Memorable Client Experiences
07:29 Events That Drive Growth
10:32 Scaling with AI and Acquisitions
15:07 Managing Complex Family Wealth
19:52 AI, Security, and Advice
22:36 Market Outlook and Portfolio Positioning
26:44 Chart of the Week & Closing

📈 Stocks and ETFs Mentioned:
Magnificent 7 - Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT), NVIDIA (NASDAQ: NVDA), Amazon (NASDAQ: AMZN), Alphabet (NASDAQ: GOOGL / GOOG), Meta Platforms (NASDAQ: META), Tesla (NASDAQ: TSLA)

Register for your ticket to FinFest Industry Day here!

———

CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.
0.5 Total Hours
Knowledge Requirements: Practice Management (0.50 hour)
Legislated CPD Area: Client Care & Practice (0.50 hour)

———

Want more Basis Points?

Sign up to the Basis Points email
Join the conversation on LinkedIn
Watch all episodes in full and relive some of our favourite clips on YouTube

———

Basis Points is a product of Equity Mates Media.
This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.
Equity Mates Media operates under Australian Financial Services Licence 540697.
Hosted on Acast. See acast.com/privacy for more information.

Advisers’ entire tech stack will collapse in the next two years; that is the bold prediction of Paradino AI Co-Founder and CEO Alex Gassner.

He sees the glaring gap between the 15,000 financial advisers in Australia and those 16 million Australian’s who need advice, as being closed in one way only- by purpose-built AI tools.

Courtenay Fox, Co-Founder of Fox & Hare Financial, knows this firsthand.

After testing around 10 AI tools before narrowing it down, her firm now runs AI across everything from file notes and paraplanning to document review and client communications. No client data goes into any general LLM tool.

In this interview, Gassner and Fox outline why purpose-built AI is set to transform the advice industry, how Fox & Hare are already putting it into practice, and what every adviser needs to know about data security, liability and the looming advice gap.

Chapters:
00:00 AI Will Transform Advice
01:23 The Future Advice Tech Stack
04:05 How Firms Use AI Today
05:17 AI Security and Compliance
10:28 Human Oversight Still Matters
13:00 Client Trust and Transparency
15:32 Data Privacy and AI Models
19:59 Can AI Close the Advice Gap?
21:20 Practical AI Tips Today
24:08 The Future of Financial Advice

Register for your ticket to FinFest Industry Day here!

———

CPD Points: This episode is accredited for the following CPD points by the Financial Advice Association of Australia (FAAA). Complete the quiz here to claim your points.
0.50 Total Hours
Knowledge Requirements: Managed Investments (0.50 hour)
Legislated CPD Area: Technical Competence (0.50 hour)

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This episode has been sponsored by Paradino AI. Paradino is the AI advice automation platform built specifically for Australian financial advisers. To find out more head to paradino.ai.

———

Want more Basis Points?

Sign up to the Basis Points email
Join the conversation on LinkedIn
Watch all episodes in full and relive some of our favourite clips on YouTube

———

Basis Points is a product of Equity Mates Media.
This podcast is intended for education and entertainment purposes. Any advice is general advice only, and has not taken into account your personal financial circumstances, needs or objectives. Before acting on general advice, you should consider if it is relevant to your needs and read the relevant Product Disclosure Statement. And if you are unsure, please speak to a financial professional.
Equity Mates Media operates under Australian Financial Services Licence 540697.
Hosted on Acast. See acast.com/privacy for more information.