Pete Wargent blogspot

Co-founder & CEO of AllenWargent property advisory, offices in Brisbane (Riverside) & Sydney (Martin Place) - clients include hedge funds, resi funds, & private investors.

4 x finance/investment author - 'Get a Financial Grip: a simple plan for financial freedom’ (2012) rated Top 10 finance books by Money Magazine & Dymocks.

"Unfortunately so much commentary is self-serving or sensationalist. Pete Wargent shines through with his clear, sober & dispassionate analysis of the housing market, which is so valuable. Pete drills into the facts & unlocks the details that others gloss over in their rush to get a headline. On housing Pete is a must read, must follow - he is one of the better property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.

"Pete Wargent is one of Australia's brightest financial minds - a must-follow for articulate, accurate & in-depth analysis." - David Scutt, Business Insider, leading Australian market analyst.

"I've been investing for over 40 years & read nearly every investment book ever written yet I still learned new concepts in his books. Pete Wargent is one of Australia's finest young financial commentators." - Michael Yardney, Australia's leading property expert, Amazon #1 best-selling author.

"The most knowledgeable person on Aussie real estate markets - Pete's work is great, loads of good data and charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, and author of the New York Times bestsellers 'End Game' and 'Code Red'.

"Pete's daily analysis is unputdownable" - Dr. Chris Caton, Chief Economist, BT Financial.

Invest in Sydney/Brisbane property markets, or for media/public speaking requests, email pete@allenwargent.com

Wednesday, 13 June 2012

CGT discount is now removed for non-residents

From Wayne Swan's 2012-2013 Commonwealth Budget:

"The Government will remove the 50% capital gains tax (CGT) discount for non-residents on capital gains accrued after 7.30pm on 8 May 2012."

This is noteworthy since it makes investing in Australian assets less attractive 'moving forward'* than was previously the case for non-resident investors.

The strong Australian dollar has had a negative impact on asset values too.

The Aussie share market has certainly not seen the same 'bounce' that has been seen in the US through 2010 and 2011, and it has been said that we may need to see the dollar drop back to 90 cents to entice overseas property investors back into the Australian market too.

The only confusing thing about the budget policy change was the reaction of online commentators.

A chorus of pundits noted that the removal of the discount was "buried deep in the Federal budget...", "carefully hidden in the budget...", "tucked away in the budget...".

I suspect it was just one of those things that someone said, and then everyone assumed to be the case without bothering to read the budget themselves.

I'm not quite sure how Swanny could have made it much more explicit? Green highlighter pen, maybe?

Swan's budget is due to deliver a welcome surplus for the Australian economy.

*A favourite Gillard-ism