How to be a better investor: episode 2

--  |   13/08/2020 Text size  Decrease  Increase   |  
email_fwd
<p><strong>Sophia:</strong> Man, I'd love to retire.</p> <p><strong>Emma:</strong> Me too.</p> <p><strong>Amna:</strong> Count me in.</p> <p><strong>Emma:</strong> It's hard though. I spend everything I earn.&nbsp;</p> <p><strong>Sophia:</strong> There's your problem. You got to make more income.&nbsp;</p> <p><strong>Emma:</strong> But how?&nbsp;</p> <p><strong>Amna:</strong> I'm glad you asked that. There are three main ways &ndash; labour, land and capital.&nbsp;</p> <p><strong>Emma:</strong> Labour is all I have. I use myself to make money, my salary for instance.</p> <p><strong>Sophia:</strong> There's also land. Land creates income in all kinds of ways. You can rent it out, sell what grows on it or just let its value appreciate.&nbsp;</p> <p><strong>Amna:</strong> Don't forget capital. Capital is all the other stuff that can used &ndash; rented or put to work, like investing.&nbsp;</p> <p><strong>Emma:</strong> Okay. But how do I get from using labour as my only source of income to not laboring anymore?&nbsp;</p> <p><strong>Amna:</strong> You have to move your income from labour into land and/or capital.</p> <p><strong>Sophia:&nbsp;</strong>Look at it this way. Each of us basically runs our own little economy in which we spend on the past, the present and the future. Spending on your past is like servicing debt.&nbsp;</p> <p><strong>Emma:</strong> Like everything I bought on my credit card?&nbsp;</p> <p><strong>Amna:</strong> Exactly. Your present spend is on your lifestyle. Eating out, vacations.&nbsp;</p> <p><strong>Emma:</strong> Those I like.&nbsp;</p> <p><strong>Amna:</strong> Sure. But that takes away from your future spend, your investments.&nbsp;</p> <p><strong>Sophia:</strong> When you invest, you put your present income from labor, like a salary, into land and capital, maybe a home or a stock which will make money for you. When you have enough land and capital, you won't need to labor anymore.&nbsp;</p> <h2><strong>Emma:</strong> Hello, retirement.<br /><br /><br /><br /><em><strong>Further Reading:</strong></em></h2> <h3><strong>A Simple Plan for Financial Independence</strong></h3> <p>What would you do if you could do anything? Not superhero anything, but if you woke up tomorrow and had all your bills paid from now until forever, what would you do with your time? Take your dream job that pays far less than your current one? Write your magnum opus? Volunteer full-time? Whatever you answer, the premise is the same. Financial independence means being master of your own time.<br /><br />Some people call this retirement, some call it independent wealth, and some getting out of the rat race--but in every case the goal is the same: to reach a point in life when you don&rsquo;t need to work for a paycheck anymore. There are countless books that claim to have the &ldquo;secret&rdquo; to unlocking this path, but really there is no secret. By learning a couple of simple economic concepts, the way forward becomes obvious. You&rsquo;ll still need to do the&nbsp;<a class="mdc-link mds-link" tabindex="0" href="https://www.morningstar.com/blog/2018/12/12/goals-based-planning.html?utm_source=mstarcom_content&amp;utm_medium=referral&amp;utm_content=article" data-v-82a5d2a6="" data-v-2b0bb2a8="" data-v-4387a7d2="">hard work</a>, but at least mapping your course will be easier.</p> <h3><strong>Personal Economics 101</strong></h3> <p>Here, I&rsquo;m going to lay out for you a simple way of thinking about economics and personal finance that can help you make strong moves toward financial independence.</p> <div class="article__container" data-v-7ba8d775="" data-v-2b0bb2a8=""> <div class="article__body" data-v-7ba8d775="" data-v-2b0bb2a8=""> <div class="mdc-article-body" data-v-7ba8d775="" data-v-2b0bb2a8=""> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">Economics is the study of how we direct our limited resources to meet all our needs. All the complexity boils down to that. Now, each of us is basically running our own little economy. We have resources, and we have needs. How we direct those resources affects how many of our needs will get met, how well, and for how long.</p> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">Here&rsquo;s the big idea: In economics, we learn that there are only three ways to produce income--land, labor and capital. If you want to&nbsp;<em class="mdc-article-emphasis" data-v-e8a08c40="" data-v-2b0bb2a8="" data-v-4387a7d2="">stop&nbsp;</em>laboring (retire, reach financial independence, whatever), then you need to acquire other two.</p> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">Land creates income in all kinds of ways. You can rent it to others, sell the trees or other resources on the land, farm it, or just let its value appreciate over time. Labor, we all know about. Capital is all the other &ldquo;stuff&rdquo; that can be used, rented, or put to work. We typically think of three types of capital.&nbsp;<em class="mdc-article-emphasis" data-v-e8a08c40="" data-v-2b0bb2a8="" data-v-4387a7d2="">Physical capital</em>&nbsp;is stuff. For example, if you own a tractor, you can use it to produce value on your land, or you can rent it out to someone else. In both cases, the physical capital is creating value for you.&nbsp;<em class="mdc-article-emphasis" data-v-e8a08c40="" data-v-2b0bb2a8="" data-v-4387a7d2="">Intellectual capital</em>&nbsp;is the value of any assets you have based on legally protected ideas, like patents or books.&nbsp;<em class="mdc-article-emphasis" data-v-e8a08c40="" data-v-2b0bb2a8="" data-v-4387a7d2="">Financial capital&nbsp;</em>is just money itself.</p> <h3 class="mdc-article-paragraph article__gated-content"><strong><span class="mdc-article-strong" data-v-76f3ace6="" data-v-2b0bb2a8="" data-v-4387a7d2="">The Path to Freedom</span></strong></h3> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">From these three sources come all the various income streams we can imagine. Some people are fortunate enough to start life with enough land and/or capital that they never need to labor for income. Most of us are not. Most of us, in fact, start without land or capital, and all we have to work with is our ability to labor. So, how do you get from using labor as your single source of income to the goal of not laboring anymore? You have to make a plan for how you will direct the flow of income from that labor toward investments in land and/or capital.</p> <h3 class="mdc-article-paragraph article__gated-content"><strong><span class="mdc-article-strong" data-v-76f3ace6="" data-v-2b0bb2a8="" data-v-4387a7d2="">Needs: Past, Present and Future</span></strong></h3> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">Remember that economics is all about using our resources to meet our needs, and needs are a big part of the picture here. Now, we could talk about Maslow&rsquo;s Hierarchy, or break our spending down into categories of &ldquo;needs&rdquo; and &ldquo;wants,&rdquo; but I&rsquo;m going to suggest we do away with all of that and make it even simpler. Your needs fall into three categories: past, present, and future. <br /><br />Your current labor income is divided up into payments toward money borrowed in the past, meeting the needs and wants of the present, and investing in income for your future. Directing your &ldquo;future&rdquo; funds into land or capital slowly over time builds up income sources to eventually replace your income from labor.</p> <h3 class="mdc-article-paragraph article__gated-content"><strong>Why It Matters</strong></h3> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">Simple rules of thumb help us by directing our focus to the most important thing(s) and ignoring everything else. This model of personal economics allows you to ignore all the details that make budgeting a huge pain in the neck, and it simplifies the problem into two steps. The first step: Making sure that you are directing some portion of your labor income toward land and/or capital. Otherwise, financial independence is simply not possible. To do this, you may need to take a hard look at how much of your income is going toward past purchases (which could motivate you to avoid adding to your debt in the future), or you might want to rethink the speed at which you spend on your current lifestyle.</p> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">This framework puts decisions about day-to-day purchases and borrowing into a long-term perspective. If you can&rsquo;t find ways to invest for the future, you&rsquo;re stuck with labor as your only source of income. If the future feels too far away to be real, try using the techniques I laid out in my previous article on&nbsp;<a class="mdc-link mdc-article-annotation--article mds-link" tabindex="0" href="https://www.morningstar.com/articles/944893" data-v-82a5d2a6="" data-v-2b0bb2a8="" data-v-4387a7d2="">Present Bias</a>.</p> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">This way of mapping things also helps put investment in perspective. The point of investing is to store up land and capital that will provide you with sustainable income. Focusing on that can help you weigh your choices. How secure is the income stream going to be? When comparing one investment over another, you can estimate them in terms of future income rather than initial value.</p> <h3 class="mdc-article-paragraph article__gated-content"><strong>For Example</strong></h3> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">My mother recently retired from her job as a social worker and mental health counselor. She achieved this freedom despite spending many years as a single mother of four children with a low salary. How did she do it?</p> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">1) PAST -- She limited borrowing. When she invested in a master&rsquo;s degree (more skilled labor meant a higher salary after graduation), she took one evening class at a time while working during the day, taking advantage of her employer tuition reimbursement to avoid debt. It took her many years, but she emerged with her dream job, a significant boost in pay, and no added debt.</p> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">2) PRESENT -- She lives simply. Present expenses can easily drain all our money if we let them. By living simply, being contented with small luxuries and finding value in non-material wealth (relationships, nature, and so on), she keeps her day-to-day expenses moderate.</p> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">3) FUTURE -- She made investments in both land and capital. When buying a home, she deliberately sought out properties that would allow her to generate rental income. Whenever she received a financial gift or bonus, she put it toward mortgage debt or capital investments like index funds and bonds.</p> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">She is not what most would consider wealthy, but she has built up for herself secure streams of income that are likely to last for the rest of her life. She is financially free, master of her own time, and she has never been more alive or happy.</p> <h3 class="mdc-article-paragraph article__gated-content"><span class="mdc-article-strong" data-v-76f3ace6="" data-v-2b0bb2a8="" data-v-4387a7d2="">Your Turn</span></h3> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">To make this concept practical, you need to take stock. Where are your income streams springing from now? If you stopped laboring today, how much income would your current land and capital investments produce for you every month? What are some ways you might be able to make more out of the resources you currently have?<br /><br />Where is your current income flowing to? What percentage is paying off money borrowed in the past? What percentage is being put toward your future? When you look at those numbers, do you think they are in balance?</p> <p class="mdc-article-paragraph article__gated-content" data-v-4387a7d2="" data-v-2b0bb2a8="" data-v-7ba8d775="">Who do you know that has achieved financial independence, and how did they use land or capital to do so? How might you direct your own funds toward land and capital in a way that will create steady income down the road?<br /><br /><em>The additional reading is by Sarah Newcomb, a member of Morningstar's Behavioural team</em></p> </div> </div> </div>

Video Archive...

Morningstar's Mat Hodge on Rio's fortunes
22/09/2020  The destruction of an indigenous cave shelter was unforgiveable but there are other reasons why the iron ore heavyweight is overvalued.
Cannabis: the world in 2030
21/09/2020  Morningstar equity analyst Kristoffer Inton on the outlook for the seven producers under coverage.
3 top picks for the EV revolution
18/09/2020  Morningstar's Seth Goldstein singles out three undervalued stocks that span the entire electric vehicle supply chain.
The 2020 election and your portfolio
18/09/2020  The bumps and bruises of election time may tempt you to shift your portfolio strategy.  
'The tech rally has gone too far'
17/09/2020  UK-based Premier Miton's Simon Evan-Cook says the tech rally of 2020 is reminiscent of the dotcom boom, but inflation could be a bigger threat.
Why EVs will be a common sight on the roads of the future
16/09/2020  By 2025, the cost of batteries and manufacturing will fall and EV functionality will improve, says Morningstar's Seth Goldstein.
Using personal data to better estimate retirement savings
11/09/2020  Estimating the length of your retirement with personalized information will help you save the correct amount.
2 China stocks we like
09/09/2020  Morningstar's Chelsey Tam reveals which stocks and sectors have shone—and which have underwhelmed.
How to be a better investor: episode 3
28/08/2020  Products, services, what is what in the world of finance—and how to look out for yourself
Where to invest for income
24/08/2020  A raft of companies have cut their dividends this year, leaving income investors concerned. But Morningstar's Dan Lefkovitz says there are still plenty of options out there.
DNR Capital's eye for gaming, building supplies and software
18/08/2020  DNR Capital's chief investment officer Jamie Nicol profiles some of the top ten holdings in his Australian Equities High Conviction fund. 
The trouble on Telstra's horizon
17/08/2020  Morningstar's Brian Han explains why he has trimmed his fair value estimate for Australia's dominant telco and the future of its dividend payout.
Finding bargains the market overlooks
14/08/2020  DNR Capital's Jamie Nicol reveals how his Australian Equities High Conviction fund finds quality businesses that will endure difficult conditions.
How to be a better investor: episode 2
13/08/2020  Put your money to work if you're looking for financial freedom.
How to be a better investor: episode 1
10/08/2020  Learn how to picture your goals so you can better reach them.
3 undervalued names in childcare
05/08/2020  Morningstar's Gareth James identifies three sector names trading at attractive discounts in an increasingly 'essential' sector.
Is the 60/40 portfolio dead?
05/08/2020  Reports of the strategy's demise are greatly exaggerated, says Morningstar's Christine Benz.
Why you should ignore a fund's yield
04/08/2020  Investors may assume a fund's yield to determine how much income it will pay, but it's not always so simple, warns Morningstar analyst Rajesh Yadav.
What are the right bonds for retirees today?
03/08/2020  It depends on your expectations and timeframe. Look at bonds as being portfolio stabilisers—sources of cash flow you can draw on when your equities are down, says Christine Benz.
3 top picks in rail, roads and utilities
28/07/2020  When utility stocks plunged during the onset of the pandemic Lazard Asset Management's Warryn Robertson knew it was time to jump in.
Infrastructure stocks in the covid era
24/07/2020  Lazard Asset Management's Warryn Robertson looks at how the pandemic has affected toll roads and airports and what the future of travel holds.
ESG stocks shine in covid-19 crisis
23/07/2020  Morningstar analyst Tancrede Fulop singles out a few companies that have performed well and also led the way in looking after staff. 
Stock-picking: Have you got what it takes?
21/07/2020  New stock-pickers are prone to lose money. Are the lessons worth the price? We ask Morningstar's Christine Benz.
Why mining stocks aren't yield plays
20/07/2020  Elevated iron ore prices have lifted mining company earnings to eye-watering levels but this doesn't make them income stocks, says Morningstar's Mat Hodge.
Commodity stocks riding high, but for how long?
17/07/2020  Local miners should deliver stellar fiscal 2020 results but such outperformance is unlikely to last, says Morningstar’s Mat Hodge.
The rise and rise of Amazon
17/07/2020  --
Should your portfolio shift when the economy slumps?
16/07/2020  How to make some upgrades during this down time.
Will Airbnb IPO or what?
16/07/2020  Covid-19 has made the intended public offering impossible, says Morningstar's Andrew Willis.
3 Japanese stock picks
15/07/2020  JPMorgan's Nicholas Weindling talks opportunities in Japan and reveals the stock that has been his largest holding for almost a decade
Small cap stocks: 'Inevitably, we see it all end in tears'
15/07/2020  The asset class has a habit of outperforming but Morningstar's Ross MacMillan sees signs of a bubble.
A trio of growth stocks
13/07/2020  Rachel Winter of UK fund manager Killik & Co talks payments, social media and investing in her monthly stock pick round-up
3 reasons healthcare is showing fit performance
09/07/2020  And what we expect to see moving forward.
Same old story: growth beats value
07/07/2020  Large growth maintains its supremacy in the Morningstar Style Box during a volatile first half for mutual funds. 
Nikko's 3 top Asian picks
06/07/2020  Nikko Asset Management's Peter Monson looks for strong sustainable returns and he sees that in Asian stocks that span financial exchanges, computer game makers and condiments suppliers.
How appealing are Asian stocks?
02/07/2020  China’s ongoing recovery from COVID-19 presents solid investment opportunities, says Nikko Asset Management.
'Unemployment will be higher, activity lower'
01/07/2020  Aviva Investors' Mark Robertson on the 'second wave', the widening gap between the West and China, portfolio protection and how covid has accelerated the tech revolution.
Smartwatches and luxury watches battle for your wrist
29/06/2020  Does the rise in smartwatches show that data, not diamonds, are a girl's best friend?
3 top picks in water and waste
26/06/2020  They may be 'boring' says Fidelity's Bertrand Lecourt but these names offer solid and long-term returns by delivering essential services.
Tapping opportunities in water and waste
25/06/2020  The growing consumption of water and the increased production of waste make these sectors compelling investments, says Fidelity's Bertrand Lecourt.
Dividends: ‘You have to be very active in stock selection’
23/06/2020  Yield can still be found among global healthcare, technology and consumer staples despite the dismal dividend outlook, says Janus Henderson’s Jane Shoemake.
Airlie went shopping during COVID sell-off
22/06/2020  COVID has given consumers the "fright of their lives" but this fund manager took the opportunity to scoop up bargain bluechips, says portfolio manager Matt Williams.
3 top picks: miner, insurer, fueler
19/06/2020  Mineral Resources, Medibank Private and Ampol are among Airlie Fund Management's preferred stocks, says portfolio manager Matt Williams.
Retail bonanza can’t last, warns Morningstar
16/06/2020  Investors shouldn’t project the pandemic-driven performance of JB HiFi and Harvey Norman too far into the future.
3 Aussie equities to watch
11/06/2020  Lazard Asset Management's Philipp Hofflin explains why mortgage processing, insurance and aluminium production are on his radar.
Are value stocks due for a comeback?
10/06/2020  Value investing has massively underperformed growth over the past decade. Christine Benz talks with Alex Bryan about the fundamental case for value.
3 top picks for a covid crisis
05/06/2020  Specialist consulting firms and chocolate bars. It's a disparate mix but Ned Bell of Bell Asset Management has good reason for seeing value in these sectors right now.
What the share market is missing
04/06/2020  Earnings results will be a rude awakening, says Ned Bell of Bell Asset Management, but there is nevertheless value among some global small- to mid-cap stocks.
The dividend balancing act
03/06/2020  Ensure your dividend-paying companies are more than attractive on the surface with these tips from Morningstar Canada's director of investment research, Ian Tam, CFA.
How dividend-paying stocks fit into retiree portfolios
01/06/2020  Christine Benz suggests retirees should take a balanced approach to these strategies.
Casino comeback and the uncertainty engulfing Seven West
29/05/2020  Most punters would prefer to lose money with their friends in a real casino than gambling online alone in their basement, says Brian Han.
The WFH reality-check for REITs
28/05/2020  Working from home means upheaval for office landlords but shopping mall owners are enjoying the end of hibernation, says Morningstar's Brian Han.
An undervalued, wide-moat name in healthcare
27/05/2020  Companies racing for a coronavirus cure have moved to lofty valuations. Morningstar analyst Alex Morozov is looking for lesser-known healthcare names.
5 investing mistakes to avoid
20/05/2020  Christine Benz discusses pitfalls investors encounter as they navigate volatility and recovery.
Ugly housing outlook won’t last
19/05/2020  Adelaide Brighton, Amcor and Bingo should ride out the housing construction slump with relative ease, says Morningstar’s Grant Slade. 
3 stocks set to clean up
18/05/2020  The biggest corporate hygiene company you never heard of; Dettol's parent company; and a lab supplier are tipped to benefit post-coronavirus.
Greencape's three top picks
13/05/2020  Property listings, software for financial planners and AI machine-learning: Jonathan Koh has scoured the globe for opportunities.
Where to hunt when guidance statements get torn up
12/05/2020  Greencape Capital entered the downturn with a cash reserve that has allowed it to snare some essential services companies at bargain prices, says Jonathan Koh.
Investing basics: the hardest decision in investing
08/05/2020  When and how should you get back into equity markets after panic selling?
Weighing up Australia’s banks
07/05/2020  Bad debts and expected capital raising from three of the big four cloud the outlook for Aussie banks, says Morningstar's Nathan Zaia.
Surprises from Berkshire's annual meeting
05/05/2020  Morningstar's Gregg Warren discusses the meeting's cautious tone, Berkshire's lack of buying during the downturn, and unloading the airlines.
Banks will see out corona crisis
04/05/2020  Loan defaults, shaky house prices and a dividend pause - it's ugly in the short term but Nathan Zaia has long-term faith in Australia's banks.
What the pandemic means for Berkshire Hathaway
30/04/2020  Gregg Warren shares his thoughts on its valuation and more.
Netflix steals the show but for how long?
29/04/2020  What happens when the lockdown ends? The streaming giant may need to get some serious growth in international markets to make up for investor expectations. 
Unique, but normal: riding out this market crisis
27/04/2020  The markets follow patterns. We discuss ways to find your way to the upside of the current environment.
3 defensive utility stocks
23/04/2020  These utility stocks aren't the cheapest but have solid balance sheets and decent yield potential.
What in the world happened to oil prices?
22/04/2020  Amid such a painful downturn and the ensuing demand shock, it's crucial to consider companies that are in sound financial health, says Dave Meats.
'An apocalyptic asset': owning gold
21/04/2020  Gold can be a useful insurance policy for investment portfolios, says Morningstar analyst Kenneth Lamont, but it's not perfect
Energy crisis will be short-lived
20/04/2020  Will energy majors bounce back from the coronavirus-induced turmoil? You bet they will, says Mark Taylor and here are the names to watch.
What role do bonds play in an era of ultralow yields?
16/04/2020  Investors are right to be questioning bonds' role in their portfolios, but they still serve a useful purpose for many.
US tech sector now decently undervalued
14/04/2020  We examine how this sector handled the market turmoil and what to expect
Will energy stocks rise from the ashes?
09/04/2020  Investors' current concerns are justified, but vast long-term opportunities remain in this significantly undervalued sector.
Corona crisis threatens big four dividends
08/04/2020  The short-term may be scary but the major banks' long-term outlook will withstand the shock, says Morningstar's Nathan Zaia.
What to expect as the virus continues
08/04/2020  Christine Benz and Karen Andersen discuss Morningstar's latest views on stopping the spread of the virus as well as the economic implications.
In volatile markets, it's OK to chicken out
03/04/2020  Christine Benz explains why now isn't the time for grand gestures with your investments; instead, take a light touch to them.
Avoiding all eggs in the same basket
02/04/2020  Get the full effect of diversification by considering the correlation of your assets with these tips from Morningstar's Director of Investment Research, Ian Tam
Coronavirus: stock up on quality companies
01/04/2020  Retail and energy companies rank among Morningstar's sector picks, despite seeing some of the sharpest falls since coronavirus hit.
Is this 2008 all over again?
31/03/2020  Eric Jacobson explains why the banking system is not at the centre of the corona crisis, and in fact, is well positioned to be a tool to help solve it.
The critical reason to stay invested
30/03/2020  Why it's important to stay invested to capture critical months for your portfolio, with Morningstar's director of investment research, Ian Tam
How to avoid dividend cuts
27/03/2020  A wave of companies are expected to cut their dividends amid the coronavirus crisis. Morningstar's Dan Lefkovitz explains how to spot a firm that could its pay out.
Healthcare stocks still defensive, says Morningstar
26/03/2020  Respiratory specialist Fisher & Paykel Healthcare is among stocks now enticingly priced as the coronavirus hits markets and the Aussie dollar.
Cheap or nasty? Seven, Nine and Telstra
24/03/2020  A stock that’s heavily sold down isn’t always a screaming buy, as proven by this comparison of debt and other fundamentals among these well-loved companies.
Mining stocks offer price opportunity, dividend threat
20/03/2020  OZ Minerals, South32 and Iluka are among miners dipping into buy territory amid the coronavirus selloff but dividends are at risk, says Morningstar’s Mat Hodge.
Market, economic implications amid latest virus news
20/03/2020  Karen Andersen and Preston Caldwell give us their latest perspectives on healthcare and energy.
'The long-term bounceback will be strong'
17/03/2020  The coronavirus fallout is hurting but there should be a treatment by year end and the rebound will be strong, says Morningstar director of equities Johannes Faul. 
Taking control in time of corona
17/03/2020  In this timely Morningstar panel discussion, but Christine Benz and Andrew Lill provide  concrete tips on how curb your losses and put your money to use.
The importance of staying invested in volatile times
16/03/2020  Don't flee the market in a panic, but rather embrace the turmoil as an investment opportunity—you'll be better off in the long run.
‘A modest sell-off, not a panic’: Douglass on coronavirus fallout
14/03/2020  The Magellan co-founder insists now is not the time to ditch stocks for cash nor to buy bargains, and global businesses won’t turn their backs on China.
Avoid panic-selling: Douglass calls for calm
12/03/2020  Share market speculation is almost always a bad idea, and panic-selling stocks on coronavirus fears is an example of just that, warns Magellan boss.
Coronavirus and the market: our take
11/03/2020  We offer three takeaways and advice on staying true to your goals.
Hits and misses aplenty in first half 2020 - Part 2
10/03/2020  Consumer stock Breville and listed property firm Charter Hall were among the highest gainers after delivering results, while Mayne Pharma and Seven West saw the sharpest falls.
Hits and misses aplenty in first half 2020 - Part 1
09/03/2020  The interim reporting season served up a lesson in why investors shouldn't rely too heavily on company forecasts, says Morningstar's Peter Warnes
The best diversifiers for your equity portfolio
05/03/2020  Christine Benz discusses how to protect your portfolio from a stock-market sell-off.
Green bonds offer another side to ESG investing
05/03/2020  Investors are largely unaware of the role fixed income can play in expressing their views on social, environmental and governance issues.
ETF investing for the new decade: 4 trends to watch
02/03/2020  In only a decade, the value of Australia's ETF market has risen by almost 2000 per cent.
The new medical device company to watch
28/02/2020  Spray-on skin maker Avita Medical has a chance of becoming the new standard in burns treatment, says Morningstar's Nicolette Quinn. 
Helping financial advisers help investors
27/02/2020  Financial advice can deliver value but we must do a better job of showing what that is and measuring it, says Morningstar chief executive Kunal Kapoor.
'ESG is about building a portfolio for outperformance'
26/02/2020  Morningstar CEO Kunal Kapoor explains the importance of ESG investing and why it's not simply a matter of avoiding guns, smokes and booze.
Volatility is here to stay - here's what to do
25/02/2020  Morningstar's director of personal finance Christine Benz explains how investors - young and old - should navigate how the coronavirus, the US election and frothy stock prices.
Why mining dividends are a flash in the pan
24/02/2020  A near-record dividend payout from BHP reflects high iron ore prices and miners flush with cash, but these conditions won’t continue long-term, says Morningstar’s Mat Hodge.
The case for emerging market debt
20/02/2020  Lazard Asset Management's Arif Joshi demystifies emerging market debt and explains why it can offer excess yields.