A message from our Directors

Well, it certainly feels like a busy year so far! There has been plenty of activity outside of general operations and business at CFG in the first quarter, including but not limited to; an annual planning event, office renovations and plans for recruitment... just to name a few! 

We’ve come to believe that every success story is a tale of constant adaption, revision and change. As a team, we’ve learnt a lot over the last 12 months and feel that the internal changes made will enable us to continue to evolve and execute a growth-focused business strategy, alongside a high-level of service and support throughout 2024 and beyond. 

We look forward to sharing the next phase of our business journey with you and thank you for choosing to partner with Cranage Financial Group in 2024. 

He put a ring on it!

Congratulations to Senior Associate, Fraser Steggall, who recently proposed to his long-term partner, Erin. This duo were initially introduced by another Senior Associate over seven years ago. After a low-key stroll in neighbouring Fitzroy gardens, Fraser and Erin celebrated this momentous occasion with rooftop drinks amongst close friends, at home. Wedding plans are underway for May 2025.  Congratulations to the oh so happy couple!

Stay tuned... 

We’re getting a fresh new look very soon! CFG has been busy collaborating with long term client and premier digital agency Annix to redesign our Cranage web home. The goal being to not only enhance the user experience, but also go beyond our service menu to create a space where we can better promote our people, partners and connect and communicate with our clients and community.

Here’s a little sneak preview of what's to come...  

Advisers Messages 

2024-25 Federal Budget

It’s that time of the year again when the Government unveils the Federal Budget and Australian’s look for much needed relief on cost-of-living pressures and housing affordability.

On the evening of 14 May 2024, the Government delivered what is possibly its last Budget in the current parliamentary term. 

The key challenges addressed in this year’s Budget include:

• Easing cost of living and inflationary pressures.
• Building more houses.
• Strengthening Medicare and the care economy.

Please find attached a concise summary on how these proposals might affect your household expenses and financial future.

Federal Budget Summary 14 May 2024

More on tax cuts – what will it mean to me? 

The tax reforms aimed at alleviating cost of living pressures for 13.6 million Australian taxpayers, is effective from July 1, 2024.

These changes have implications for advice, particularly concerning retirement strategies and investment decisions. For instance, individuals close to the new tax thresholds may need to reconsider investment strategies like negative gearing into property or shares. Timing of expenditure and contributions, including repairs on investment properties and capital gains tax liabilities, also need to be reviewed to optimise tax outcomes.

Overall, these changes necessitate a reassessment of financial plans and investment strategies to adapt to the revised tax landscape effective July 1, 2024.

Click here to read the ATO’s Tax cuts for taxpayer announcement.

Top EOFY strategies for clients

As the end of the financial year approaches, explore last-minute strategies to assess your financial health, understand your tax obligations and maximise deductions before 30 June, such as; 

• Maximising your super contributions. 
• Prepaying income protection premiums. 
• After-tax super contributions bring forward rule. 
• Downsizer contributions. 

Click here to read the full EOFY client check list. 

To ensure you are still employing the right strategy to meet your objectives, it pays to be aware of your options and obligations and revisit your risk appetite and overall goals. 

Cranage Lending responds to rate hold! 

Cranage Lending Solutions has once again seen a surge in activity after responding to another rate hold for 2024, at 4.35%, for the fourth-straight meeting - as good news for borrowers.

Simon Bednar, Finsure’s CEO, said that unexpectedly strong inflation data might prompt RBA to increase the OCR from its current 4.35%, to steer inflation back towards its target range of 2-3%.

“With the possibility of further rate increases for mortgage holders, brokers will be helping customers cope with the headwinds,” Bednar said.

Cranage’s Senior Lending Consultant, Jerome Mendis, has impressed that “if clients are thinking about entering the market, it's still a great time to get preapproval in place and secure lower rates now, rather than waiting for potential relief in 2025’.

Take control of your home loan(s) now and review your existing lending to ensure you’re maximising your borrowing capacity with the support of our experienced lending team today.  

T: 03 9097 6000
E: jerome@cranagegroup.com.au
 

Economic & Market Observations
 

Monthly Market Update - April 2024 

• Equity Markets had their first monthly decline in 2024: Both international and Australian equity markets retreated over the month as rate cut expectations were further delayed. 
• Fixed Income continues to rise: Both international and Australian bond prices continued to rise, and yields fall following strong economic data and central bank comments. 
• Australian Dollar flat: The Australian dollar ended the month at almost the exact same level that is started at. 
• Commodities end mixed: Oil prices fell due to easing tensions in the Middle East, whilst gold continues to rise.

Click here to read the full report.

March Quarter 2024 highlights

• Equity All-Time Highs: Global and Australian equities have continued to rise in Q1 2024, with many major equity markets reaching all-time highs.
• Bond Split: Australian bonds gained, and global bonds fell as markets reacted to economic data and central bank comments.
• US Dollar Regains Ground: The US Dollar gained over quarter while the Australian Dollar fell as expectations for US rate cuts were pushed back.
• Cautious 2024 Outlook: Expect market volatility with a focus on diversified equities and medium-duration bonds.
• Sector Performance: Technology outshone the rest of the market globally and even in Australia despite a lack of strong domestic investment options in the sector.

Click here to read the full report.

With a range of ever-evolving services under one roof, your CFG team are here to provide the trusted advice and support you need to confidently step into the 2025 financial year and beyond.
 

Disclaimer

^{The information contained in this newsletter is of a general nature only and does not take into account your particular objectives, financial situation or needs. You should therefore consider the appropriateness of the advice for your situation before acting on it. You should obtain and consider the relevant Product Disclosure Statement (PDS) and seek the assistance of an authorised financial adviser before making any decision regarding any products or strategies mentioned in this publication. This newsletter is a publication of CFG Advice Pty Ltd (AFSL 501857), While all care has been taken in the preparation of this newsletter, to the maximum extent permitted by law, no warranty is given in respect of the information provided and accordingly, CFG Advice and our employees shall be liable for any loss suffered arising from reliance on this information.}