InvestNow News – 11th June – Salt Funds Management – Income Investment Funds: Taking up the strain?
Article written by Greg Fleming, Salt Funds Management – June 2021
Income is a problem in New Zealand, and not just in the sense of investment income. Its adequacy to meeting an investor’s needs is nowadays constantly in doubt. Capital gain or growth, by contrast, has been the primary wealth accumulator for most of the last decade. In the broader New Zealand framework, this is arguably a consequence of governments that have satisfied voters’ aspirations by engineering a “capital gains paradise,” particularly in the housing market. A range of policies has rewarded those directing their savings into hard assets which are in short supply, and the dissatisfaction that would normally result from sluggish income growth in wages and deposits has been short-circuited.
InvestNow News – 11th June – Salt Funds Management – Income Investment Funds: Taking up the strain?
Article written by Greg Fleming, Salt Funds Management – June 2021
Income is a problem in New Zealand, and not just in the sense of investment income. Its adequacy to meeting an investor’s needs is nowadays constantly in doubt. Capital gain or growth, by contrast, has been the primary wealth accumulator for most of the last decade. In the broader New Zealand framework, this is arguably a consequence of governments that have satisfied voters’ aspirations by engineering a “capital gains paradise,” particularly in the housing market. A range of policies has rewarded those directing their savings into hard assets which are in short supply, and the dissatisfaction that would normally result from sluggish income growth in wages and deposits has been short-circuited.
