Life. Investments. Superannuation and Retirement.
Edition 2, 2022
What’s inside:
Important changes to your account
Three ways to help ensure your life insurance is protecting you and your family
More to give: Why some older Australians want to work but can’t
Managing inflation
Markets performance subdued as rate hikes spook investors
Contents
Important changes to your account If you have an account in ClearView Superannuation and Roll-overs, ClearView Pension Plan, ClearView Managed Investments, ClearView Roll-Over Bond or ClearView Savings Bond, you would have received a Significant Event Notice from us in April telling you about changes to your account in May. After a comprehensive review of the product features, investment options and fees for these products we are making some changes. It’s important to us that all our members continue to enjoy competitive features that are value for money from their investment so a key objective of this review was to ensure that members receive lower ongoing fees and costs. ClearView Superannuation and Roll-overs and ClearView Pension Plan members are being transferred to ClearView WealthFoundations Super and Pension on Thursday 19 May 2022. The transfer to WealthFoundations will deliver better value and outcomes to members as a result of the transfer to a contemporary product. ClearView Managed Investments, ClearView Roll-Over Bond and ClearView Savings Bond will receive lower ongoing fees and costs and changes to investment options. You do not need to take any action. These changes will happen automatically. Please refer to the Significant Event Notice ( SEN ) that was sent with our letter in April. The SEN outlines the important changes to your particular account. More information and frequently asked questions are on our website at clearview.com.au/SuperTransfer . Managing your account is easy with online access Managing your ClearView super, pension and investment accounts is easy with online access. The ClearView Portal is simple to use and gives you secure access to your accounts anytime. You can: • Review your account balance, transactions and unit prices • Update your personal details • Contribute to your super • Update your pension payment details • And more!
Important changes to your account
2
Three ways to help ensure your life insurance is protecting you and your family More to give: Why some older Australians want to work but can’t
4
6
8
Managing inflation
Markets performance subdued as rate hikes spook investors
12
ClearView Life Nominees Pty Limited ( CLN ) ABN 37 003 682 175 AFSL No. 227683 RSE Lic No. L0000802 as Trustee for the ClearView Retirement Plan; ClearView Life Assurance Limited ( CLAL ) ABN 12 000 021 581, AFSL No. 227682, the issuer of ClearView life insurance products; and ClearView Financial Management Limited ABN 99 067 544 549 AFSL No. 227677 ( CFML ) the responsible entity for ClearView managed investment schemes, (collectively ClearView). The information in this newsletter is intended to be general information only and has been prepared without taking into account any particular person’s objectives, financial situation or needs. Please note that CLN is not authorised to provide financial product advice. Before acting on the information in this newsletter, you should consider the appropriateness of the information having regard to your personal objectives, financial situation or needs. ClearView recommends that you obtain personal financial advice and read the relevant Product Disclosure Statement before making any decision about a product. This information does not in any way constitute tax or legal advice and before relying on this information, you should seek independent expert advice. While we have taken all care to ensure the information in this newsletter is accurate and reliable, to the extent the law permits we will not assume liability to any person for any error or omission in the newsletter however caused. Call (02) 8095 1494 for editorial enquiries.
2 • Viewpoint Edition 2 2022
Already know your login details? If you already have access to the ClearView Portal, you can continue to use the same username and password. Go to clearview.com.au , remember, if you are a member of ClearView Superannuation and Roll-overs and ClearView Pension Plan you will automatically become a member of ClearView WealthFoundations from May. Please select WealthFoundations login from the ‘Clients’ tab. hover over the ‘Clients’ tab in the top right-hand corner of the page and select your product. Need a new login or password? If you have lost or forgotten your login details, you can automatically reset your password online by entering your username and we’ll email you a new password. Our Service Centre can also help you out, call 132 977 for assistance from 8am to 6pm (Sydney time), Monday to Friday. Register for online access today The ClearView Portal gives you access to up- to-date information on your account balance, transactions and other important account information. If you’ve never accessed your online account, please contact the Service Centre for assistance on 132 977 from 8am to 6pm (Sydney time), Monday to Friday. Correction of information In issues of Viewpoint from November 2018 to December 2021, returns for the ClearView Pension Plan, ClearView Superannuation and Rollovers and ClearView Rollover Bond were incorrectly quoted. Please note the correct figures on page 10-11 - actual performance of these investment options has not been affected. ClearView Managed Investments Diversified Stable option unitholders have been paid a distribution effective 31 March 2022. As is normally the case, the distribution resulted in a fall in the Diversified Stable unit price at the start of April. Distributions have been reinvested or paid to investor bank accounts in line with their distribution instructions. For further information, please see the Fund Payment Notice available at clearview.com.au/eofy . If you have any questions, please call our Service Centre on 132 977 or speak with your financial adviser.
It’s important to us that all our members continue to enjoy competitive features that are value for money from their investment.”
If you have any questions, please call our Service Centre on 132 977 or speak with your financial adviser.
Viewpoint Edition 2 2022 • 3
Three ways to help ensure your life insurance
is protecting you and your family
Life insurance can provide crucial peace of mind if it provides the cover you need.
Most Australians don’t have adequate life insurance coverage, which may leave their loved ones exposed to unnecessary risks. However, even those who are covered can still be at risk simply because they have the wrong type of cover. Life insurance policies can be long and complex documents. In addition, life circumstances can quickly change, turning covers that were once adequate into ones that are insufficient. A good adviser can help you navigate through those complexities and help reassess whether your policy is still protecting you and your loved ones, but a few simple checks can go a long way. Ensure your policy covers you for more than death Life insurance typically refers to lump sum death benefits that are paid out to your beneficiaries after you die. However, there are other forms of insurance that people should also consider when they discuss life cover (and some are often bundled together with typical policies). These include covers such as total and permanent disability ( TPD ), trauma insurance and income protection. TPD insurance pays a lump sum if you become totally and permanently disabled because of illness or injury, while trauma insurance provides cover against a critical illness or serious injury, such as cancer or a stroke.
(Keep in mind that while super funds often bundle death and TPD cover, they are unable to offer trauma insurance.) Income protection policies – which provide cover to those unable to work due to illness – have come under pressure in the life insurance industry in recent years as claims have skyrocketed. This has led to a pricing and coverage overhaul of income protection policies, such as capping the proportion of income that can be replaced (and ensuring policies don’t inadvertently pay more than the insured’s income before becoming disabled). This makes it even more important to receive good advice from a financial planner to ensure any policy provides the right cover for the best value.
Review how much life insurance cover you have
Many people take out a life insurance policy and never think of it again. However, it’s important to regularly reassess the expenses you want your life cover to pay for if the worst should happen. Adding another child to a family or taking on more debt to buy a house or renovate a home are common triggers to reassess coverage. Some parts of Australia are undergoing a major housing and renovation boom, which is quickly driving up debt levels, while rising inflation is pushing up costs.
4 • Viewpoint Edition 2 2022
Housing prices and household debt*
Ratio to household disposable income
ratio
ratio
Household debt
Housing prices
2.0
5
1.5
4
*image: Household disposable income is after tax, before the deduction of interest payments, and includes income
3
1.0
of unincorporated enterprises. Sources: ABS: CoreLogic: RBA
0.5
2
1991
2006
2021 1991
2006
2021
If you have default cover inside your super fund, it is important to check if there are any restrictive terms that apply. Super funds often apply exclusions and restrictive disability definitions when a member is employed in a so- called ‘high-risk’ occupation. However, these definitions can even include white collar jobs such as authors, writers, and composers. Industry lobby group, the Financial Services Council , has proposed a new standard that would remove such exclusions and restrictions by January 2023. ASIC offers a simple life insurance calculator to help you consider how much insurance you need. Cull unnecessary life insurance policies Around four million people still held two or more super accounts at 30 June 2020, according to the Australian Taxation Office . Unfortunately, many of those funds also charge fees for default life insurance. A 2019 inquiry by the Productivity Commission warned that duplicate or unsuitable life policies in super can erode retirement balances by more than $50,000. New regulations that stop new employer super accounts being automatically opened when a person starts a new job (known as ‘stapling’) and making life insurance opt-in on low balances and for younger members, are slowly helping tackle the problem. However, the fastest way to ensure you’re not being charged with unnecessary fees is to double-check that you don’t have any lost super accounts. You can search for multiple super accounts through the ATO’s online services via myGov .
Viewpoint Edition 2 2022 • 5
More to give: Why some older Australians want to work
Australia is a poor performer when it comes to participation by older people in the workforce. We investigate what is stopping more seniors from doing jobs they love and what action needs to be taken to make sure people aren’t penalised for working later in life.
Did you know that Australia has one of the lowest workforce participation rates globally when it comes to mature age workers? According to OECD statistics, just 14.2 per cent of those over 65 and over are in the labour market. 1 While this is a significant increase on the 9 per cent of over 65s that were working in the mid-2000s, it compares to 19.4 per cent in the US, 24.8 per cent in New Zealand and 25.5 per cent in Japan. Just 84,000, or 3.4 per cent of the 2.6 million older Australians who receive the age pension have reported income from employment, according to Department of Social Services statistics. 2 This is because Australia’s social security system means that it’s difficult to work even part time and still receive the pension, as well as associated benefits such as the pensioner concession card. Pensioners can earn just $300 a fortnight in employment related income before it starts to affect their payments. 3 National Seniors Australia Chief Advocate Ian Henschke, who is calling for better income exemptions to encourage older people to work later in life, says this can mean even those with small amounts of savings who could use the extra cash will give up work so they don’t lose their pension. National Seniors has pointed out that in countries such as New Zealand with higher mature age worker participation rates, pensioners are not penalized for earning extra income if it comes from work.
“A targeted exemption will encourage the thousands of retirees who have little additional income to get back into the workforce to boost the economy and their own incomes,” Mr Henschke said in December last year. “This should be done as a two-year trial while we lack workers from overseas to test how effective it is.” 4 Being able to work more hours for longer could result in a larger number of retirees becoming financially secure and independent. According to 2017 ABS figures, less than 40 per cent of workers in their 40s believed they would be financially secure enough to fully retire age 65. 5 There are also social issues for seniors to contend with if they wish to remain in the workforce as they get older. About 30 per cent of Australians reported experiencing age-related discrimination at their job or while seeking a job, according to a 2017 study by the University of South Australia. 6 Australia’s pre COVID-19 employment figures showed a 28 per cent jump in the number of over 65s that were unemployed between 2018 and 2019. At the time, Mr Henschke commented that older Australians were facing blatant bias when trying to apply for jobs. “People find if they don’t put their age on an application they can get an interview but if they do they miss out,” he said. 7
6 • Viewpoint Edition 2 2022
Adding ‘mature age workers’ to an organisation’s diversity policies will ensure employers are thinking about what they can do to attract older workers into their teams”
As a more vulnerable cohort, older Australians also suffered disproportionately from the economic fallout of the early days of the pandemic. A report by the Australian Human Rights Commission and the Australian Human Resources Institute found that more than half of older workers experienced problems finding a job or being retained by their employer because of the COVID-19 crisis. 8 A 2021 paper by employment services provider Max Solutions recently revealed that it is taking older Australians an average of 119 weeks to find a job once they become unemployed – three and a half months longer than the average among all jobseekers. Common challenges cited by employers when hiring and retaining mature age workers include mature age workers having fixed ideas about ways of working and challenges with the intellectual and physical requirements of a position, according to the report. 9 However, advocates for older Australians say it may take more than simply retraining mature age workers to see some improvements. Council for the Ageing Chief Executive Ian Yates told the Sydney Morning Herald that including age as part of a company’s diversity metric would be an important step to encourage employers to consider older Australians for more roles. “Adding ‘mature age workers’ to an organisation’s diversity and inclusion policies will help ensure employers are regularly thinking about what they can do to attract and retain older workers into their teams,” Mr Yates said. “Even small businesses can make a change by removing ‘date of birth’ from job application forms.” 10
1 Media Release: Boosting the mature age workforce. National Seniors Australia, 8 December 2021 2 Media Release: Boosting the mature age workforce. National Seniors Australia, 8 December 2021 3 How paid work impacts your pension. NSW Government 2022 4 Media Release: Boosting the mature age workforce. National Seniors Australia, 8 December 2021 5 More Australians intend to work longer. ABS, 18 December 2017
6 Ageism in the workplace: Speaking up about Australia’s silent bias. Human Resources Director, 10 August 2021 7 Over 65s flooding the job market – and finding they’re not so employable. Sydney Morning Herald, 10 August 2019 8 Ageism in the workplace: Speaking up about Australia’s silent bias. Human Resources Director, 10 August 2021 9 Breaking the age barrier: Unlocking the experience of older Australians in the workforce. Max Solutions, September 2021 10 Barriers to finding a job when you’re over 50. Sydney Morning Herald, 3 September 2021
Viewpoint Edition 2 2022 • 7
Managing inflation
What does inflation do to your money and how can you factor it into your financial decisions? Inflation looks to be a key financial risk to watch for the remainder of 2022, with Australia’s Consumer Price Index ( CPI ) currently sitting above the Reserve Bank’s maximum target rate of 3%. 1 Below, we explain a bit more about what inflation is, why you may or may not need to be concerned, and how to factor higher than usual inflation into your financial decisions. What is inflation? According to Australia’s central bank, inflation is the rate of change in the prices of goods and services that households typically buy. It’s measured by CPI, which takes into account the retail prices of thousands of items falling into 11 groups, including housing, food, recreation and transport.
Consumer price inflation*
Excludes interest charges prior to the September quarter 1998: adjusted for the tax changes of 1999-2000. Sources: ABS: RBA
%
%
Year-ended
4
4
3
3
2
2
1
1
0
0
Quarterly (seasonably adjusted)
-1
-1
-2
-2
1996
2001
2006 2011
2016 2021
8 • Viewpoint Edition 2 2022
How does it affect you? If you’re retired or close to retiring, the idea of paying more for everyday items can cause concern. In 2019, the average life expectancy in Australia was close to 83 2 , so with most professionals typically retiring between 62 and 65 3 , that’s around 20 years that your nest egg needs to last you. According to the Association of Superannuation Funds of Australia (ASFA) , the annual amount needed for a comfortable retirement in the December quarter of 2021 was $64,771 for couples and $45,962 for singles.
How does inflation affect investment markets?
Higher inflation can often lead to rising interest rates as central banks try to dampen demand for money – indeed, the Federal Reserve in the US has already flagged it’s plans to increase rates several times over the remainder of 2022. 4 But at the time of writing, (May 2022) the Reserve Bank of Australia is being more cautious, with ClearView Chief Investment Officer Justin McLaughlin recently commenting that the idea of significant rate rises in the next year was “unrealistic” due to current Australian household debt levels.
The Federal Reserve in the US has already flagged plans to increase [interest] rates several times over the remainder of 2022”
How can you offset the effects of inflation?
From an investment perspective, it’s important not to take too many risks to try and compensate for inflation. A survey of over 5000 retirees from National Seniors Australia noted that around 1 in 4 retirees couldn’t tolerate a negative annual return of any kind in their portfolio, with the majority of respondents saying they were unwilling to take a loss of more than 10% in a year. 5 It’s a good idea to discuss your options with your adviser and potentially look at some active management strategies for countering inflation while keeping your risk tolerance in mind. On the spending side of things, you could consider adopting some simple strategies to temporarily reduce your cost of living. For instance, cooking at home more and eating out less, and planning your meals for the week to ensure less food wastage are good ways to cut down on your recreation and food budgets. Take a look at what you currently pay for things like utilities as well, and consider switching providers if you can get a better rate elsewhere. You could also consider new strategies to bring in some income, such as renting out a spare room or car parking space on your property that you’re not currently using.
If you’re concerned about the effect of inflation on your portfolio, Speak to your adviser today. Call us on 132 977 or visit clearview.com.au .
1 ‘Inflation hits 3.5%, but it won’t budge the Reserve Bank on interest rates’. The Conversation, 25 January 2022. 2 Source: Australian Institute of Health and Welfare 3 What is the Retirement Age in Australia? SuperGuide.com.au, January 2021 4 ‘Fed pivots towards jumbo hikes after being slammed as too slow’. Bloomberg, 29 March 2022 5 Your retirement savings, risk tolerance and loss aversion. National Seniors Australia, 28 February 2022
Viewpoint Edition 2 2022 • 9
Fund returns March 2022
Asset allocation (by %)
Products
Total performance returns
Annualised
5 year 3 year 2 year 1 year
4.1%
Conservative
4%
3%
10%
2.9%
3%
CLEARVIEW PENSION PLAN 0.52% -0.65% 0.83% -3.05% CLEARVIEW SUPERANNUATION AND ROLL-OVERS 0.21% -0.78% 0.53% -2.83%
73%
Cautious
5.1%
10%
5%
1.20% -0.10% 2.29% -1.24%
CLEARVIEW PENSION PLAN
5%
6.4%
8.5%
CLEARVIEW SUPERANNUATION AND ROLL-OVERS 0.89% -0.26% 1.87% -1.20%
60%
Prudent
5% 5.3% 14.7%
CLEARVIEW PENSION PLAN 2.90% 2.14% 4.83% 1.31% CLEARVIEW SUPERANNUATION AND ROLL-OVERS 2.36% 1.70% 4.10% 1.00%
15%
10%
50%
6.3%
Assertive
CLEARVIEW PENSION PLAN 4.42% 3.83% 8.82% 4.69% CLEARVIEW SUPERANNUATION AND ROLL-OVERS 3.66% 3.02% 7.54% 3.82%
21.3%
17.5%
15%
35%
5%
Aggressive
9.7%
CLEARVIEW PENSION PLAN 5.77% 5.46% 11.30% 7.29% CLEARVIEW SUPERANNUATION AND ROLL-OVERS 5.13% 4.78% 9.93% 6.44%
32.9%
22.5%
15%
20%
Guaranteed Cash
100%
0.00% 0.00% 0.00% 0.00%
CLEARVIEW PENSION PLAN ^
CLEARVIEW ROLL-OVER BOND **^ 0.00% 0.00% 0.00% 0.00% CLEARVIEW SUPERANNUATION AND ROLL-OVERS^ 0.00% 0.00% 0.00% 0.00%
Managed Income
10%
9.7%
CLEARVIEW PENSION PLAN *
2.17% 1.17% 3.82% 0.22%
5%
5.3%
5%
10%
55%
Diversified Balanced
5%
5.3%
14.7%
CLEARVIEW MANAGED INVESTMENTS
2.80% 1.88% 5.48% 1.92%
15%
10%
CLEARVIEW PENSION PLAN *
3.28% 2.37% 6.18% 2.37%
5%
CLEARVIEW ROLL-OVER BOND ** 2.81% 2.03% 5.44% 2.24% CLEARVIEW SUPERANNUATION AND ROLL-OVERS* 2.80% 2.02% 5.41% 2.18%
45%
10 • Viewpoint Edition 2 2022
Asset allocation (by %)
Products
Total performance returns
Annualised
5 year 3 year 2 year 1 year 3.56% 2.70% 6.53% 2.87%
Managed Growth
5%
5.3%
14.7%
CLEARVIEW PENSION PLAN *
15%
10%
5%
45%
5%
Australian Shares Growth
CLEARVIEW MANAGED INVESTMENTS
6.36% 8.19% 24.44% 15.80%
CLEARVIEW PENSION PLAN *
8.06% 10.07% 25.46% 16.99%
CLEARVIEW ROLL-OVER BOND ** 6.77% 8.33% 21.71% 14.39% CLEARVIEW SUPERANNUATION AND ROLL-OVERS* 6.82% 8.39% 21.93% 14.57%
95%
Guaranteed
100%
CLEARVIEW SAVINGS BOND **^
0.00% 0.00% 0.00% 0.00%
5%
Managed Units
5.3%
14.7%
CLEARVIEW ROLL-OVER BOND **
3.32% 2.53% 5.94% 2.73%
15%
10%
CLEARVIEW SAVINGS BOND ** 1.86% 1.39% 4.46% 1.41% CLEARVIEW SUPERANNUATION AND ROLL-OVERS* 3.30% 2.52% 5.92% 2.69%
5%
45%
7.2%
CLEARVIEW MANAGED INVESTMENTS
4.23% 3.43% 8.56% 4.68%
22.8%
20%
CLEARVIEW PENSION PLAN *
4.77% 3.97% 9.28% 5.17%
CLEARVIEW ROLL-OVER BOND ** 4.08% 3.31% 7.80% 4.68% CLEARVIEW SUPERANNUATION AND ROLL-OVERS* 4.22% 3.61% 8.33% 4.65%
15%
5%
30%
10%
Diversified Stable
9.7%
CLEARVIEW MANAGED INVESTMENTS
1.57% 0.23% 2.76% -0.38%
5%
5.3%
5%
CLEARVIEW PENSION PLAN *
1.89% 0.85% 3.48% -0.19%
10%
CLEARVIEW ROLL-OVER BOND ** 1.52% 0.52% 2.95% 0.07% CLEARVIEW SUPERANNUATION AND ROLL-OVERS* 1.52% 0.62% 2.94% -0.24%
55%
Asset Allocation
Performance information as at March 2022. Past performance is not an indication of future performance. The value of an investment may rise and fall. ClearView Pension Plan previously known as ClearView Allocated Pension. The asset allocations shown are the target allocations for each fund and may not sum to 100 due to rounding. Due to market movement and timing of rebalances the actual allocation at any point in time may be up to 2% above or below those displayed. * Closed to additional/new investments and inward switches. ** Closed to additional/new investments. ^ ClearView Life Assurance Limited guarantees that the redemption price of Guaranteed Cash Units will not fall.
International Equities Australian Equities Listed Property Fixed Interest Listed Infrastructure Emerging Markets Cash and Short Term Securities
Investors please note: Past performance is not a basis for assessing future performance. Future performance is not guaranteed by the Responsible Entity, Manager or the Trustee, as applicable. The unit prices used for determining performance calculations are based on exit prices. Performance figures are net of ongoing management fees and applicable government taxes or duties, and do not include entry or exit fees. Performance figures for the ClearView Managed Investments assume the reinvestment of distributions. Unit prices do not take into account any entry or exit fees applicable to the product. Unit prices are dependent on economic conditions, investment manage- ment, future taxation and management charges. ClearView Life Assurance Limited, trading as ClearView Life, guarantees that the price of Guaranteed Cash units will not fall. The value of other types of units may rise and fall. ClearView Superannuation and Roll-overs and ClearView Pension Plans are issued by ClearView Life Nominees Pty Limited as Trustee of the ClearView Retirement Plan. ClearView Managed Investments are issued by ClearView Financial Management Limited as the responsible entity. Full details for the above products and their terms and conditions are described in the relevant Product Disclosure Statements ( PDS ). You should consider the relevant PDS in making a decision whether to buy or continue to hold the product. You can obtain a PDS for a product by calling ClearView on 132 977. The ClearView Savings Bond and ClearView Roll-over Bond are closed to further investment and are issued by ClearView Life Assurance Limited trading as ClearView Life. ClearView Financial Management Limited ABN 99 067 544 549 AFS Licence No. 227677. ClearView Life Nominees Pty Limited ABN 37 003 682 175 AFS Licence No. 227683 RSE Licence No. L0000802. ClearView Life Assurance Limited ABN 12 000 021 581 AFS Licence No. 227682, which also trades as ClearView Life.
Viewpoint Edition 2 2022 • 11
Markets performance subdued as rate hikes spook investors Investors have seen significant volatility in markets over the first quarter of 2022, as Russia’s shock invasion of Ukraine led to further inflationary spikes and the Omicron variant of COVID-19 continued to spread.
In March, the US Federal Reserve announced its first interest rate rise since 2018, signalling what may be the end of two decades of quantitative easing from central banks around the world. The US central bank is expected to raise rates as many as six more times by the end of 2022, with inflation poised to hit a peak of 8.5% in the US economy in April. 1 However at home the Reserve Bank has been more cautious. The Australian central bank kept rates on hold at a record low of 0.1 per cent in April, but flagged it was turning more hawkish in its outlook, with some economists predicting a rise to as much as 1 per cent by the end of 2022. Meanwhile, the Reserve Bank of New Zealand began rate rises at its February meeting, while the European Central Bank is expected to potentially increase rates twice before the end of the year. 2 The rate hike in the US, and the threat of further runaway inflation has had a dampening effect on equity markets, with the ASX200 recording significant falls in March before regaining ground to rise above 7400 points at the end of the month. The S&P 500 and other US stock indices recorded their worst quarterly losses since the onset of the COVID-19 pandemic, with the tech-centric NASDAQ index in particular continuing to suffer.
However, the focus on war in Ukraine and the resulting potential shortages in commodities has seen better performance in Australian equities in April. The local economy is looking strong heading into the federal election, with unemployment at its lowest level since 2008 and expected to continue dropping. 3 However, experts are predicting the end of the nation’s COVID-19 driven house price boom, with property values expected to drop by as much as 10 per cent by year end. The Reserve Bank’s own forecasts suggest that a hike in rates to 2 per cent – not expected any time this year – would see house prices fall by around 15 per cent, with the median home value in Sydney dropping by around $200,000 according to CoreLogic figures. After a rocky start to the year with the spread of the Omicron variant and subvariant BA.2, consumers remain unsure about the economic prospects of 2022. Roy Morgan’s most recent confidence index saw consumer sentiment rise slightly to 94.6 points, but remain significantly below figures relating to those of the same time last year, before a series of lockdowns relating to COVID-19 variants began to stall the nation’s progress out of the pandemic. 4
1 The outlook for equity markets in 2022. ClearView, March 2022: https://mcusercontent.com/bc1d166c1b42f6fd478e6f1f3/files/4d3ed43e- 7771-de0b-5064-f41bba23715b/CVE_0279_The_outlook_for_equity_markets_in_the_year_ahead_V2.pdf 2 Market wrap: US inflation, rate hikes among five things to watch in markets this week. The New Daily, 11 April 2022: https:// thenewdaily.com.au/finance/2022/04/11/markets-this-week-april-11/ 3 Market wrap: US inflation, rate hikes among five things to watch in markets this week. The New Daily, 11 April 2022: https://thenewdaily.com.au/finance/2022/04/11/markets-this-week-april-11/ 4 ANZ Roy Morgan Consumer Confidence Index up 1.2 points to 94.6. Roy Morgan, 12 April 2022: https://www.roymorgan.com/ findings/8955-anz-roy-morgan-consumer-confidence-april-12-202204110651
Contact information: Head office Level 15, 20 Bond Street Sydney NSW 2000 Call: 132 977 | Mon - Fri, 8am - 5.30pm AEST
Postal address GPO Box 4232 Sydney NSW 2001
ClearView Life Nominees Pty Limited ABN 37 003 682 175, AFSL No. 227683, RSE Lic No. L0000802 ClearView Life Assurance Limited ABN 12 000 021 581, AFSL No. 227682 ClearView Financial Management Limited ABN 99 067 544 549 AFSL No. 227677
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