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Average Australian households have seen their incomes rise by at least $5000 more than their expenses every year since 1988, according to a report released on Saturday.
Combined, this means disposable incomes for the average household have increased a whopping 65% since 1988. More than 15% of this growth has come since the global financial crisis.
This picture of a nation in rude financial health comes from a <a target="_blank" rel="nofollow" href="https://www.natsem.canberra.edu.au/storage/NATSEM-Household-Budget-Report.pdf">report</a> by the National Centre for Social and Economic Modelling at the University of Canberra.
The inaugural report found that though incomes hadn’t risen as fast since 2008 as they had in the earlier part of that decade, cost of living pressures had slowed, meaning households saw their incomes rise while their expenses stayed about the same.
While expenses like utilities, health and education rose strongly over the period, lower interest rates meant mortgage pressure decreased markedly, as did many other aspects of household expenditure.
This is a surprising outcome, given cost of living has been much discussed in this election campaign. Policies like the carbon tax, which contributed to former Prime Minister Julia Gillard losing the support of her party room, were feared to have a detrimental effect on what were perceived to be already high cost-of-living pressures.
In fact, the amount of disposal income left over to households after subtracting the cost of living increases grew at 2.6% a year since 2007, which is the exact amount it had grown under the Howard government. Between 2007 and 2010, household expenses grew by 3.3% a year while incomes rose close to 6% a year, while from 2010 to June 2013, cost of living rose 1.6% a year while incomes rose 4.2%.
Increases in the cost of living have been “benign”, according to the report, but they have disproportionately hit renters and those on low incomes. Those on high incomes have generally seen their costs of living stay the same.
The report’s author, Ben Phillips, said cost of living has been an election issue for decades, and the influence of the narrative often has little to do with reality.
“Politicians have been talking about it for a long time. I suppose it really hits the buttons of voters.
“But the problem is that the discussion usually complete ignores the prices of things outside electricity, petrol and food, and completely ignores things like rising incomes.
“We all notice when prices go up. It annoys people. Income growth, however, isn’t as visible.”
It’s the first time the National Centre for Social and Economic Modelling has released what is to be a quarterly report. Phillips says that it follows on from similar research the centre did in May 2012.
“We had an unprecedented level of interest in that data,” he says. “I had government departments and journalists calling me almost on a daily basis asking about it. Many wanted updated figures, so it became pretty clear there was a need for this sort of thing to be done regularly.”
The Household Budget Report combines Australian Bureau of Statistics data on household expenditure for different types of households with separate ABS data on income growth across different categories. It uses these two data sets to see how different types of households have seen their income grow relative to their expenditure.
The ABS currently has a similar, but far more limited measure intended to help governments assess income support measures. The National Centre for Social and Economic Modelling’s report differs in that it applies the same methodology to all types of households, and not just those on government assistance.
 
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 This article was originally published on <a href="https://www.smartcompany.com.au" target="_blank">SmartCompany</a>.
 
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mrobin-TVRYiru7si

What cost of living crisis? Australian households have more money to spare than ever

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Regional and suburban Australia has trumped the nation’s largest central business districts and population centres in the second annual Google eTown awards.
Google this morning revealed the state winners of its awards, which reward the cities, suburbs and towns where local small businesses make the best use of the internet.
The tech giant used its own internal data, as well as insight from a survey commissioned from research firm Ipsos and sent to local small businesses, to identify the digital marketing methods small businesses in the area were using to grow their business.
The winners of the awards were smaller cities or suburbs of major cities, where local councils and businesses had made a concerted effort to bridge the tyranny of distance and compete with the central cities using the online tools available to them.
Last year, Google Australia’s head of local business Claire Hatton said the winners had higher population densities.
“Now though, it’s about the town’s real assets – its small business owners and employees.”
The winners show the importance of local councils taking a lead, Hatton says.
“Many of the winning towns and cities had a council that was very active in education – in helping people understand the digital opportunities.
“A good example of that was Port Phillip’s council, who ran business development programs as well as an online portal for small businesses.
“And a lot of the councils themselves have really invested in digital and see it as a competitive advantage. Holdfast Bay, for example, has invested in a dedicated role for the council’s social media.”
Port Phillip, located in Melbourne’s South, was the Victorian winner. Port Phillip mayor Amanda Stevens says she isn’t surprised her community was singled out for its web-savvy.
“The City of Port Phillip has run extensive business development programmes and launched an online portal to support local businesses to grow. We also know from our research that businesses are most interested in training in marketing and having an online presence, so we also hold regular events with digital innovation thought-leaders to bring that knowledge to the area,” said Mayor Stevens.
“Port Phillip also has one of the most highly-educated communities. Couple that with our biggest age group being 25-34 year olds, and you have a young community thoroughly engaged in new ideas and technology.”
One of the businesses in Port Phillip is RPS The Board Store, a specialist wind and kite-surfing store that’s been operating in the area for 23 years.
Its owner, Andrew McCredie, said that digital marketing and sales channels meant he could get his equipment to a far wider range of sport enthusiasts than ever before. “We find that customers conduct a lot of research before they come into the store, so when we have sales or a new product we’ll start targeted search marketing and make sure everything is up and ready online.
“Recently we sold a snowboard 10 minutes after posting it online, as that particular customer had been waiting for someone to stock it locally.”
For small business owners, the awards emphasise the importance of becoming digitally-savvy, Hatton says.
“Small businesses have a real competitive advantage now that the internet is there.
“But consumers are still ahead of business. Small businesses need to understand that this day, having a digital presence is like having a phone.
“Whether you’re a boutique hotel, beautician or surf school, if you’re not online you’re missing out on a direct line to thousands of potential customers.”
The state-by-state winners: 
<ul style="margin: 20px 0px 20px 15px; padding: 0px; font-family: 'Open Sans', 'Helvetica Neue', Arial, sans-serif; font-size: 14px; line-height: 20px;">
<li style="margin: 0px; padding: 0px; position: relative; left: 20px;">
Cockburn, WA
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Darwin, NT
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Port Phillip, VIC
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Holdfast Bay, SA
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<li style="margin: 0px; padding: 0px; position: relative; left: 20px;">
Launceston, Tasmania
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<li style="margin: 0px; padding: 0px; position: relative; left: 20px;">
North Sydney, NSW
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<li style="margin: 0px; padding: 0px; position: relative; left: 20px;">
South Canberra, ACT
</li>
<li style="margin: 0px; padding: 0px; position: relative; left: 20px;">
Sunshine Coast, Qld
</li>
</ul>
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/" rel="nofollow">SmartCompany</a>.
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Google's top suburbs for local business internet savvy

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The Australian Taxation Office plans to clamp down on self-managed super fund trustees who move their assets around before selling them to avoid capital gains tax.
In a draft ruling issued last week, and open for public comment until September 4, the ATO said that from July 2014, SMSF trustees will have to obtain an actuarial certificate to claim the pension income-tax exemption, or entirely segregate their SMSF fund assets into those that are in the accumulation phase and those that bear liability for their current pension.
Failure to do so could result in the ATO pursuing them under tax avoidance provisions.
Currently, SMSF assets used to pay out pensions are tax-exempt, whereas assets that don’t currently have any pension liability still incur capital gains tax.
The ATO also flagged its concern about trustees moving assets from the accumulation to the pension stage before selling them to avoid capital gains tax.
“If an asset is purported to be segregated [i.e. claimed to be in the pension phase and thus tax-exempt] shortly before disposal, and then disposed of in circumstances where a capital gain is claimed to be exempt income, it will be a question of…whether it was invested or otherwise being dealt with for the sole purpose of enabling the fund to discharge liabilities in respect of superannuation income stream benefits,” the ATO’s draft ruling stated.
The ruling will have broad implications, as most self-managed super funds both distribute pensions and accumulate superannuation, AMP SMSF head of policy and technical Peter Burgesssaid. This can be for multiple members or for the same member if they are still working past the age where they get access to their super.
“What the ATO talked about is if you want your fund to be treated as a segregated fund, you have to ensure that your assets are entirely segregated,” he says.
“They used examples where you could have a property within a self-managed super fund and say a certain proportion of that property is tax-exempt as it’s in the pension stage and the rest is within the accumulation stage, and try to treat the fund as segregated.
“The ATO says they don’t think that suffices. You need to make sure that if it’s a property, it either sits entirely within the pension pool, or you treat it as an unsegregated fund, in which case you need an actuarial certificate to determine which parts are tax exempt and which parts are not. None of this business where you say it’s segregated when it’s not to avoid the cost of an actuarial certificate.”
The ATO is obviously also concerned about individuals wanting to use the tax-free provisions surrounding pension assets to avoid capital gains tax, Burgess says, “which they would do by transferring an asset from the accumulation part of the portfolio to the pension part and then selling it shortly after”.
However, Burgess said the ATO did not define what “shortly after” meant, and so it remains unclear how long an asset must be held so as to not flag alarm bells with the taxman.
Aside from property, other assets likely to be affected by the change are things like joint bank accounts.
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/">SmartCompany</a>.
 
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ATO set to clamp down on SMSF trustees who move assets to avoid capital gains tax

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The unemployment rate in June ticked up to 5.7% from 5.5% the month before, according to figures released this morning by the Australian Bureau of Statistics.
This is slightly higher than had been expected, with an AAP survey of 14 economists having tipped a 0.1% rise to 5.6%.
The economy added 14,800 new part-time positions in June, but lost 4,400 full-time jobs. The participation rate (those in jobs or currently looking for employment) rose to 65.3% from 65.2%, suggesting some of the increase in unemployment could be due to more people actively looking for jobs than during the previous month.
On Monday, an ANZ monthly survey of job advertisements found they had fallen for the fourth consecutive month during June, adding a 1.8% fall to the 2.5% fall in May. Job advertisements are 19% below the level they were at a year ago.
Unemployment is one of the key measures looked at by the RBA when it decides whether to cut official rates.
Just before the unemployment figures were released, Westpac senior economist Justin Smirk said the pressure remains on the RBA to cut rates further in its August meeting.
“The fact that inflationary expectations remain well anchored suggests they have ample scope to do so should they decide it is necessary,” he said.
Stocks up after positive comments from Fed chair
The Australian sharemarket was up 1.03% at 10.20 this morning, after the minutes of the latest United States Fed meeting reassured American markets overnight..
The benchmark S&amp;P/ASX200 index rose 49.9 points or 1% to 4,951.3 at 12.00 AEST, while in the United States the Dow Jones Industrial average fell 8.7 points or 0.1% to 15,291.
“Bernanke’s statements following the release of the minutes provided confidence after he reassured that the Fed won’t automatically increase interest rates after the unemployment target rate is reached,” says Miguel Audencial, a sales trader at CMC Markets.
“The reaction of the market was positive with the US stock futures rising after hours. I would expect this boost to flow through the Australian and other Asian markets today as well,”
Leading the gains were energy traders, buoyed by strong gains in the price of crude oil overnight.
Hiring managers budget for 3-5% salary increase as unemployment rate edges up
Three in four (74%) hiring managers are bracing for annual salary increases of 3-5%, according to a survey of 1,800 Australian hiring managers released yesterday by recruitment consultancy Michael Page.
The survey also found salary concerns to be the leading reason for employees leaving a business, according to 30% of those surveyed. Another 28% nominated gaining more experience as the key reason employees jumped ship, while 13% said employees left for better promotion opportunities.
For the year to February 28, salaries rose 3.5%, according to data collected by Hays Group. This is above the inflation rate, which for the year to the end of February stood at 2.5%.
“Unemployment is still comparatively low and some sectors and job functions continue to have skill shortages,” Hays Group noted in its report, adding that this put talented employees in a good position to negotiate.
This article originally appeared on <a href="https://www.smartcompany.com.au/" target="_blank">SmartCompany</a>.
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Unemployment climbs to 5.7%

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Sarah Curran is the entrepreneur behind online fashion retail dynamo my-wardrobe.com. Seven years ago, the then French-based Curran sold her house to fund the start-up of her company.
Now, my-wardrobe.com is on target to hit £20 million ($33 million) in sales this year, which is up 40% on the year before. The company has offices in London and Nottingham, as well as in Sydney, New York and Norway, and employs close to 100 staff.
Curran was interviewed from Istanbul, where she was a keynote speaker at the Dell Women’s Entrepreneurship Network conference.
My passion for keeping connected with the customer comes from having originally had my boutique in North London. When I launched my-wardrobe, I really wanted to retain that personal element. Online, you’re faceless, and it’s very easy for a customer not to relate with you and to shop without that emotional touchpoint. That’s been a real challenge, but I love a challenge. It was an opportunity to solve the problem.
The way we do it is we have our events, which we host in every territory where we have an office. They’re a way of letting a customer see the trends of the season, and of allowing the customer to feel part of the community. They’ve proved very successful.
It’s not about selling on the night. I remember when we did our first one in London. A woman came up to me and said it was really amazing that she didn’t feel pressured to buy something. I said: ‘It’s not about shopping.’ It’s about seeing the trends and thinking about how to wear them, and about being connected to the my-wardrobe brand.
In growing the business, our biggest challenge has been marketing. We didn’t have the cash to invest in customer acquisition. We grew organically. Once we get a customer, our retention is extremely high. We’re sitting at 65%, most sit on 30-40%. We do invest heavily in our team that supports customers and makes sure they’re loyal to us. We just didn’t have the cash to get more of them.
Events and partnerships helped with that. That’s how we started our relationship with Dell. We partnered with people who were much bigger than us, but not in fashion. We thought about the brands our customers were engaged with, in terms of beauty, lifestyle, health and technology. We used partnerships to bring us new audiences.
Australia is our second largest market. Our Australian customers have a higher average order, and they spend more time browsing. Our statistics are very high and very positive with regards to the Australian market.
I don’t believe in just going into a territory, taking market share, and not giving back. Having an office in Australia, and participating in things like the Melbourne Fashion Festival, are our way of adding value. We believe in doing things like finding and selling new Australian designers. The relationship has to go both ways. I’m not comfortable otherwise. It’s a moral obligation.
All our customer sales girls come from a fashion background. All have been trained on the key products and seasons, as well as the new designers. Those sorts of things are really important.
We think it’s important to be flexible about how we show a product online. So when you go to a product, you can scroll and see it in different ways. No other site does that. It was important for me to make the item as relevant to as many people as possible. So, a woman might say, ‘oh, I’d wear it like that instead’.
Myriam Robin travelled to Istanbul as a guest of Dell, which paid for her flights and accommodation.
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/">SmartCompany</a>.
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How to grow a business when you can't afford marketing: my-wardrobe.com's Sarah Curran

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The world’s wealthiest have recouped the losses incurred in the 2008 banking crisis, and are now richer and more numerous than ever.
Today there are more than 103,000 of what wealth watchers call ‘ultra-high-net-worth-individuals’, usually referred to as UHNWIs. To rank as an UHNWI, you need at least $30 million in assets. On top of that, there were 12 million high net-worth individuals worldwide, defined as those with $1 million in investable assets. There were 9% more high net-worth individuals this year than last.
Those figures are from an <a target="_blank" href="https://www.capgemini.com/thought-leadership/world-wealth-report-2013-from-capgemini-and-rbc-wealth-management" rel="nofollow">annual wealth report</a> released last week by RBC Wealth Management and consulting firm Capgemini. The ranks of the world’s wealthiest grew strongly last year, following on from another healthy rise in 2011, when the numbers of the super-wealthy first hit pre-crisis levels.
The United States has had a <a target="_blank" href="https://www.smartcompany.com.au/economy/056123-dollar-plummets-and-sharemarket-drops-20-billion-what-does-the-us-fed-s-decision-to-end-economic-stimulus-mean-a-smartcompany-q-and-a">run of positive economic figures in recent months</a>, and the report unearths another. The number of high net-worth individuals in North America increased 11.5% in 2012 to hit 3.73 million. This put North America back on top as the continent of millionaires, eclipsing the Asia-Pacific, which grew 9.4% to boast 3.68 million millionaires, of which 207,000 live in Australia.
The report was prepared for wealth managers, so it looked in some detail at the investment preferences of the world’s richest. It surveyed 4000 global high net-worth individuals about how they like to invest their money and unearthed an interesting paradox.
Leverage and risk are how entrepreneurs get wealthy. But the wealthy people surveyed for the report showed a clear bias towards conservative asset allocation, putting nearly 30% of their wealth into cash and deposits.
This aversion to risk applied across all ages and wealth levels, and, the authors write, suggests a low level of trust in financial markets.
Japanese millionaires were the most likely to leave their wealth in cash, while North American investors favoured equities (putting nearly 30% of their money into the stock market). Australia’s millionaires put more of their wealth than the global average into property, which is unsurprising, given <a target="_blank" href="https://www.propertyobserver.com.au/https://leadingcompany.smartcompany.com.au/wealth/rich-tales-the-four-secrets-behind-how-the-brw-rich-200-made-their-fortunes/201305264301" rel="nofollow">a quarter of the people on the Rich List got there through property investments</a>.
A preference for cash wasn’t the only sign of caution those surveyed displayed. Even when they did invest in shares and property, most of the millionaires said they invested around 80% of their assets in their home country, as opposed to seeking out wherever in the world they could get the greatest return.
“Given recent market rallies, there is little doubt that the high allocation to more stable assets has likely caused some HNWIs to miss opportunities for wealth growth,” the report states.
“However, this is often a conscious decision as some HNWIs willingly forego returns in exchange for the safety of capital. As the global economy stabilizes and markets expand, HNWIs seeking growth will have the potential to put more of their wealth to more productive use.”
This is interesting because global interest rates are low. Low interest rates mean low returns for cash deposits, meaning investors would do well to pivot out of cash, as <a target="_blank" href="https://www.smartcompany.com.au/sponsored/055505-search-for-value-the-top-underrated-investment-opportunities-of-2013-4">many wealth management advisers say</a>.
It’s good advice. But it seems that for one reason or another, the world’s richest are favouring far more conservative investment strategies than the ones we’re normally advised to pursue.
Maybe they figure that once they’ve hit the jackpot, there’s little to be gained in jeopardising that. Or, perhaps, they’re still cautious about the global economy.
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/">SmartCompany</a>.
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The world's wealthiest have bounced back from the GFC, but have become risk averse: Myriam Robin

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Reading through the stories of the 200 richest people in Australia, as ranked by BRW last week, it quickly becomes clear that no two fortunes are the same.
But there are commonalities in how Australia’s 200 richest people got that way.
The men on the rich list (<a href="https://www.smartcompany.com.au/wealth/055293-rich-tales-why-our-female-entrepreneurs-aren-t-fabulously-wealthy" target="_blank">all but 14 are men</a>) worked long and took risks to get there. They chose strategic industries and saw their fortunes rise with global trends. They bet on economics as well as on themselves.
Want to join the Rich List? Here’s how to do it:
1. Start a business
The majority of the names on the Rich 200 are there because they started and led a business to national and global success.
But not just any business. Certain industries stand out.
For all we wring our hands about the future of retail, plenty of the fortunes on the Rich List were made off businesses that did just that. In fact, 27 out of the 200 made their fortune in retail.
Another area that can make you a fortune if you do it right is technology. As <a href="https://www.smartcompany.com.au/wealth/055691-brw-rich-200-list-revealed-atlassian-founders-join-fellow-smart50-alumni-gabby-and-hezi-leibovich" target="_blank">we revealed last Thursday</a>, there are four Smart50 winners on the list, and all of them made their fortune in IT.
There are <a href="https://www.smartcompany.com.au/wealth/051844-five-ways-to-go-from-the-smart50-to-the-rich-list-5" target="_blank">a few reasons</a> why tech businesses make so many people rich. For one, your running expenses are likely to be relatively lower, giving you strong margins if your model is sound. Not to mention technology businesses can be scaled up relatively quickly, which makes them ripe for growth and economies of scale.
And when sold, technology businesses can command multiples far in excess of many other industries, landing their founders in the money even if the business itself isn’t making much money yet.
2. Failing that, invest in property
It’s not just a successful business that can make you rich. A full quarter (52 out of 200) made their wealth in property.
In Australia, this figure hasn't budged much for the last 30 years. No other single investment has been as likely to deliver steady returns over the past three decades.
3. Go it alone
Many businesses are founded by groups of two or more people. To get around the difficulties of separating out jointly held fortunes, the BRW list can consider cofounders and families to hold a fortune jointly. You’d think that, given this is the case, there would be plenty of duos and trios on the list.
But this isn’t the case. There may be benefits to working with a cofounder, but when it comes to making a lot of money, the experiences of the Rich Listers suggests you’re better off going alone.
In the 2013 list, there are a few families, but no cofounders. Atlassian cofounders Mike Cannon-Brookes and Scott Farquhar are both on the list, but with separate entries, holding $250 million apiece.
4. All work no play makes you very, very rich
At an age when most Australians are looking forward to retirement, plenty of people on the list are still signing deals and making money. For example, 86-year-old Len Ainsworth could have been happy resting with one company, Aristocrat. But <a href="https://www.propertyobserver.com.au/https://leadingcompany.smartcompany.com.au/leadership/a-year-in-the-life-of-australia-s-richest-why-james-packer-wins/201212173323" rel="nofollow" target="_blank">in his 80s he built another</a> – Ainsworth Game Technology – whose shares rose 400% last year.
The average Rich Lister is 65 years old, but far off retirement. Plenty of them aren’t the type to relax and smell the roses anyway. For example, Glencore Xstrata chief Ivan Glasenberg (fifth on the list with $5.61 billion) recently said that his staff “don’t do” work-life balance. Instead, he said, they were all rich.
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/">SmartCompany</a>.
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Four secrets behind the fortunes of the BRW Rich 200: Myriam Robin

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Switzerland. The home of good cheese and better chocolate, accurate watches, and, for as long as anyone can remember, the place the wealthy parked their money, with no one asking where it came from.
But with the rise of Asia and with a new cohort of Rich Listers, that’s all changing, according to a report released last week by private banking research group WealthInsight.
The Family Office briefing is a yearly report the research group produces looking at where the world’s most exclusive wealth management firms, who control $US19.3 trillion, are putting their money. In 2011, the report said, Switzerland had 34% of that pie, but that share is shrinking.
Singapore is one of the main beneficiaries. In 2000, the city-state had just $50 billion of the money of the world’s top wealth managers. In 2011, the figure was $550 billion, and WealthInsight expects it will continue to grow.
For Australians, this perhaps isn’t so surprising. Rich Listers have been moving to Singapore for years. It makes sense their money would follow them. Mining speculator Nathan Tinkler moved to Singapore last year. He joined Facebook co-founder Eduardo Saverin, and the 17% of Singapore’s population that have a net worth over $1 million (the highest rate in the world).
Saverin said his move wasn’t about tax. Nathan Tinkler’s PR guy said something similar. But as <a target="_blank" href="https://www.smartcompany.com.au/wealth/050225-nathan-tinkler-and-the-billionaire-singapore-sprint">this SmartCompany story said at the time</a>, that’s all a bit rich.
Singapore’s income tax rate is capped at 20% for those earning income over $250,000. Corporate tax is capped at 17%. There’s no capital gains tax, no estate (‘death’) taxes for passing on wealth to the next generation, and that’s before you count all the tax incentives given to ‘angel investors’ and the like. Switzerland, on the other hand, will <a target="_blank" rel="nofollow" href="https://www.news.com.au/business/breaking-news/tax-hike-for-switzerlands-rich-foreigners/story-e6frfkur-1226582381414">raise taxes on foreigners</a> from 2016.
Rich Listers usually have to live most of the year somewhere to be able to claim they should be taxed under its laws. For many of the world’s rising billionaires, Singapore is simply closer to home.
It’s a nice place too, the millionaires said when the Economist Intelligence Unit asked them last year where they liked to be when abroad. It was the <a target="_blank" rel="nofollow" href="https://www.rikvin.com/blog/singapore-preferred-rich-mobile/">most popular destination in Asia</a>, chosen by almost a third (31%) of the millionaires surveyed, eclipsing Hong Kong, which was chosen by 24%.
In February, the Hurun Report, a Chinese luxury magazine started by ex-Forbes researcher Rupert Hoogewerf, <a target="_blank" rel="nofollow" href="https://www.google.com/hostednews/afp/article/ALeqM5jb6rXlw5ejXtyygXAtY3nXqulPLw?docId=CNG.35c1755a38f1d8d285b55d8f38343648.591">wrote that</a> of the world’s 1453 billionaires, 608 of them were Asia. Only 324 were from Europe, while America can boast 440.
Proximity with Singapore is a bonus for Australia’s Rich Listers too. With a few exceptions like Swiss-based Ivan Glasenberg, our 32 billionaires travel more to Asia than they do to Europe.
Switzerland’s reputation as a safe place to park your money can’t have been helped by the spate of arrests by US authorities of those who use it for tax evasion.
A few years back, Swiss financial adviser Beda Singenberger <a target="_blank" rel="nofollow" href="https://www.bloomberg.com/news/2013-03-12/u-s-tax-cheats-picked-off-after-adviser-mails-it-in">accidentally mailed a list of US clients he’d helped avoid their taxes</a> to someone who passed the list onto US authorities. Those authorities now seem to be systematically going after the people on the list one by one.
And from 2009, fearing lawsuits, <a target="_blank" rel="nofollow" href="https://articles.economictimes.indiatimes.com/2013-03-14/news/37713520_1_bank-wegelin-patrick-odier-ponzi-scheme">Swiss banks began agreeing</a> to open their books to authorities investigating laundering and tax evasion, eroding their reputation for privacy.
Coupled with recent crackdowns in places like Luxembourg and the Caribbean, this all makes Singapore look even more attractive as a home for the wealthy and their millions. This must make the money-movers in Zurich very nervous.
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/">SmartCompany</a>.
Image of Singapore courtesy of Flickr.
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Rich turn to Asia as exclusive wealth management firms park money in Singapore

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The International Monetary Fund expects Australia will grow at a slightly lower pace in 2013 than it did in 2012, predicting total growth of 3%, followed by 3.3% in 2014. Last year, the Australian economy grew at 3.6%.
China is projected to grow at 8% this year, up from last year’s 7.8% growth, while India is also expected to accelerate, rising to 5.7% growth from 4% last year.
‘‘We are in a better place but ... we’re not out of the woods,’’ IMF chief economist Olivier Blanchard reportedly said at a media conference when releasing <a target="_blank" href="https://www.imf.org/external/pubs/ft/weo/2013/01/pdf/text.pdf" rel="nofollow">the IMF’s quarterly World Economic Outlook.</a>
Tom Taylor, the head of international economics at NAB, says the report is largely good news as it shows the IMF thinks the global economy has hit its low-point.
“Most of the world’s growth for the past few years has been occurring in places outside the developed, advanced economies,” he said.
“The IMF report envisages a gradual pickup in global economic growth, coming from an acceleration in the big advanced economies, like the United States and Japan, and an ending of the recession in the eurozone.”
“Across the big advanced economies, we can see growth is expected to accelerate… and that’s pretty consistent with [NAB’s] own views.”
The United States is expected to grow at 1.9% in 2013, down from 2.2% in 2012, before accelerating to 3% in 2014. Estimates for Japan have been dramatically revised upwards to 1.6% in 2013, after the government announced a large program of monetary easing earlier this month. January’s IMF outlook report had expected Japan to grow at just 0.4% in 2013.
The IMF expects world growth to grow at 3.3% this year and then 4% in 2014.
However, Taylor said, the report also highlights risks that hang over the global economy.
“The first of these is the eurozone, where we’ve been reminded recently of the dangers given the problems in Cyprus,” he said.
“The second one is the concerns over the US budget. So far this year, that’s turned out better than it might have, but are still concerns.”
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/" rel="nofollow">SmartCompany</a>.
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Australia's growth to slow slightly in 2013: IMF

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The CEO of Aussie Home Loans, Stephen Porges, has resigned from his position to “pursue other interests” just one month after the Commonwealth Bank of Australia bought 80% of the mortgage broker.
Porges led the company through the global financial crisis after becoming chief executive in August 2008 and worked closely with chairman and founder John Symond.
However, Symond told The Australian that Porges felt he wasn’t the person to take the company “to the next stage”.
“There is going to be a lot more reporting, just on governance, being a big public company,” Symonds said.
The chairman added that he was down to “two or three” potential replacement CEOs, and that the decision on who to appoint would be his. This is despite reports that CBA will now appoint four of the six directors on the board of Aussie Home Loans.
<a target="_blank" href="https://www.propertyobserver.com.au/https://leadingcompany.smartcompany.com.au/leadership-styles/the-ceo-seat-aussie-group-s-stephen-porges/201302203731">In a profile two months ago</a>, Porges stressed the broker’s continued independence.
“There was some confusion at the start from both staff and partners as to whether we’d simply become a CBA shop. It is, however, absolutely 100% business as usual.
“Having a very solid partner behind us that understands and values what we do – that is, providing in every situation the right product for the customer, for their unique situation, irrespective of the provider – simply means we’ll be a stronger competitor.
“Standing up for the consumer always has been, and will continue to be, in Aussie’s DNA.
“Customers have given us their trust. We’re very aware of that and the responsibility that brings. I’d hope that we’re judged on how we’ve performed with customers in the past and how we’ll continue to do so in the future.”
Last month, the Australian Competition and Consumer Commission assumed CBA would control Aussie Home Loans in its ruling on the matter. However, it allowed the purchase, given that the mortgage broker only had a 6% market share and there were other distribution channels for rival banks.
This article originally appeared on <a href="https://www.smartcompany.com.au/" target="_blank">SmartCompany</a>.
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Stephen Porges not the right person for Aussie Home Loans' next stage: John Symond

South East Queensland developer&nbsp;<a href="https://www.apartments.com.au/developers/gardner-vaughan-group">Gardner Vaughan Group</a>’s entry into the Gold Coast apartment market has progressed from pipeline to market, with its Chevron Island project Bronze on Chevron now formally available to purchase ahead of a planned 2029 completion.

The 119-apartment development on Mawarra Street marks the Brisbane-headquartered builder-developer’s first residential play in the Gold Coast, following its expansion south from Brisbane and the Sunshine Coast.

<a href="https://www.apartments.com.au/new-apartments/bronze-on-chevron-8-mawarra-street-surfers-paradise-qld-4217">Bronze on Chevron</a> comprises a mix of two-, three- and four-bedroom residences, with pricing starting from just over $1.5 million. The project is being delivered under Gardner Vaughan’s fully integrated model, with the group acting as both developer and builder, a structure it has consistently applied across its South East Queensland portfolio.

[smartcode_project:default project_id=107520 project_image_fid=367182]

Architecture has been designed by <a href="https://www.apartments.com.au/architects/cottee-parker-architects">Cottee Parker</a>, with landscape architecture by <a href="https://www.apartments.com.au/landscape-architect/jeremy-ferrier-landscape-design">Jeremy Ferrier</a>. The building presents as a single-tower scheme, with a focus on maximising outlook across both the Surfers Paradise skyline and the Nerang River.

Apartments have been planned with open-plan living zones extending to generous balconies, a response to the site’s dual-aspect positioning between river and ocean. Interiors follow a restrained coastal palette, with two colour schemes offered, and an emphasis on natural light and cross-ventilation.

[smartcode_project:default project_id=107520 project_image_fid=367181]

Resident amenity is concentrated across more than 1,250 sqm and includes a resort-style pool, gym, yoga lawn and rooftop entertaining areas. A function space with catering facilities forms part of the upper-level offering, alongside north- and south-facing outdoor areas.

Ground level will incorporate two retail tenancies, intended to extend the existing village character of the surrounding streets.

&nbsp;

[smartcode_project:default project_id=107520 project_image_fid=367200]

The project sits within walking distance of Thomas Drive’s established dining strip, while maintaining proximity to <a href="https://www.apartments.com.au/developments/surfers-paradise-qld-4217">Surfers Paradise</a> beach and broader Gold Coast amenity. The location, positioned on Chevron Island between the river and coastline, has increasingly attracted mid- to high-density development in recent years as the precinct evolves beyond its low-rise origins.

Gardner Vaughan’s move into the Gold Coast was first signalled in 2025, with the group identifying the region as a natural extension of its operations. Chief Executive Officer Simon Betteridge described the expansion as both “strategic and natural”, citing demand for well-designed apartments in lifestyle-driven markets.

Construction is expected to complete in early 2029.

[smartcode_project_cta:default project_id=107520]

Joel Robinson

Gardner Vaughan brings Bronze on Chevron to market as Gold Coast debut

One of the penthouses at Lily Lane, the latest stage of Carrington Place by Ellipse Property, has set a new local apartment price record.

The four-bedroom residence, purchased by a local downsizer, sold for $5.75 million—around 75 per cent higher than the previous record of $3.3 million.

Over 40 per cent of the first release of apartments at&nbsp;<a href="https://www.apartments.com.au/new-apartments/lily-lane-at-carrington-place-castle-hill-32-carrington-road-castle-hill-nsw-2154">Lily Lane</a> have already been snapped up just six weeks since it launched to the market.

&nbsp;

Located at 32 Carrington Road, <a href="https://www.apartments.com.au/developments/castle-hill-nsw-2154">Castle Hill</a> and designed by award-winning architects <a href="https://www.apartments.com.au/architects/ptw">PTW</a>, Lily Lane is directly opposite the Hills Showground Metro station. It offers a total 213 units over two 12-storey towers - a mix of 67 one-bedroom, 100 two-bedroom and 46 three-bedroom apartments - with a ground-floor retail offering.

[smartcode_project:default project_id=151821 project_image_fid=368352]

Blake Schulze, National Director – Residential at <a href="https://www.apartments.com.au/project-marketer/colliers">Colliers</a>, says around 44 per cent of buyers are&nbsp;owner occupiers, with 35 per cent being investors and 21 per cent first homebuyers.

“Developments of this calibre are very rare in the Hills District, and Lily Lane’s sales success demonstrates the depth of demand for over-sized apartments that genuinely compete with freestanding homes," Schulze says.

"We are seeing particular demand from downsizers who want to remain in the area but transition into spacious, high-quality apartment living."

On the penthouse sale, it says it shows buyers&nbsp;are prepared to pay a premium for scale, quality, and direct access to the Metro.

[smartcode_project:default project_id=151821 project_image_fid=368351]

One-bedroom apartments are sized from 50-72 sqm with prices starting at $745,000, while two-bedrooms are priced from $990,000 with sizes from 75 to 132 square metres. Three-bedroom floorplans are sized between 97 and 182 sqm,, with prices starting at $1,395,000.&nbsp;

The three remaining penthouses, spanning up to 262 sqm, are priced from $2.9 million.

Over 75 per cent of apartments include dedicated studies, multipurpose rooms or family rooms, with select layouts offering walk-in pantries and laundries. Apartments are appointed with premium Miele appliances including ovens, washing machines, dryers, gas cooktops and dishwashers, while larger residences also incorporate integrated Miele microwaves, Fisher &amp; Paykel integrated refrigerators and five-burner Miele cooktops.

[smartcode_project:default project_id=151821 project_image_fid=360285]

Lily Lane will be constructed by award-winning iCIRT-rated builder <a href="https://www.apartments.com.au/builders/decode">Decode Group</a>, with construction to commence in mid-2026 and expected to complete early 2029.

Carrington Place comprises more than 800 apartments and is being delivered across multiple stages, with completion expected in 2032. Integrated with neighbouring bushland, the project will feature over 20,000 sq, of outdoor recreational area, including a one-kilometre boardwalk to Fred Caterson Reserve.&nbsp;

The Hills Showground Metro Station is just a two-minute walk away, offering fast connectivity to Sydney’s CBD, North Sydney, Chatswood, Macquarie Park and Norwest Business Park.

[smartcode_project_cta:default project_id=151821]

Ellipse sets Castle Hill apartment record with $5.75 million Lily Lane penthouse sale

Fresh off completing its Delano Crows Nest development, Lindsay Bennelong has lodged plans for its next project, this time turning its attention back to the beach.

The developer, started 20 years ago by Clarendon Homes founder Peter Campbell, is proposing a 37-apartment scheme at <a href="https://www.apartments.com.au/new-apartments/17-25-ashburner-street-manly-nsw-2095">17-25 Ashburner Street</a>, Manly, positioned between the southern end of <a href="https://www.apartments.com.au/developments/manly-nsw-2095">Manly</a> Beach and East Manly Cove.

Lindsay Bennelong called on local architecture firm Platform Architects to design the new building, given their success at Finn, Lindsay Bennelong's current luxury apartment project on North Steyne.&nbsp;

According to the Design Verification Statement by Bridie Gough of Platform Architects, the proposal “relates to the current context but also the desired future character of taller buildings suitable to the new planning controls.”

The site has been identified as a Low to Mid-Rise Housing (LMR) location, given its position within 400 metres of the Manly Town Centre E1 Business Zone. The LMR controls are intended to unlock additional housing supply in well-located areas close to public transport, allowing developers to seek increased height limits to support greater density.

“The proposal seeks to provide this increased level of housing whilst being respectful of some of the smaller scale buildings also nearby,” the statement reads.

Lindsay Bennelong Development Director Leigh Manser said the project has been carefully aligned with the intent of the LMR controls. The proposal will significantly increase housing yield on the site, replacing four houses and 10 apartments, comprising 25 bedrooms, with 37 new apartments delivering a total of 94 bedrooms, whilst remaining compliant with the LMR controls.

“Sydney is in a severe undersupply, and delivering more dwellings and more bedrooms than what currently exists is exactly what the LMR policy is designed to activate,” Manser said, noting that nine of the apartments will be allocated as affordable housing for frontline workers.

“We have already commenced discussions with our community housing provider to determine the rental levels that frontline workers can realistically afford in this location,” he said. “These will need to sit well below the standard affordable housing benchmark of 20 per cent below market rent, and that has been factored into our feasibility and pricing.”

<img alt="Manly" data-entity-type="file" data-entity-uuid="ad03000f-19f9-48b4-b27d-e85ca800a1da" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-04-30%20at%208.41.59%E2%80%AFAM.png?VersionId=a.txHwCZgbCInlQ6QXbIrI.umvW1T.r8" />

The design of the building incorporates a wave-like indentation running through the façade, referencing the nearby coastline and anchoring the building within its local context.

The&nbsp;Design Verification Statement says careful consideration has been given to the articulation of the building, ensuring the bulk is broken down to a more human scale through a defined four-storey podium."

The scheme includes a mix of one-, two- and three-bedroom apartments, as well as a full-time building manager's office and wellness facilities including a sauna and a gym.

“The design ensures a high level of amenity, with apartments offering generous private open space, many with expansive views, and all with comfortable proportions."

<img alt="Bennelong" data-entity-type="file" data-entity-uuid="6a7f2812-72a1-4959-84b0-997e8cd88aed" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-04-30%20at%2010.15.50%E2%80%AFAM.png?VersionId=6iMxU3MkXmHVHAoNhYBjnqgka8CUZNbk" />

<a href="https://www.apartments.com.au/developers/lindsay-bennelong-developments">Lindsay Bennelong</a>&nbsp;is currently developing Finn Manly, just four full-floor luxury apartments on North Steyne. They recently welcomed residents to its 81-unit Delano Crows Nest development, a&nbsp;carefully scaled infill project designed to bridge&nbsp;<a href="https://www.apartments.com.au/developments/crows-nest-nsw-2065">Crows Nest</a>’s lively village centre with its surrounding heritage streets.

Designed by&nbsp;<a href="https://www.apartments.com.au/architects/ajc-architects">AJC Architects</a>,&nbsp;<a href="https://www.apartments.com.au/new-apartments/delano-crows-nest-27-57-falcon-street-crows-nest-nsw-2065">Delano</a>&nbsp;is arranged across three low-rise buildings, incorporating a mix of one, two, and three-bedroom apartments alongside a limited number of townhomes addressing Hayberry Lane. The architectural approach drew on the area’s Art Deco lineage, reinterpreted through contemporary detailing and framed by landscaped communal gardens.

The developer also has a development site in Maroubra.

First look: Lindsay Bennelong's new Manly apartment development revealed

Fifty-nine residences across 37 levels. No more than two per floor. With 80 per cent now sold, what remains at <a href="https://www.apartments.com.au/new-apartments/madeline-by-mosaic-broadbeach-22-mary-avenue-broadbeach-qld-4218">Madeline by Mosaic</a> is a short list.

Madeline was always conceived at a scale that sits outside the normal register of Gold Coast apartment living. The residences are half- and full-floor configurations, with the largest spanning more than 400 sqm, dimensions that place them closer to the penthouse end of the market regardless of where they sit in the building.

That scale is the organising principle of everything else: how the floorplans are laid out, how the materials read, how the connection between inside and outside works.

[smartcode_project:default project_id=150135 project_image_fid=355941]

The interiors were developed in collaboration with <a href="https://www.apartments.com.au/architects/fraser-partners-0">Fraser &amp; Partners</a>, the architecture practice&nbsp;<a href="https://www.apartments.com.au/developers/mosaic-property-group">Mosaic</a> brought in as design partner for the first time on this project. The palette runs to natural stone, textured timbers, and soft metallics, materials chosen as much for their tactile quality as their appearance.

Light cleverly shifts across surfaces through the day, and the design is explicit about wanting that to be noticed. Full-height glazing runs across the primary living areas, and where the building faces east toward the ocean, those walls of glass are doing real work: framing a view corridor that the site's position directly opposite Broadbeach State School's playing fields keeps permanently open.

That outlook is the site's most consequential asset. In a suburb where new towers continue to rise, a protected view line is genuinely rare, and the Mary Avenue address secures it. Residents at Madeline will look out over open parkland rather than the rear of another building, a distinction that becomes more meaningful with each new development approved nearby.

[smartcode_project:default project_id=150135 project_image_fid=355939]

The private outdoor spaces are sized to match the residences themselves. Terraces on the upper levels frame uninterrupted ocean panoramas, and the planning ensures that living areas extend into those outdoor zones rather than treating them as separate attachments. The flow between the two is part of the design intent, not an afterthought.

Inside, the finish specification reflects the same approach. Rich stone benchtops, warm timber joinery, bespoke hardware, each element specified to hold up over time rather than read as a moment in a particular trend cycle.

[smartcode_project:default project_id=150135 project_image_fid=3409]

Beyond the residences, the amenity offering extends that register. A lap pool and sun deck anchor the outdoor space, alongside a magnesium pool, cold plunge, steam room, and sauna.

A commercial-grade gymnasium, residents' lounge, library, and boardroom round out a programme that functions more like a private members club than a standard building amenity floor.

Construction has commenced under Mosaic's in-house building arm, with completion scheduled for late 2028.

[smartcode_project_cta:default project_id=150135]

Madeline by Mosaic delivers penthouse-level living across every apartment

Developer Fortezza Group is the latest to take its new apartment development, <a href="https://www.apartments.com.au/new-apartments/the-belvedere-5-7-church-street-nelson-bay-nsw-2315">The Belvedere in Nelson Bay</a>, to the NSW Government.

Fortezza, predominantly a South East Queensland developer, is the latest to apply for State Significant Development&nbsp; status through the NSW Government's Housing Delivery Authority, a pathway becoming favoured by developers to speed up the approval process.

They are planning 57 two- and three-bedroom apartments across 5-7 Church Street and 42 Donald Street, near d'Albora Nelson Bay Marina. The diverse apartment mix has sizes from just over 80 sqm to the largest three-bedroom penthouses that reach nearly 200 sqm.

<img alt="Fortezza" data-entity-type="file" data-entity-uuid="090360e1-66d7-43ad-b686-aba81f173bf2" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-04-29%20at%2010.22.40%E2%80%AFAM.png?VersionId=DMqF96eBZolqSAAAcugX0l66ueWng66m" />

Fortezza calls the project a "piece of Istria in Nelson Bay,"&nbsp;referring to the largest peninsula in the Adriatic Sea, shared by Croatia (90%), Slovenia, and Italy, which is known for its Roman history, Venetian-style coastal towns and inland hilltop villages.

They say the The Belvedere is strategically positioned at the apex of Nelson Bay, offering unrivalled views of the ocean, the bay and captivating topography of the area.

"Our commitment to maintaining the integrity of every view and sight line has been relentless," Fortezza Group says.

"Through extensive modelling and analysis, we ensure that each apartment enjoys the natural beauty of Nelson Bay, regardless of future developments. Each design element is carefully curated to harmonise with our European heritage, drawing profound inspiration from the Roman architectural marvels in Istria. The arches, the cascades of greenery and the stonework that define our project pay homage to the structures that once exemplified Roman grandeur."

Residents will have access to a pool, communal green spaces, an office and a coffee shop.

Myriam Robin

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