Barring any major shocks to the financial system, the ASX200 looks set to finish 2012 over the 5000 mark, according to Australian Unity Investment's (AUI's) Donald Williams.
Williams, who is chief investment officer at AUI's joint venture asset manager Platypus, said the Australian market was likely to remain "relatively subdued" throughout the first six months of 2012 as investors "achieve a level of comfort" with overseas issues.
But given the positive signs around the world, the latter half of the year could see a significant rally in Australian equities, he said.
The Chinese Government appears to have inflation under control, and there are signs that European policymakers are finally treating the sovereign debt issues "with the urgency they need", Williams said.
"The data from the US is upbeat and we are about as certain as we can be that there will be no 'double-dip' recession," he added.
When it comes to global equities, Wingate chief investment officer Chad Padowitz said many global companies have good earnings and strong balance sheets.
"Therefore, they should be very attractive to investors, particularly because of the yield being offered on current prices," Padowitz said.
Many global companies are buying back their own shares as opposed to over investing with an eye to future growth, which will create good returns for investors - with US home improvement retailer Lowes being a good example, Padowitz said.
Superannuation funds have posted another year of strong returns, but this time, the gains weren’t powered solely by Silicon Valley.
Australia’s $4.1 trillion superannuation system is doing more than funding retirements – it’s quietly fuelling the nation’s productivity, lifting GDP, and adding thousands to workers’ pay packets, according to new analysis from the Association of Superannuation Funds of Australia (ASFA).
Large superannuation accounts may need to find funds outside their accounts or take the extreme step of selling non-liquid assets under the proposed $3 million super tax legislation, according to new analysis from ANU.
Economists have been left scrambling to recalibrate after the Reserve Bank wrong-footed markets on Tuesday, holding the cash rate steady despite widespread expectations of a cut.