Retirement funding is becoming an ever-growing burden on government budgets and 10-year bonds are not offering a fair risk-adjusted return, even after recent corrections. Adding fuel to the flames – relentless foreign indebtedness growth, reliance on foreign equity, low inflation and wage growth, declining export commodity prices, record low cash rates and skyrocketing residential bank lending are all painting a tough outlook for the Australian economy. Very moderate growth is our expectation of the market going forward. (VIEW LINK)