The messy Federal election result

AMP Capital

AMP Capital

The Australian Federal election has delivered a messy result suggesting a more difficult Senate for the Coalition if it can form government and the risk of a return to minority government. The risk is that we will see a further slippage in the budget outlook – with a downgrade in Australia’s AAA sovereign rating looking increasingly likely – and that significant economic reform will remain off the agenda. This is a dampener for long-term economic growth and share market returns. However, it’s not a disaster as the period of true minority government over 2010-13 saw the economy continue to grow, and it’s not unusual for Australian governments to face a difficult Senate. If the Coalition can form government, it will have little chance of passing certain aspects of the Budget including company tax cuts, superannuation changes, and the still to be passed savings from the 2014 budget. Read more in the latest Oliver's Insights: (VIEW LINK)


2 topics

AMP Capital is one of the world's leading investment houses, with a 160-year pioneering heritage. Our enviable track record in real estate and infrastructure is coupled with deep expertise in fixed income, equities and multi-asset investments.

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.