Whether you’re reacting to the daily market ups or downs, or to the horrendous situation of why public servant’s defined benefit scheme superannuation will disrupt Australia's budget outlook, you always lose when emotions drive your decision-making. We do note that public servant super is accruing at $6 bio per year, and this is probably the biggest dark cloud on the horizon for Australia financial future which particularly affects the millennial generation.
The fact is, despite the media’s best efforts to drive everyone insane over the current political debacle or what inane policy Senator Jackie Lambie has come up with, it doesn’t matter.
Both parties will take credit for successes and blame the other side for failures. That’s how it works.
But ultimately, when it comes to your investments, it’s about fundamentals, earnings and revenue… not who currently controls the balance of power in our Senate. That’s it.
So if you’re feeling like you have to go to cash to protect yourself from the government destroying our superannuation scheme, don’t do it!
It’s all about emotions, and emotions always cause losses. They change as often as the direction of the wind. So your best bet is to forget about it.