i'll just make a little comment about the references in this thread that seem to equate high-yielding investments in retirement with bank shares and telstra shares. these have been poor investments over the past couple of years, the capital losses have more than wiped out any gains from yields.
the largest recipients of venture capital in the US over the last couple of years are fintech startups. these are new technology companies that aim to disrupt establish financial institutions, such as our big four banks. they are aiming directly at that those big fat juicy multi-billion dollar bank profits that we keep reading about.
telstra is out there saying that it's going to transform itself into a global tech company. really? every single failed, capital wasting acquisition that they've done over the last few years has just demonstrated that they have no idea how to become a high growth tech company. they don't even know where to start.
i wonder sometimes if this aussie obsession with yield, dividends and franking is misguided and takes some investors down the wrong path. yes, dividends in your super fund in retirement phase are tax free but so are capital gains. i'll take growing companies outside the asx20, in good market segments, who are investing a good chunk of their profits into building stronger businesses thanks and bugger the dividend yield.
