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Here’s what you need to know today

• Australian Treasurer Jim Chalmers handed down his pre-election budget, without too many surprises. The big announcement for the night was $17 billion in tax cuts that would save the average Australian $268 a year. (ABC News)
  
  

• As always the media were quick to divide the budget into winners and losers. Some of the areas the budget focused on: taxes, medicine prices, women’s health and energy bills. Some of the areas that may feel neglected: renters, farmers and welfare recipients. (Nine News)
  
  

• Australia’s GST may get caught up in America’s trade war. As President Trump prepares his next round of tariffs, he is focused on reciprocal duties, where countries that tariff American products will face similar tariffs in the US. Last month a White House executive order pointed at value-added taxes as a trade barrier, and Australian officials are waiting to hear if Australia’s 10% GST will be included. (AFR)
  
  

• Trump’s top trade official has also raised concerns with Australia’s Minister for Trade, Don Farrell, about the cancellation of a NSW coal mining licence in 2014. The Trump Administration wants compensation for the American investors, which includes at least 6 American university endowments and pension funds, that lost money after the NSW Government cancelled the licence after an enquiry by the NSW Independent Commission Against Corruption (ICAC). (AFR)
  
  

• South Korean car-maker Hyundai has announced a $21 billion investment in manufacturing in America, in an attempt to minimise the impact of Trump’s tariffs. (Quartz)
  
  

• Trump has also announced he would impose a 25% tariff on countries that buy oil or gas from Venezuela. China and India are among the top importers of Venezuelan oil. (CNN)
  
  

• Queensland Premier David Crisafulli has promised the Brisbane 2032 Olympics will be better than Paris or Los Angeles as he announced a new $3.4 billion stadium for the event. (ABC News)
  
  

• Chinese automaker BYD reported revenue topped $100 billion in 2024, slightly higher than Tesla’s $98 billion for the year. Net profit was up 34% year-on-year as shares are up 37% year-to-date. In comparison, Tesla’s shares are down 27% year-to-date. (Quartz)
  
  

• European economic activity grew at its fastest pace in seven months in March, as factory output expanded for the first time in two years. Hopes of a European economic turnaround are being buoyed by increased infrastructure and defence spending by most European governments. (Reuters)
  
  

• 23andMe has declared bankruptcy. The genetics testing company shot to prominence was its mail-in DNA testing kits and at its peak was valued at $6 billion. The company is now worth just $19 million. (Quartz)

What the…?

Democratic backsliding has been a major theme to start 2025. But however far America has slid, this story out of Turkey is a reminder there is further to slide. The mayor of Turkey’s largest city, Istanbul, was reportedly days away from being named the candidate to run against President Erdogan in Turkey’s 2028 Presidential election.

So the world was shocked as Mayor Ekrem Imamoglu was arrested on charges of terrorism and corruption. Protestors have taken to the street, but at this stage the Mayor remains detained by Turkish security forces. (ABC News)

Investing is a lifelong journey

Here’s what you can learn today.

Choosing the right Super fund

Community Question: I've seen a huge rise in the number of self-directed superannuation funds. Is that a better option than my current fund where I can just choose conservative, moderate, or aggressive?

We answered this question on a recent episode of Get Started Investing (Apple, Spotify or YouTube)

Bryce: So there's no right or wrong answer here. How you should go about choosing your super fund have a few elements. The first thing is here in Australia there are three main options you can choose from:

• The first is a managed super fund, which is the default super that a lot of people go into. 

• The second is a self-directed Superfund option and

• The third is a self-managed Superfund option. 

The biggest question you need to ask yourself really is how much time are you willing to dedicate to this? Because just like your share portfolio, when you can choose between core and satellite and dedicating time to picking individual stocks, if you're going down the route of self-directed or self-managed, you need to spend the time creating and looking after that portfolio, which is why, the majority of people start in the managed fund in that aggressive or balanced option. 

Ren: I also think there's an argument for diversity of strategy. If you are going to do self-directed or self-manage and just buy exactly the same things that you're buying in your personal portfolio, is that the best option? Maybe if you've got super high conviction, that makes sense. 

But for me, I have a self-directed Super fund, but I try not to just have two portfolios that look exactly the same in different environments. I try to do different strategies and different managers in my self-directed super just because I want that diversity of thought reflected across my Portfolio. 

Bryce: Yeah, I find psychologically I take more risk in my super fund. 

Ren: Because you've got such a long term horizon?

Bryce: I can't touch it! I can't touch this for 40 years.

Ren: Yeah. So look, no right or wrong answer. It really is how much time you can dedicate to it because, if you're not going to dedicate the time, just stick to a super fund that employs the experts to do it on your behalf.

That’s just a snippet of a full episode where we answer 5 common Superannuation questions. Listen to the full conversation wherever you listen to podcasts, or watch it on YouTube:

Today’s sponsor is Betashares Direct

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