What's the Risk?

In this episode of What's the Risk we're joined by the CEO of Dimensional Australia Bhanu Singh. This is our second episode with Bhanu as we learn more about the "the biggest fund manager you've never heard of".

In this episode we take a look at the intricacies of the active vs passive debate, and find out Bhanu's definition of passive. Bhanu also explains how the flexibility of Dimensional's approach allows them to trust the market, but also not be tied to the rigidity of index tracking rules which can lead to higher trading costs, overweighting some stocks, or having a long delay before a stock is included in an index, potentially costing investors returns.

Dimensional have a deep research pedigree. Their founders and board members were part of some of the biggest developments in modern finance. David Booth and Rex Sinquefield were part of various groups who developed the first index funds at Wells Fargo and American National Bank, before leaving to start DFA where they then started Dimensional to build the first microcap fund for institutions.

Want to learn more about investing? Get our Book: https://www.amazon.com.au/Your-Investment-Philosophy-Protecting-Fraudsters-ebook/dp/B0BCPJ8BGC/

https://www.mfg.com.au

Mancell Financial Group is an Authorised Representative No. 226266 and Credit Representative No. 403187 of FYG Planners Pty Ltd, AFSL/ACL No. 224543. ABN 29 009 541 253.

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In this episode of What's the Risk we're joined by the CEO of Dimensional Australia Bhanu Singh. Bhanu will be our guest over the next few episodes as we find out a little bit more about "the biggest fund manager you've never heard of".

Bhanu has an MBA in analytical finance from the University of Chicago, Booth School of Business. He was Head of Asia-Pacific Portfolio Management for Dimensional. Director of Dimensional Australia, as well as Senior Investment Director. With that in mind, he is probably the best person in Australia to talk to about systematic investing. In this episode we discuss Dimensional's history and in particular its ongoing commitment to implementing the best research when building and managing portfolios.

Dimensional have a deep research pedigree. Their founders and board members were part of some of the biggest developments in modern finance. David Booth and Rex Sinquefield were part of various groups who developed the first index funds at Wells Fargo and American National Bank, before leaving to start DFA where they then started Dimensional to build the first microcap fund for institutions.

Want to learn more about investing? Get our Book: https://www.amazon.com.au/Your-Investment-Philosophy-Protecting-Fraudsters-ebook/dp/B0BCPJ8BGC/

https://www.mfg.com.au

Mancell Financial Group is an Authorised Representative No. 226266 and Credit Representative No. 403187 of FYG Planners Pty Ltd, AFSL/ACL No. 224543. ABN 29 009 541 253.

Hosted on Acast. See acast.com/privacy for more information.

In this episode of "What's the Risk?" we take a look at rebalancing a portfolio. The various ways it can be done, how we do it at Mancell Financial Group, then we run a portfolio comparison of an annually rebalanced portfolio against a portfolio with the same starting construction, but never rebalancing it.

This experiment is ran across a 30 year period, using 50% global stocks, 40% Australian stocks and 10% in global bonds. One of the benefits of doing this over a long time frame is we can see the drift in the assets in the never rebalanced portfolio due to the changing performance, and how it overall performs against one that essentially resets on a 12 month basis.

How do you rebalance your portfolio? Let us know in the comments. Do you have the discipline to rebalance according to your pre-determined rules, or do you go with the flow?

Want to learn more about investing? Get our Book: https://www.amazon.com.au/Your-Investment-Philosophy-Protecting-Fraudsters-ebook/dp/B0BCPJ8BGC/

https://www.mfg.com.au

Mancell Financial Group is an Authorised Representative No. 226266 and Credit Representative No. 403187 of FYG Planners Pty Ltd, AFSL/ACL No. 224543. ABN 29 009 541 253.

Hosted on Acast. See acast.com/privacy for more information.

Watch this episode on youtube: https://youtu.be/zbuajnYk-bE

In this episode of "What's the Risk?" we take a look at the historic performance of a diversified high growth portfolio. In this instance, it's the current target asset allocation of Vanguard's VDHG ETF, we also look back at the various changes in the target asset allocation of Vanguard's diversified high growth managed fund that was released in 2002.

All in one products can be great options for many investors who are getting started, or just want to autopilot their investment journey. They can have some drawbacks, but in this instance we're just looking at the asset allocation, historic asset allocation, and the historic performance.

Want to learn more about investing? Get our Book: https://www.amazon.com.au/Your-Investment-Philosophy-Protecting-Fraudsters-ebook/dp/B0BCPJ8BGC/

https://www.mfg.com.au

Mancell Financial Group is an Authorised Representative No. 226266 and Credit Representative No. 403187 of FYG Planners Pty Ltd, AFSL/ACL No. 224543. ABN 29 009 541 253.

Hosted on Acast. See acast.com/privacy for more information.

Watch this episode on youtube: https://youtu.be/IqU3IVBMoGw

The recent failures of investment schemes First Guardian, Shield Master Fund and Australian Fiduciaries has exposed thousands of investors around Australia to something they should never have to experience in modern investing: a catastrophic and substantial investment loss of their retirement savings.

In our 45 years in business we've never had an investor exposed to an investment failure, and there have been plenty occur in Australia over that time frame. However, we have had many investors walk into our office over the years, seeking advice and guidance after they've been exposed to investment loss by someone they should have been able to trust, or just via their own hand. In that respect, we have an understanding of the turmoil investors are currently going through.

Unfortunately, while we're able to point people what direction to follow next, we're unable to turn back time, and it's prevention that stops these losses happening. Usually, it's by not exiting large and well known superannuation options, for untested, newer funds, that cannot guarantee what their spruikers promise.

When it comes to superannuation, we all need to remember these our retirement savings, and financial loss is something that is incredibly hard to recover from in mid and late life. While we want to make the most of them, and are regularly pushed to take action by the media, if we don't know anything, leaving them alone to grow at a market rate in a large, well known fund will inevitably be better than switching to an untested option that may expose us to catastrophic loss.

If you'd like to learn more about investing, Get our Book: https://www.amazon.com.au/Your-Investment-Philosophy-Protecting-Fraudsters-ebook/dp/B0BCPJ8BGC/

https://www.mfg.com.au

Mancell Financial Group is an Authorised Representative No. 226266 and Credit Representative No. 403187 of FYG Planners Pty Ltd, AFSL/ACL No. 224543. ABN 29 009 541 253.

Hosted on Acast. See acast.com/privacy for more information.

Watch episode on youtube: https://youtu.be/lAyMIF-590M

Published July 2025. For the average person, retirement can take a lot of planning and in some cases time to adapt. For high achievers, those who've run successful businesses, or had incredibly demanding careers, the prospect of retirement may require even more planning and consideration. The level they operate at during work can be a big step down to a more subdued lifestyle where the phone doesn't ring as much and there aren't as many demands.

In this episode we discuss some of the considerations high achievers must sift through as they approach a transition out of work. Peter has been helping people retire for 45 years, including a number of high achievers in medicine and business, and he makes purpose a focus of retirement planning, to ensure clients do continue to thrive as they age.

Peter also relays his own experience of setting a goal to retire early, only to reach his intended retirement age and continue working.

If you'd like to learn more about investing, Get our Book: https://www.amazon.com.au/Your-Investment-Philosophy-Protecting-Fraudsters-ebook/dp/B0BCPJ8BGC/

https://www.mfg.com.au  

Mancell Financial Group is an Authorised Representative No. 226266 and Credit Representative No. 403187 of FYG Planners Pty Ltd, AFSL/ACL No. 224543. ABN 29 009 541 253.

Hosted on Acast. See acast.com/privacy for more information.

Watch episode on youtube: https://youtu.be/4pq9WMwZXTs

Published June 2025. In this episode of "What's the Risk?" we take a look at the historic performance of the S&P/ASX Small Ordinaries Index. Some people would know ETFs that seeks to track the performance of this index as Blackrock's ISO and State Street's SSO.

Small companies have long been understood to outperform larger companies, due to higher risk, but in Australia his index has shown a consistent track record of underperformance against larger counterparts. We discuss why that might be and Peter highlights a conversation he had with Ken French that adds some further understanding. 

This is history and doesn't automatically mean the future performance will be as poor, so will you write off Australian small caps? 

Want to learn more about investing? Get our Book: https://www.amazon.com.au/Your-Investment-Philosophy-Protecting-Fraudsters-ebook/dp/B0BCPJ8BGC/  

https://www.mfg.com.au  

Mancell Financial Group is an Authorised Representative No. 226266 and Credit Representative No. 403187 of FYG Planners Pty Ltd, AFSL/ACL No. 224543. ABN 29 009 541 253.  

S&P/ASX Small Ordinaries Index (Total Return) April 2000 - Present: S&P/ASX Small Ordinaries Index (Total Return), Source: S&P June 1992 - March 2000: ASX Small Ordinaries Accumulation Index, Source: ASX January 1991 - May 1992: ASX Small Ordinaries Index (Pre-Restructure)

January 1980 - December 1990: ASX Ex-50 Leaders Simulated Index, Source: John Nolan Associates

Returns in AUD Copyright 2025 S&P Dow Jones Indices LLC, a division of S&P Global. All rights reserved. 

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Watch episode on youtube: https://youtu.be/dnx1d6CGA_A

Published June 2025. In this episode of "What's the Risk?" we take a look at the historic performance of the Solactive GBS Developed Markets ex Aus Large & Mid Cap Index. Some people would know an ETF that seeks to track the performance of this index as Betashare's BGBL ETF.

This index is very similar to the MSCI World ex Australia Index which is tracked by Vanguard's VGS, and with returns being almost indistinguishable, it's then up to the investor to make a decision on where they want to get their global large to mid cap exposure from. 

Some investors will consider fees, others will base it on how robust they feel the manager is, but Peter also discusses whether that's really something that needs to be considered?

Want to learn more about investing? Get our Book: https://www.amazon.com.au/Your-Investment-Philosophy-Protecting-Fraudsters-ebook/dp/B0BCPJ8BGC/  

https://www.mfg.com.au  

Mancell Financial Group is an Authorised Representative No. 226266 and Credit Representative No. 403187 of FYG Planners Pty Ltd, AFSL/ACL No. 224543. ABN 29 009 541 253.  

Solactive GBS Developed Markets ex Aus Large and Mid Cap Index. June 2006 – December 2024: Solactive GBS Developed Markets ex Aus Large and Mid Cap NR Index. ©Solactive AG, 2025. All rights reserved. “Solactive”, “Solactive GBS”, “German Index Engineering” are registered trademarks of Solactive AG 

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Watch episode on youtube: https://youtu.be/iTxOV2dSvkA

Published June 2025. In this episode of "What's the Risk?" we take a look at the historic performance of the FTSE Australia High Dividend Yield Index. Some people would know an ETF that seeks to track the performance of this index as Vanguard's VHY ETF.

Dividends and high yield stocks have always been a draw for some investors who may think they are getting something for free with dividends, but it's important to remember dividends are not free money, that cash comes from somewhere Share prices are influenced by expected future cash flows to shareholders. If cash goes out the door as a dividend, share price and market cap generally fall ex dividend.

Dividends are also not as tax efficient as selling something post a CGT discount, however in Australia most of our largest companies are all large dividends payers, so it's interesting to take a look at a yield focused index vs a broader index such as the ASX 300, to see whether simply focusing on those companies has provided a better return?

Want to learn more about investing? Get our Book: https://www.amazon.com.au/Your-Investment-Philosophy-Protecting-Fraudsters-ebook/dp/B0BCPJ8BGC/  

https://www.mfg.com.au  

Mancell Financial Group is an Authorised Representative No. 226266 and Credit Representative No. 403187 of FYG Planners Pty Ltd, AFSL/ACL No. 224543. ABN 29 009 541 253.  

FTSE Australia High Dividend Yield TR Index AUD 1/2011 - 12/2024. Copyright 2025 FTSE Russell® All rights reserved.

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Watch episode on youtube: https://youtu.be/POVqfaiQaj8

Published May 2025. Retirement is a common goal. For many of us, we'd all like to hang up the boots or log off at some point. The focus usually turns to money as we progress towards retirement, but there is an overlooked issue that is equally important: finding purpose. People know what they are retiring from, but not really knowing what they are retiring to.

Finding a purpose in retirement can be a struggle and may require as much planning as the money side of things to ensure we continue to live happy and healthy lives.

Peter Mancell has been helping people retire for 45 years and he makes purpose a focus of retirement planning, to ensure clients do continue to thrive as they age. 

If you'd like to learn more about investing, Get our Book: https://www.amazon.com.au/Your-Investment-Philosophy-Protecting-Fraudsters-ebook/dp/B0BCPJ8BGC/  

Mancell Financial Group is an Authorised Representative No. 226266 and Credit Representative No. 403187 of FYG Planners Pty Ltd, AFSL/ACL No. 224543. ABN 29 009 541 253.  

Hosted on Acast. See acast.com/privacy for more information.