In today's Sunday Telegraph, financial writer John Hallows is predicting a big surge on world markets between now and December 31 followed by a probable big market fall during the first half of 2005. He says the recent advance in the S&P/ASX200 has taken it "to levels I'd call fairly absurd".
He later says:
(the mention of T2 refers to the Telstra buy-back that he mentioned earlier)All in all, direct investors certainly have a short-term window of opportunity providing they stand ready to take profits before January.
A safe move for the risk-averse would be to put T2-associated returns into ING Direct, or some other bank investment paying around five percent.
And, since he mentioned ING, if you are considering parking funds in ING, take a look at the current BankWest offer. It's essentially an identical setup to ING with an identical interest rate except that they're offering an extra 0.75% for the first 12 months (ie. 6% total). Unfortunately it's for personal accounts only. If you're interested, see here.