The irony is that the sectors share price performance will be the biggest defence against any 'probe'
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The irony is that the sectors share price performance will be the biggest defence against any 'probe'
Arie Dekker looking might flash in his suit there but can the results of his research department beat the returns provided by a 3 basis point fee market index fund after the costs of running the department.
Answer;
No.
And this is key;
'Buyback timeframes had been a systemic issue and changing this could “test” some smaller private operators, the note said'.
Any changes they make are going to destroy the smaller private operators...
It's like DaVita dialysis provider stateside, any reduction in state fees will destroy the hundreds of smaller providers, so therefore they cannot do it.
Old people will complain, because it cost them 10 cents to buy a bottle of coke in 1965, and it costs so more now. Plus the more they complain, the more they get. This "review" is a patronising step by government prior to an election in an attempt to garner votes. Realistically the supply of units and the purchase of a licence to occupy is a commercial reality and very difficult to control. However the supply of care units on a monthly basis is a different kettle of fish. The review will highlight that more DHB subsidies are needed and current levels will need to be increased due to inflationary pressures least of which is the phenomenal increases in wages.
I looked carefully at a licence to occupy situation and its pros and cons. Certainly it is costly. No doubt those moving out will want to share in capital gains and dont want to pay for refurbishment costs just as they wont want to lose in capital losses, or dont want to pay for repainting , roof replacement, exterior refurbishment. Also those moving in want to have a virtually new or refurbished unit to move into. Thd dont want to move into a damaged, tired, or uncared for interior. They want it all ways. It just wont happen. A similar thing happenned when the Nats floated contact and other power companies. Labour said when the get in they will conduct a review of electricity markets. It was a fizzer but they managed to get the SP down to less than the IPO for some time until it was all forgotten. A lot of cronies no doubt made good money buying at all time lows and holding until it was all over.
https://www.nzherald.co.nz/business/...MHLDQTPBDZFWE/
I rekon housing market touched the button. Will go up slowly from now