We have all heard about dividend imputation and franking credits. However, my experience is that if you ask an investor to calculate the benefit after tax, most will struggle to do it correctly. Here is a quick and easy guide to dividend imputation that you should bookmark for future reference. What is dividend imputation? To avoid double taxation, the government introduced the dividend imputation system which allows shareholders to account for the tax which has already been paid by the company. …

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When an investor is thinking of becoming a client, the first thing we do is conduct a free portfolio review. Often the portfolio contains either not enough stocks, or too many. This means that the first tip I can give someone is to ensure you have some proper diversification. The stock market can be rather volatile, so one way to protect you from adverse movements to your share portfolio is to diversify. Diversification is a strategy which involves acquiring shares …

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Author: Michael Gable You may already be aware that our unique philosophy to investing is to combine both fundamental and technical and technical analysis. Here we take a break from presenting a specific stock idea and run through some basic financial ratios that can help a beginner investor identify a quality company: Market Capitalization – This is a measure of a company’s size which is calculated by the current share price of a company multiplied by the number of shares …

Read MoreA beginner’s guide to financial ratios