When Donald Horne wrote, 'Australia is a lucky country, run mainly by second-rate people who share its luck' back in 1964, he would not have expected Australians to embrace the moniker 'the lucky country' to be a good thing.
But, that's precisely the spirit in which Andrew McKie co-founder and portfolio manager at Elston Asset Management, adopted the phrase as one of our six presenters in the Shocking Predictions session at Livewire Live 2023. You can read more about that session in this wire.
McKie believes the best is yet to come. As his starting point, he took the explosive growth of superannuation funds in this country. In 1991, there was $1.46 billion in the superannuation system. Today, there is $3.5 trillion held in the superannuation system. That growth has led to a humongous pot of funds for Australians to use in their retirement.
And yet, McKie thinks the best is still to come given millennials are building up substantial superannuation balances over the next 20 years on top of where they are today. It will lead to Australia being ranked the wealthiest nation in the world. Wealth that will bring opportunities for the funds management industry but also challenges as they seek out where to invest those funds on behalf of beneficiaries to generate returns.
Watch as McKie argues the case for his "shocking prediction" in the video below.
This article was originally published on Livewire Markets on Wednesday, 27 September 2023.
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