Thu, Mar 28, 2024
A A A
Welcome Guest
Free Trial RSS pod
Get FREE trial access to our award winning publications
Alternative Market Briefing

Does air quality in Beijing have anything to do with the property market in Australia?

Thursday, February 16, 2017

Matthias Knab, Opalesque:

PIMCO writes on Harvest Exchange:

Does air quality in Beijing have anything to do with the property market in Australia? The answer is probably yes.

Life in Australia, with its promises of clean air, abundant sunshine, quality education and universal healthcare, has attracted people from around the world. This demographic trend has had profound effects on the country's housing market in recent years and, by extension, its major banks.

Today, 28% of the Australian population was born elsewhere, up from 18% half a century ago. Australian residents born in China, for example, have more than doubled in number over the past decade alone. As the country's population has grown, demand for housing has increased, and home prices have appreciated significantly across major cities Sydney prices have risen more than 60% since 2011. Housing itself has also evolved: While detached houses remain the traditional choice, city apartments have proliferated. Apartment construction now makes up almost 50% of new dwelling approvals in Australia, up from less than 20% historically.

The state of the housing market has important ramifications for the financial sector not least because housing loans constitute about 60% of lending at the major Australian banks. Keeping housing risks in check has therefore been high on policymakers' ......................

To view our full article Click here

Previous Opalesque Exclusives                                  
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. KKR raises $6.4bn for the largest pan-Asia infrastructure fund[more]

    Laxman Pai, Opalesque Asia: The New York-based global investment firm KKR has raised a record $6.4bn for its second Asia-focused infrastructure fund, underlining investors' continued appetite for private markets. According to a media release from the alternative assets manager, the figure top

  2. Bucking the trend, top hedge fund makes plans for a second SPAC[more]

    From Institutional Investor: SPACs aren't dead. At least not to the folks at Cormorant Asset Management. The life sciences firm, whose hedge fund topped its peers in 2023, is confident it will match the success of its first blank-check company. Last week, the life sciences and biopharma speciali

  3. Benefit Street Partners closes fifth fund on $4.7 billion[more]

    Bailey McCann, Opalesque New York: Benefit Street Partners has closed its fifth flagship direct lending vehicle, BSP Debt Fund V, with $4.7 billion of investable capital across the strategy. Benefit Street invests primarily in privately originated, floating rate, senior secured loans. The fun

  4. 4 hedge fund themes that are working in 2024[more]

    From The Street: A poor earnings report from Tesla (TSLA) has not hurt the indexes on Thursday. The decline in Tesla stock, which is losing its position in the Magnificent Seven pantheon, is more than offset by strong earnings from IBM (IBM) and ServiceNow (NOW) . In addition, the much higher-t

  5. Opalesque Exclusive: A global macro fund eyes opportunities in bonds[more]

    Bailey McCann, Opalesque New York for New Managers: Munich-based ThirdYear Capital rebounded in 2023, following a tough year for global macro. The firm's flagship ART Global Macro strategy finished the year up 1