1 00:00:03,800 --> 00:00:07,080 Speaker 1: It's Friday, the twenty second of November twenty twenty four. 2 00:00:07,320 --> 00:00:10,120 Speaker 1: Welcome to the Fast five Business News by Fear and Agreed, 3 00:00:10,119 --> 00:00:11,920 Speaker 1: where we give you the top five business stories you 4 00:00:11,960 --> 00:00:14,400 Speaker 1: need to know in just five minutes. Are Michael Thompson 5 00:00:14,440 --> 00:00:15,760 Speaker 1: and Good Morning, Sean. 6 00:00:15,480 --> 00:00:17,720 Speaker 2: Aylmer, Good morning, Michael Shawn. 7 00:00:17,800 --> 00:00:20,120 Speaker 1: Five stories, five minutes. Let's go a story. Number one. 8 00:00:20,360 --> 00:00:24,759 Speaker 1: Federal Treasurer Jim Chalmers has directed the Future Fund to 9 00:00:24,880 --> 00:00:29,440 Speaker 1: prioritize investments in housing, renewable energy, and infrastructure. Now, this 10 00:00:29,480 --> 00:00:32,520 Speaker 1: is significant because it's the first time in the history 11 00:00:32,520 --> 00:00:35,480 Speaker 1: of the Future Fund that the government has mandated how 12 00:00:35,600 --> 00:00:36,960 Speaker 1: the fund should invest. 13 00:00:37,400 --> 00:00:40,720 Speaker 2: Jim Chalmers issued a first statement of expectations for the 14 00:00:40,800 --> 00:00:44,200 Speaker 2: independently managed two hundred and thirty billion dollar fund. Doctor 15 00:00:44,280 --> 00:00:46,680 Speaker 2: Chalmers said the new investment mandate wouldn't come at the 16 00:00:46,720 --> 00:00:49,960 Speaker 2: expense of performance. He said he's committed to the fund's 17 00:00:50,000 --> 00:00:53,120 Speaker 2: independence and commercial focus. It was established in two thousand 18 00:00:53,159 --> 00:00:56,400 Speaker 2: and six from budget surpluses under the Howard government. The 19 00:00:56,440 --> 00:00:59,600 Speaker 2: idea was that it will pay for federal government employee pensions. 20 00:01:00,080 --> 00:01:03,200 Speaker 2: The new mandate says. The new mandate says the Future 21 00:01:03,200 --> 00:01:06,160 Speaker 2: Fund must consider Australia's national priorities of increasing the supply 22 00:01:06,200 --> 00:01:10,680 Speaker 2: of residential housing, supporting the energy transition and delivering improved infrastructure. 23 00:01:10,680 --> 00:01:13,840 Speaker 2: When making investment decisions, the Government won't take a dividend 24 00:01:13,840 --> 00:01:16,399 Speaker 2: from the Future Fund. It never has, it won't until 25 00:01:16,400 --> 00:01:19,720 Speaker 2: at least twenty thirty three. The government basically wants the 26 00:01:19,760 --> 00:01:22,800 Speaker 2: super funds that the fort trillion dollars in superinnuation made 27 00:01:22,800 --> 00:01:25,680 Speaker 2: to invest in nation building projects like housing, aged care, 28 00:01:25,760 --> 00:01:29,800 Speaker 2: energy transition. The trick is is that actually in members' 29 00:01:29,800 --> 00:01:33,160 Speaker 2: best financial interests. With the Future Fund, there's only one member, 30 00:01:33,200 --> 00:01:36,240 Speaker 2: which is the Australian Government, which of course is US. Anyway, 31 00:01:36,560 --> 00:01:38,720 Speaker 2: it's a bit hard to see where it fits into 32 00:01:38,760 --> 00:01:41,280 Speaker 2: all this anyway. Future Fund Chair Greek Comba, who is 33 00:01:41,280 --> 00:01:43,800 Speaker 2: a former Labor minister, welcomed the new direction, saying the 34 00:01:43,840 --> 00:01:45,640 Speaker 2: lines with the funds, thinking. 35 00:01:45,880 --> 00:01:48,600 Speaker 1: Can they do both? John? Can the government expect the 36 00:01:48,640 --> 00:01:52,080 Speaker 1: Future Fund to provide strong returns and also invest in 37 00:01:52,120 --> 00:01:54,600 Speaker 1: these very kind of specific areas of focus. 38 00:01:54,960 --> 00:01:57,800 Speaker 2: Former chair Peter Costello doesn't think so. He previously urged 39 00:01:57,800 --> 00:02:00,000 Speaker 2: the government to not direct how the money is used. 40 00:02:00,240 --> 00:02:03,960 Speaker 2: The first Future Fund Chair, David Murray's in investment returns 41 00:02:04,200 --> 00:02:07,160 Speaker 2: will be more vulnerable and everyone loses in an interventionist world. 42 00:02:07,200 --> 00:02:09,880 Speaker 2: The opposition wasn't real happy about it yesterday. I mean, 43 00:02:09,880 --> 00:02:12,320 Speaker 2: anytime you put restrictions on investing it can hurt returns, 44 00:02:12,360 --> 00:02:15,080 Speaker 2: but in some cases ESG for example, it might be 45 00:02:15,160 --> 00:02:17,200 Speaker 2: worth the effort. The fund has a goal of four 46 00:02:17,240 --> 00:02:20,320 Speaker 2: to five percent above inflation tenure average returns over eight percent, 47 00:02:20,360 --> 00:02:22,119 Speaker 2: So it's done pretty well so far. 48 00:02:22,320 --> 00:02:24,519 Speaker 1: Yeah, it has all right. Moving on to story number 49 00:02:24,520 --> 00:02:27,920 Speaker 1: two now, the year's biggest float, worth four billion dollars, 50 00:02:27,919 --> 00:02:30,640 Speaker 1: is set to list on the ASX on December twelve, 51 00:02:31,080 --> 00:02:34,639 Speaker 1: and it's going to be a portfolio of data centers Sean. 52 00:02:34,919 --> 00:02:37,040 Speaker 2: The IPA has been the offing for a while now, 53 00:02:37,040 --> 00:02:39,400 Speaker 2: it's been fully under in and it is right to go. 54 00:02:39,680 --> 00:02:43,160 Speaker 2: Orchestrated by a guy called David the Pillar. He runs 55 00:02:43,280 --> 00:02:46,880 Speaker 2: HMC Capital, well known in markets in Australia, takes advantage 56 00:02:46,919 --> 00:02:48,919 Speaker 2: of some of the hot themes around the place, propping 57 00:02:48,919 --> 00:02:52,320 Speaker 2: in data centers, technology and infrastructure. Holds thirteen assets in 58 00:02:52,800 --> 00:02:55,600 Speaker 2: Australia and the US to be the biggest IPA for 59 00:02:55,680 --> 00:02:58,919 Speaker 2: twenty twenty four, biggest IPO for a realistate investment trust 60 00:02:58,960 --> 00:03:02,600 Speaker 2: to read for several years. Really in September this year, 61 00:03:02,639 --> 00:03:05,000 Speaker 2: pe Group Blacksain of course bought air Trunk. That was 62 00:03:05,000 --> 00:03:09,080 Speaker 2: a twenty four billion dollar purchase of that data center group. 63 00:03:09,120 --> 00:03:12,280 Speaker 2: But in terms of public markets ASEX, this is by 64 00:03:12,280 --> 00:03:13,280 Speaker 2: far the biggest this year. 65 00:03:14,000 --> 00:03:16,960 Speaker 1: Story number three not good news for anyone with a mortgage. 66 00:03:16,960 --> 00:03:20,720 Speaker 1: Sean Westpac has joined National Australia Banking, pushing back its 67 00:03:20,760 --> 00:03:22,960 Speaker 1: forecast of a rate cut until May. 68 00:03:23,840 --> 00:03:26,760 Speaker 2: Chief economist Lucy Ellis used to be the chief economist 69 00:03:26,800 --> 00:03:28,760 Speaker 2: at the Reserve Bank. Well. She said the first cut 70 00:03:28,760 --> 00:03:31,119 Speaker 2: could be even later than May, even inflation doesn't fall 71 00:03:31,120 --> 00:03:34,239 Speaker 2: in line with the Reserve Bank's forecasts. Ellis and other 72 00:03:34,280 --> 00:03:36,440 Speaker 2: economists say the wording of the Board minutes released this 73 00:03:36,480 --> 00:03:38,520 Speaker 2: week seem to count out any chance of a rate 74 00:03:38,520 --> 00:03:42,680 Speaker 2: cut before May unless there's an unexpected deterioration in the 75 00:03:42,760 --> 00:03:46,120 Speaker 2: jobs market. Mizellis expects the benchmark rate to be cut 76 00:03:46,120 --> 00:03:48,240 Speaker 2: one hundred basis points by the end of next year, 77 00:03:48,280 --> 00:03:51,480 Speaker 2: which means won't be a cut until May next year 78 00:03:51,520 --> 00:03:53,240 Speaker 2: at the earliest. But then there'll be four of them. 79 00:03:53,760 --> 00:03:56,720 Speaker 1: How about this one, Sean. Story number four, Indian billionaire 80 00:03:56,760 --> 00:04:02,280 Speaker 1: Gothamerdanney and his nephew Sagaradani have been indicted in New 81 00:04:02,360 --> 00:04:06,120 Speaker 1: York over his role in an alleged multi billion dollar 82 00:04:06,240 --> 00:04:07,680 Speaker 1: bribery and fraud scheme. 83 00:04:08,080 --> 00:04:12,240 Speaker 2: Authority claimer Danni and seven other defendants, including Saga, agreed 84 00:04:12,440 --> 00:04:15,080 Speaker 2: to pay two hundred and sixty five million US dollars 85 00:04:15,120 --> 00:04:18,320 Speaker 2: in bribes to Indian government officials to obtain solar energy 86 00:04:18,360 --> 00:04:22,039 Speaker 2: supply contracts expected to yield about two billion dollars worth 87 00:04:22,040 --> 00:04:25,000 Speaker 2: of profit over twenty years. According to Rutis, the case 88 00:04:25,040 --> 00:04:27,960 Speaker 2: involves alleged violations of the Foreign Crupt Practices Act, a 89 00:04:28,080 --> 00:04:31,480 Speaker 2: US anti bribery law. According to the indictment, some conspirators 90 00:04:31,480 --> 00:04:34,880 Speaker 2: privately referred to Gottam Adani as Numero Uno or the 91 00:04:34,880 --> 00:04:37,400 Speaker 2: big Man. A Danne's well known in Australia. His company 92 00:04:37,400 --> 00:04:39,760 Speaker 2: acquired the Carmichael coal mine in Central Queens Lane in 93 00:04:39,800 --> 00:04:42,600 Speaker 2: twenty ten. That mind faced numerous legal and political challenges 94 00:04:42,800 --> 00:04:45,640 Speaker 2: during its approval process. Eventually he's again exporting coal in 95 00:04:45,640 --> 00:04:48,560 Speaker 2: twenty twenty two. One local company not benefitting from the 96 00:04:48,600 --> 00:04:52,680 Speaker 2: charges announced yesterday is investment firm GQG. It's got a 97 00:04:52,760 --> 00:04:54,760 Speaker 2: large stake in Danni Group. Its share price was down 98 00:04:54,760 --> 00:04:55,880 Speaker 2: twenty percent yesterday. 99 00:04:56,040 --> 00:04:57,719 Speaker 1: I think that's a life goal of mine to be 100 00:04:57,800 --> 00:05:00,480 Speaker 1: referred to as Numero Uno or the big Man. 101 00:05:01,000 --> 00:05:01,880 Speaker 2: Definitely the big man. 102 00:05:01,960 --> 00:05:04,600 Speaker 1: Yeah, indeed, all right, last one, story number five. Let's 103 00:05:04,600 --> 00:05:08,039 Speaker 1: file this one under people who have too much money. Sean, 104 00:05:08,320 --> 00:05:13,080 Speaker 1: a crypto entrepreneur, has paid six point two million US 105 00:05:13,080 --> 00:05:15,919 Speaker 1: dollars for a banana taped to a wall at an 106 00:05:16,080 --> 00:05:19,960 Speaker 1: art auction in New York. That was more than four 107 00:05:20,000 --> 00:05:22,800 Speaker 1: times it's pre sale estimate. He really wanted that fruit. 108 00:05:23,279 --> 00:05:27,000 Speaker 2: Yeah. Justin Sun, the Chinese founder of crypto platform Tron, 109 00:05:27,839 --> 00:05:30,800 Speaker 2: bought the banana stuck to a wall with duct tape. 110 00:05:31,279 --> 00:05:33,279 Speaker 2: The presale estimate was one and a half a million 111 00:05:33,400 --> 00:05:35,920 Speaker 2: US dollars according to Financial Times. Seems a bit rich 112 00:05:35,960 --> 00:05:39,599 Speaker 2: at that level. Some said, the piece, known as Comedian 113 00:05:40,120 --> 00:05:42,239 Speaker 2: is and I quote, not just an artwork. It represents 114 00:05:42,240 --> 00:05:45,000 Speaker 2: a cultural phenomenon that bridges the worlds of art means 115 00:05:45,080 --> 00:05:50,039 Speaker 2: and the cryptocurrency community. Maybe, he added, it's part I 116 00:05:50,200 --> 00:05:52,560 Speaker 2: like he plans to eat the banana in the coming 117 00:05:52,640 --> 00:05:55,800 Speaker 2: days as part of this unique artistic experience, honoring its 118 00:05:55,800 --> 00:05:58,320 Speaker 2: place in both art history and popular culture. 119 00:05:59,080 --> 00:06:01,120 Speaker 1: All Right, there we go. The top five business stories 120 00:06:01,120 --> 00:06:03,400 Speaker 1: in five minutes. Thank you very much, Sean, Thank you Michael. 121 00:06:03,560 --> 00:06:06,520 Speaker 1: It is Friday, the twenty second of November twenty twenty four. 122 00:06:06,600 --> 00:06:08,760 Speaker 1: Remember to hit follow on the podcast and if five 123 00:06:08,760 --> 00:06:11,440 Speaker 1: minutes isn't enough, you can find our longer daily show 124 00:06:11,520 --> 00:06:14,200 Speaker 1: called Fear and Greed wherever you listen to. Podcasts are 125 00:06:14,200 --> 00:06:16,680 Speaker 1: Michael Thompson. And that was the past five business news 126 00:06:16,680 --> 00:06:18,520 Speaker 1: by Fear and Greed. Have a great day.