Scammers operate in an ever-evolving space and the scams of today are far more sophisticated than they have ever been, targeting even the most financially literate individuals.

In addition to the financial impact from a scam, it can affect your mental health as well as damage your reputation, so understanding how scammers operate is the best way protect yourself from falling victim.

A growing trend

The statistics provide a sobering reminder that no one is immune—no matter how experienced or cautious they may be – it can happen at the click of a button.

According to the Australian Competition and Consumer Commission’s (ACCC) Scamwatch, Australians lost an alarming $3.18 billion to scams last year.

The average individual loss from scams is significant, with individual losses rising by more than 50% last year, to an average of almost $20,000. This is due, in part, to scammers using new technology to lure and deceive victims and it underscores the serious financial toll scams can take.

Some of the most common scams include:

• Investment scams: Investment scams continue to be a major issue, with losses reaching around $1.2 billion in 2024. These scams often involve fraudulent online trading platforms or fake cryptocurrency schemes, designed to lure investors with promises of high returns and minimal risk.
• Impersonation scams: Fraudsters are increasingly using sophisticated tactics to impersonate trusted organisations, such as government bodies, banks, and financial advisers. In 2024, impersonation scams accounted for $700 million in losses, with scammers using fake emails, phone calls, and even text messages to trick victims into revealing sensitive personal information or parting with funds.
• Romance and relationship scams: These scams often involve scammers establishing a personal relationship with victims before manipulating them into sending money. In 2024, these types of scams led to losses of $250 million, highlighting the emotional and financial damage they can cause.

While these figures are shocking, they also reflect the changing nature of scams. Scammers are no longer relying on clumsy, obvious frauds. Instead, they are using highly professional methods, often tailored to the specific interests, financial knowledge, and behaviours of their targets.

Why everyone is vulnerable

As scammers become more creative, even the most experienced and financially literate individuals are at risk. There are several reasons why this is the case.

Sophistication: Scammers now use advanced technology and psychological manipulation to trick their victims. They impersonate respected brands and financial institutions, and they can craft highly convincing emails, websites, and phone calls that look indistinguishable from legitimate communications.

Cryptocurrency and new technologies: The rise of digital currencies and decentralised finance (DeFi) platforms has created new opportunities for scammers to exploit. These markets are largely unregulated, making them more vulnerable to exploitation by criminals.

Deepfakes: Scammers are increasingly using deepfake technology to make their fraudulent schemes more convincing and harder to detect. By creating hyper-realistic videos or audio recordings, they can impersonate trusted individuals, such as company executives, colleagues, or even loved ones, to manipulate victims to respond to requests for urgent assistance or money. This manipulation of digital media makes it much more difficult for victims to distinguish between what’s real and what’s fabricated.

Protecting yourself

Despite the growing sophistication of scammers, there are steps you can take to protect yourself. It’s crucial to stay alert and use a combination of scepticism, knowledge, and due diligence.

Be cautious when receiving unsolicited offers or requests, whether by phone, email, or social media. If you weren’t expecting to hear from a company or individual, don’t rush to react. Don’t click on links. Take a step back and verify the legitimacy of the contact by using an email or contact number that you locate online. Always verify account details this way before transferring any money.

Scammers are constantly evolving their tactics, so it’s crucial to stay informed. Regularly educate yourself on the latest scam trends and familiarize yourself with common warning signs. Agencies like Scamwatch provide ongoing updates and resources for identifying and reporting scams.

The evolving nature of financial scams means that it’s not enough to simply be cautious; you need to stay proactive. If you’re unsure whether an opportunity is a scam or simply want a second opinion on a financial matter, we’re here to help.

Source for all scam statistics in this article: https://www.scamwatch.gov.au/research-and-resources/scam-statistics

Stay up to date with what’s happened in the Australian economy and markets over the past month.

The month of April was marked by economic uncertainty and global trade tensions that drove market declines and volatility.

These events are anticipated to influence the RBA’s cash rate decisions, as will the recent decline in core inflation to within the target range.

Click here to view our update.

Please get in touch on 03 9723 0522 if you’d like assistance with your personal financial situation.

Suite 2, 1 Railway Crescent
Croydon, Victoria 3136

Email: integrityone@iplan.com.au

Telephone : 03 9723 0522

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This information is of a general nature and does not take into consideration anyone’s individual circumstances or objectives. Financial Planning activities only are provided by Integrity One Planning Services Pty Ltd as a Corporate Authorised Representative No. 315000 of Integrity Financial Planners Pty Ltd ABN 71 069 537 855 AFSL 225051. Integrity One Planning Services Pty Ltd and Integrity One Accounting and Business Advisory Services Pty Ltd are not liable for any financial loss resulting from decisions made based on this information. Please consult your adviser, finance specialist, broker, and/or accountant before making decisions using this information.

Bonds are not usually the flashy upstarts of the investment world with their every move reported, like stocks.

But the Trump Administration’s extraordinary refashioning of world trade, with on-again off-again tariffs of eye watering amounts, has put bond markets in a similar position to share markets – in turmoil.

So, with the bond markets attracting more attention than usual, we take a closer look at the asset class.

What is a bond?

A bond is a bit like an interest-only loan and there are many different types of bonds available. A government (government bond), or sometimes a large company (corporate bond), issues bonds to investors to raise funds for infrastructure or, in the case of a company, for expansion.

Large institutional investors tend to favour some of the more complex types. Retail investors are more often interested in fixed-rate bonds, known as a fixed-income investment because of the regular payments made to the investor (or the coupon interest rate). The principal (called the face value) is repaid at an agreed date when the bond matures.

These bonds can also be traded on a secondary market by those who’ve chosen to sell their bonds before maturity. In this case, depending on the state of the markets and the economy, the amount they’re worth, or their capital value, may be higher or lower than the face value, which is fixed.

The most common fixed-rate bonds, issued by governments, are generally considered more stable. Nonetheless, all bonds are assigned a credit rating by independent rating agencies such as Standard & Poor’s or Moody’s.

Australia’s Commonwealth bonds, issued by the federal government, are AAA-rated reflecting strong fiscal management, economic stability and low default risk.

State governments and quasi-government organisations such as the World Bank also issue bonds. The risk level for this category of bonds can vary.

Large companies, looking to expand or start new projects, often use bonds as a way to raise funds. Corporate bonds generally pay higher interest but are considered slightly more risky.

How to buy bonds

Investing in bonds can help to diversify a portfolio and provide a steady stream of income but for those with no knowledge or experience of the market, it is important to get quality professional advice and speak to us.

For example, if you had been relying on the conventional wisdom that bond markets are often up when share markets are down, recent share market activity would have delivered a shock. The usual flight to safety from share price volatility to bonds did not happen in the United States where, for a time, both markets were falling.

While it is possible to buy bonds directly when there is a public offer, it can be difficult for smaller individual investors to participate because of the large minimum transactions required.

Instead, most retail investors look to bond funds, bond exchange traded funds (ETFs) or managed funds for exposure to the bond market. The variety of funds on offer can help to diversify a portfolio by giving access to a range of different markets.

What affects bond rates?

Interest rate movements directly affect bond prices on the secondary market.

When interest rates rise, bond prices fall because newly issued bonds will be at the higher rate making older bonds less attractive and reducing demand.

Conversely, bond prices rise when interest rates fall because new bonds will offer the lower rates meaning there will be higher demand for older bonds, driving their prices up.

Bond prices are also influenced by economic conditions and investor sentiment.

Rising inflation can cause bond prices to rise while strong economic growth may decrease bond prices because investors often prefer to buy shares. Bonds with a lower credit risk, such as AAA-rated government bonds, tend to attract higher prices.

Be alert for scams

The Australian Securities and Investments Commission (ASIC) is warning investors about scammers using bond investments as a lure.

In one report earlier this year, scammers claimed to be offering sustainability investment bonds in Bunnings Warehouse.

The scam offered higher than market returns and claimed that investments are protected by the government. It included links to Bunnings genuine website although the company does not offer bonds or any investment products.

ASIC’s MoneySmart website warns that scammers often impersonate real companies. They may use the name of a real person working at the bank or company they say they represent.

“Be wary of surprise contact and independently verify who you are dealing with,” says ASIC. For detailed steps, see check before you invest.

If you would like to learn more about your options for investing in bonds, please give us a call 03 9723 0522.

In the lead up to the end of the financial year (EOFY), it’s a great opportunity for property investors to pause, prepare their records, and make sure they’re making the most of what they can claim. Tax time might not be the most exciting part of investing, but a little preparation now can make a big difference.

Here’s what to keep in mind as 30 June approaches.

What you can and cannot claim

Property investment comes with a range of expenses, and there are some that can be tax deductible. These generally fall into two broad categories: things you can claim right away, and things you can claim over time.

Immediate deductions often include things like interest on your investment loan, council rates, property management fees, advertising for tenants, and basic repairs or maintenance work. If you’ve paid premiums for landlord insurance, those can typically be claimed too.

Then there’s depreciation—this applies to the wear and tear on both the building itself (if it was built after July 1985) and certain items within the property, like appliances, carpets, or blinds. If you haven’t already, getting a depreciation schedule from a qualified quantity surveyor can be a smart move. It helps make sure you’re not leaving money on the table and the cost of preparing the report can also be claimed.

Keep in mind: rules around what you can and can’t claim—especially for second-hand items—have changed in recent years. So, if you bought your property after May 2017, it’s worth double-checking the latest rules with your accountant before you make any claims.

Timing can make a difference

As EOFY approaches, it’s worth thinking about the timing of your expenses. For example, if you’ve got maintenance work coming up, insurance premiums or interest payments due, bringing them forward into this financial year could help reduce your taxable income.

Some investors also look at prepaying interest on their investment loans, depending on what their lender allows. It won’t be the right strategy for everyone, but it’s something to consider if you’re aiming to bring forward deductions.

Capital gains tax considerations

If you’ve sold an investment property during the year, you’ll also want to be across how Capital Gains Tax (CGT) applies. The timing of the sale, how long you’ve owned the property, and whether it was your primary residence at any point, all play into how much CGT you may pay.

Consider any available exemptions or discounts, such as the 50 per cent discount for assets held longer than 12 months. If you have any underperforming properties, selling them to realise a capital loss can offset your gains and reduce your CGT liability.

Keeping your records in order and avoiding errors

EOFY is also the time to make sure all your records are in order—receipts, loan statements, rental income summaries, and anything related to expenses. Staying organised means fewer headaches at tax time and makes life easier if the ATO ever comes knocking with questions.

According to the Tax Office, results from property data matching found a number of common errors. This included the reporting of net rent instead of gross rental income that results in the same expenses being claimed a second time. Properties are being omitted from returns and properties owned by multiple stakeholders are only having one of the stakeholders reporting the property, when all property owners are required to include this information when lodging their tax return.

Capital works or depreciating assets are also being commonly claimed as repairs and maintenance when they shouldn’t be, according to the ATO. For example, if you are renovating a bathroom, there are rules around what can and cannot be considered ‘a repair’, so you need to understand and distinguish each deduction in order to correctly lodge your tax return.

The big picture

EOFY can also be a good time to take a step back and review how your property (or portfolio) is performing overall. Are you charging rent in line with the market? Are your expenses creeping up? Are you getting the most from your current loan structure?

Review the structure of your property investments. Holding properties in tax-effective structures such as trusts or self-managed superannuation funds (SMSFs) can provide tax advantages, but you’ll need to get expert advice and weigh up the advantages and disadvantages and how this could affect your overall strategy.

Expert advice goes a long way

While it’s tempting to go it alone, property and tax can get complicated—especially with ongoing changes to legislation and what the ATO considers fair game. So, make sure you are getting the right advice to ensure you are claiming everything you’re entitled to and staying compliant with the latest regulations.

Getting on top of your property tax planning in the lead up to 30 June doesn’t just help you at tax time—it sets you up for stronger returns in the year ahead. With a bit of preparation (and a trusted advisor in your corner), you can finish the financial year feeling confident and in control.

Checklist for property investors at tax time

• Conduct a thorough property review
• Maximise tax deductions
  • Interest on loans
  • Property management fees
  • Strata Levies
• Maintenance and repairs
• Prepay certain expenses
• Write off bad debts
• Plan for Capital Gains Tax (CGT)
  • Reduce your CGT liability.
  • Utilise tax-effective structures
• Claim depreciation deductions
• Plan for the future

Stay up to date with what’s happened in the Australian economy and markets over the past month.

Following March’s Federal Budget, Prime Minister Anthony Albanese announced a national election for May 3, kicking off a campaign centred on tax cuts and cost-of-living relief.

Globally, trade war worries dominated headlines and contributed to markets falls during the month.

Click here to view our update.

Please get in touch on 03 9723 0522 if you’d like assistance with your personal financial situation.

Suite 2, 1 Railway Crescent
Croydon, Victoria 3136

Email: integrityone@iplan.com.au

Telephone : 03 9723 0522

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This information is of a general nature and does not take into consideration anyone’s individual circumstances or objectives. Financial Planning activities only are provided by Integrity One Planning Services Pty Ltd as a Corporate Authorised Representative No. 315000 of Integrity Financial Planners Pty Ltd ABN 71 069 537 855 AFSL 225051. Integrity One Planning Services Pty Ltd and Integrity One Accounting and Business Advisory Services Pty Ltd are not liable for any financial loss resulting from decisions made based on this information. Please consult your adviser, finance specialist, broker, and/or accountant before making decisions using this information.

We understand you will have seen ongoing headlines around market volatility, it’s natural to feel a little uncertain.

That’s why our practice manager and adviser Matthew Borg has put together a short video to explain what’s happening — and, more importantly, what it means for you.

🎥 Watch the video here

In just a couple of minutes, we cover:

• What’s driving current market movements
• Why volatility is a normal part of investing
• Three simple tips to help you stay on track

If you have any questions or would like to discuss your investment strategy, please don’t hesitate to get in touch.

We’re here to support you — through the ups and the downs.