How Rivkin Local works

Our mandate

We see our role as finding profitable trade opportunities for our members and communicating our recommendations in a clear and simple fashion. We provide specific recommendations including when to buy, at what price, and when to sell. We keep a full track record of our trades so members can easily assess our performance.

In addition, there are plenty of ‘traps’ in the market and we endeavour to discuss these with our members. Sometimes, it is more important to not invest in something than it is to invest in something.

We also discuss other potential trades that members may be interested in, trades that for some reason do not exactly fit our requirements.

Investment process

Rivkin Local runs three different investment strategies:

  1. Event Strategy: look to capitalise on specific ‘events’ that we believe provide a low-risk catalyst from which we can profit in a relatively short period of time.
  2. Income Strategy: focus on those securities that pay a high coupon or dividend. These may be in the form of debt, preference shares or other securities that generally have a relatively high amount of income and no, or limited, capital growth.
  3. Blue Chip Strategy: a low-maintenance, long-term strategy that invests in the highest yielding blue chip stocks for 12 months at a time, which has produced significant outperformance since we started using the strategy in 2008. We construct four Blue Chip Strategies a year: January, April, July and October, however there is no need or expectation to invest in all four strategies, just one will suffice. 

Members can choose to employ one or all strategies concurrently. Ultimately, it is a personal preference as to which strategies our members use, with some preferring to use a ‘core’ and ‘satellite’ approach, such as the Blue Chip being the core and the Event and Income trades being the satellite, or additional, trades.

Rivkin Live Model Portfolio

The Rivkin Live Model Portfolio was established in April 2013 with $300,000 to invest across the range of Rivkin Local recommendations. The intention behind the Model Portfolio was to provide members with a reference point for not only which recommendations to invest in, but also in what proportion of the overall portfolio. Additionally, the Model Portfolio accurately captures and reports the true performance of the full suite of Rivkin Local trade recommendations, so that the dollar value of our advice can be accurately measured.

Mix and match

Members can choose to follow the prescribed Model Portfolio, or alternatively choose a combination that meets their personal preferences. The beauty of direct investment is that you can build a portfolio that suits you.

The overarching advice is to develop a strategy that suits you. Ask yourself questions such as, how much income do I require? What level of risk am I comfortable with? Do I want to undertake some shorter term trades, or just have longer term holdings?

Franking credits

All of our investment strategies recognise the value of franking credits to local investors. Franking credits are an excellent way to boost returns, usually with minimal additional risk.

Franking credits can be paid on franked Australian dividends and represent the tax paid at the company level. Read how franking credits work here.

As a result, Rivkin Local is ideally suited to low tax paying entities (paying less than 30%) such as self-managed superannuation funds (SMSFs).

What can I expect?

We intentionally keep Rivkin Local brief, simple and easy to follow. If it is quantity that you are after, you can easily obtain voluminous amounts of further information on the market through a myriad of other sources. Rivkin Local advises members on exactly what stocks to buy and the exact time to sell to maximise profits. All of our recommendations come with a buy price, the reason we believe it is a good investment, and a risk and time outlook to help you decide whether it is the right investment for you.

We do not attempt to cover all stocks listed on the ASX, nor do we pretend to have a view on all stocks.

In general, we rebalance each of the Blue Chip Strategies once per year and occasionally, we will need to provide advice in between rebalance dates, for example if a takeover offer is made for a stock held in one of the portfolios.

For the Live Model portfolio, we will issue a recommendation as and when opportunities arise, which is typically on a fairly consistent basis throughout the year.

New trades are issued by email and SMS.

Each week, we look at the additional stocks that our members have requested an opinion on, and endeavour to comment on them on our online audio show, Virtually Live Local.  

It is, however, important to remember that investing in the stock market is potentially risky and you should be aware of these risks before making any investment decisions. Despite best endeavours, things sometimes go wrong and investments can result in losses. Historical performance is not a guide to future performance.

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DISCLAIMER: Rivkin aims to provide clear and simple information to those visiting our website. If any part of this disclaimer does not make sense, please phone Rivkin and ask to speak with a member of our Dealing and Relationship Management Team. Rivkin provides general advice and dealing services on securities, derivatives and superannuation (SMSF). Rivkin also provide SMSF administration and accounting services. Rivkin does not provide advice that takes into account your, or anybody else's, investment objectives, financial situation or needs. We strongly suggest that you consult an independent, licenced financial advisor before acting upon any information contained on this website. Investing in and trading securities (such as shares listed on the ASX) and/or derivatives (such as Contracts for Difference or 'CFDs') carry financial risks. CFDs carry with them various additional risks that differ from more simple securities such as fully-paid company shares. Some of these risks include not owning the underlying instrument from which a price is being derived, settling trades 'over the counter' with a financial institution rather than on a stock exchange, and using leverage to gain access to trades that may have a higher face value than your initial deposit. This risk of leverage means that it is possible to lose more than your initial investment. Our aim is to create more life choices for our clients, which means improving the wealth of clients throughout many market cycles by nurturing a relationship spanning many years. If you are not comfortable with your understanding of the risks involved before using a Rivkin product and service, please contact our office to seek further information or a Product Disclosure Statement, or make an appointment to sit with one of our friendly financial experts. It is in our interest for your Rivkin experience to be a rewarding and comfortable one. Rivkin is a trading name of Rivkin Securities ABN 87123290602, which holds Australian Financial Services Licence No. 332 802.