This paper calls for a major shake up of capital gains tax (CGT) via a 'circuit breaker' proposal to the stalled housing debate in Australia. The proposed reform intends to level the playing field for first home buyers and renters, while also incentivising new supply, and attracting and rewarding investors.

This report presents the findings of research into Australian retail investors’ motivations, attitudes and behaviours. The results provide a point-in-time snapshot of the period following the onset of the COVID-19 pandemic.

Abstract: We investigate the short-term relation between individual investor trading and stock returns on the Australian Securities Exchange. Stocks heavily bought by individual investors underperform stocks heavily sold over the subsequent three days, with respective returns on to a long-short portfolio of -93, -67 and -12 basis points on days one, two, and three. Individuals...