Aged care operators have been having a tough time lately. As well as a drop in occupancy due to the softening housing market, rapid and substantial regulatory change and looming outcomes from the Royal Commission into Aged Care Quality and Safety, they are also facing increasing financial pressure due to low interest rates.
When it comes to investing, many aged care operators have a conservative strategy, prioritising safety and liquidity over returns. But with interest rates at record lows, and likely to stay that way for some time, these conservative strategies are likely to deliver diminishing returns. It’s time for CEOs, CFOs and boards to look beyond term deposits to ease the pressure on their balance sheets.
This white paper examines the current disruption in the aged care sector and the external forces which are likely to continue placing increasing pressure on the sector’s profitability. It then provides strategies for aged care executives, boards and finance teams on how to increase revenue from investments, while minimising risk.
If you would like to discuss your organisation’s investment needs contact the white paper’s author, Scott Hawker, Perpetual’s National Manager for Not-for-Profit Endowments.
T: 02 9229 9319