60 basis point rate cut; Judge calls Pero relationship dysfunctional

Westpac has made an interesting move slashing 60 basis points off its five year fixed home loan rates. This clearly makes them a leader in this term (even bettering HSBC). The move comes a week after ASB took a market leading position in the four-year term.

Here is the five-year table sorted lowest to highest.

We have the next instalment of the Mike Pero court saga (that term is used loosely to include the man himself and some of the companies bearing his name). Clearly the parties can't work together. The judge said she doesn’t see how Mike Pero and MPM/MPMRE could ever continue to work together given the relationship is so dysfunctional.

Pero himself is willing to exit the “oppressive” partnership – either by selling up or buying out – but the companies lawyer says MPM/RE’s preference is for the partnership to continue.

Here's our wrap of what's happening.