Investment Watch Spring 2020 Outlook 2020

Investment Watch Spring 2020 Outlook is now available.

Australia escaped the initial onslaught of COVID-19 relatively lightly. The GDP decline in the June quarter, while a substantial 7.0%, was rather less than the 9% or so experienced by the median OECD economy.

It was however enough to do substantial damage to corporate earnings in FY21 and to pose ongoing risks to improved profitability in the future.

The unequal nature of the recovery and the potential for a resurgence of COVID-19 offshore will mean investors will need to position portfolios for resilience.

We cover the outlook for Banks, Retail, Telco and Property in this edition.

We continue to expect the markets to make further gains, but we are preparing for a more turbulent ride ahead.

We also pick apart the opportunities in the Listed Investment Trusts and update our Asset Allocation benchmarks.

Highlights

Economics — quantitative easing as a long-term strategy
Equity strategy — a gradual path higher but be prepared for turbulence
Banks – headwinds easing
Telco – two speed recovery
2020 Q4 asset allocation
Listed Investment Trusts – attractive entry prices and distribution certainty
Consumer discretionary – all set for a merry Christmas
Industrials – fairly resilient
Property – segments of compelling opportunities
Recent initiations
Morgans best ideas

Download Investment Watch November 2020

Click here to view Investment Watch Spring 2020 Outlook. Alternatively contact your adviser or nearest Morgans office for a copy.

Need access?

You are welcome to start a two-week trial of our online platform, which provides access to detailed market analysis and insights, provided by our award-winning research team.

Create trial account

Print this page
Copy Link