It’s a head scratcher alright. Over the past six months the ASX All Ordinaries index is up 9.37% while the ASX 200 index is up 8.56%. Despite recent negative headlines stocks are still higher than they were last August. Show More
property trusts
When Australians travel we like to explore the unfamiliar. We’re quick to purchase the latest gadgets and we crave international brands. In the corporate world, many professionals consider themselves global citizens, travelling abroad for work and play. Show More
Whether you’ve heard of it or not, ESG (Environmental, Social and Governance) investing is already big business. Bank of America claims it has doubled in the past few decades1 and the US$1.3tn Government Pension Investment Fund of Japan intends to more than triple its portfolio allocation to ESG investments from... Show More
‘Those who do not learn from history are condemned to repeat it’. So said Spanish-American philosopher George Santayana. Show More
Technology has disrupted many industries but commercial property isn’t one of them. Buildings are still buildings, and the predictability of the rents is the source of the stable, reliable returns property trust investors demand. Disruption is, however, creating an opportunity with all the attractions of traditional commercial property plus richer... Show More
Low growth and low interest rates remain the key risks for financial stocks as global economies move from one disaster to another. The growth and yield to value outlook continues to favour banks above diversified financials, insurance and property trusts. The currency is likely to weaken as market optimism of... Show More
There were a handful of results this week highlighted by the Goodman Group. It really was a standout with EPS growth of 7.8%. Once again, and just like every year for the past five years, they exceeded initial guidance. What's even better is the fact that they’ve been selling assets... Show More
Macro outlook: Low growth and low interest rates remain the key risks for financial stocks as central banks run out of ideas. China, Japan and Europe will need more central bank support to manage growth slowdown while there are cracks beginning to appear in the US and UK recovery stories.... Show More
Global growth remains weak while US recovery is beginning to give the US Fed comfort in moving on their tightening rate cycle. China, Europe and Japan are expected to deliver more stimulus while US beginning to see early signs of inflation. Even with the recovering US yields, Aussie financials are... Show More
Banks: The substantial weight in the index and the high yield premium has made the bank sector to trade in line with the currency and the economy. Central banks globally continue to maintain an easing bias through currency war. US Fed decision next week will be the dominant factor in... Show More
Macro outlook: Central banks have returned to currency war. The artificial devaluation of major currencies and underlying strength in the Australian economy has driven the AUDUSD back above 75 cents. We see real risk of AUDUSD trading above 78 cents with dovish US Fed. The US Fed meeting later this... Show More
Bank sector: Global macro and central bank risks remain, but the downgrade cycle is mainly in the price. The yield premium and central bank easing bias suggests that banks should see support despite weakening outlook. Show More
Surging share prices and a rise in -business and consumer confidence are expected to lead to a sharp increase in global mergers and acquisitions this year. Analysis of early-stage deals by -transaction software company Intralinks suggests that globally the number of mergers will rise between 10 per cent and 17... Show More