Abernethy: Don't get too down on big industrials

It has been a lonely time for industrial companies at the top end of town. Bearish sentiment on the growth prospects for Australia's largest companies have seen them off the shopping list for many investors. John Abernethy from Clime Asset Management says the performance of these companies needs to be put into a more global context. Against a backdrop of negative interest rates, massive stimulus programmes and plummeting energy prices the world remains in a low growth environment. Abernethy says these big industrial companies have high quality cash flows, the question that needs to be addressed by management is about how these cash flows can be reinvested.