The current period of economic expansion is one of the longest in history, with US GDP growing for a record 124 months while Australia is now in its 29th year without recession. While the cycle remains extended, equity markets have rallied to all-time highs despite falling earnings, diminishing manufacturing activity and the yield curve close to zero. Accommodative policy from central banks has created an environment where all boats have floated. When the tide turns, we think investors are exposed to downside risks given some of the overpriced stocks and the weight they carry in the benchmark.
In the below Fund in Focus, we touch on our outlook for the investment landscape in 2020, where we are finding the best opportunities, and why investors should be considering a risk aware approach to benefit in both bull and bear markets.
Learn more about risk aware investing
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