Science and medicine appear to be getting the upper hand of coronavirus – but what about investment markets?
Coronavirus has wreaked havoc globally and in Australia, but there are increasing signs that its grip is loosening as humanity gets the upper hand thanks to science and modern medicine. While the risk of setbacks remains, the consensus is suggesting it’s gradually coming under control which has permitted a sustained reopening globally and in Australia in the months ahead.
Although coronavirus will leave some lasting impacts, at a very high-level, sustained reopening will be positive for the investment outlook as reopening means:
- more demand – and in Australia a resumption of the economic recovery this quarter; and
- a return to work and a rotation in spending back towards services as opposed to goods.
The former is positive for corporate revenue (albeit profit growth will be slower than it has been) and the latter should ultimately relieve supply constraints and inflation pressures – although it may take 6-12 months.
It will however also mean a continued winding down of ultra-easy monetary stimulus though.
Our wealth division, S&W Wealth will be hosting an event to give you updates from market leading investment managers to give you some clarity on the above issues.
Event Date: Thursday 25th November 2021
Event Time: 12.20pm for a 12.30pm Start
Run Time: 30 min plus 15 min for Q&A
Please join us on 25 November so you can learn how we are positioning portfolios with time tested portfolio management techniques to generate meaningful returns whilst minimizing downside risk.
Register Here – S&W Wealth Web Event | Investment Views; Where to in 2022
If you have any queries in relation to the above, don’t hesitate to contact your client manager.
Kreston Stanley Williamson
*Correct as of 15 November 2021
*Disclaimer – this article has been produced by Kreston Stanley Williamson as a service to its clients and associates. The information contained in the article is of general comment only and is not intended to be advice on any particular matter. Before acting on any areas contained in this article, it is imperative you seek specific advice relating to your particular circumstances. Liability limited by a scheme approved under professional standards legislation.