We take a look at the latest earnings results and outlook for companies across the Wilsons Global Equity Managed Portfolio. All our holdings saw some impact from COVID-19 during the quarter. Beneficiaries were companies like Microsoft and Danone, while Starbucks and Honeywell both saw disruptions. Longer-term, we think most of our portfolio positions will be in a stronger relative position post the crisis vs. pre-crisis.
We remain of the view that a secular bull market in equities is emerging. The rally is being underwritten by a combination of re-openings across the real economy, unlimited central bank support and large fiscal stimulus – all of which provides a backstop for global equities.
In this environment, companies exposed to pervasive growth themes – Cloud computing, Digital Transformation, SaaS Health, and Healthier Eating – all themes in the Wilsons Global Equity Managed Portfolio - should be able to continue to increase revenue and market share. In time, they should be rewarded with higher market capitalization.
Exhibit 1: S&P500 Reaction: COVID-19* vs. GFC and Tech Crash
For more information about Wilsons' Global Managed Equities Portfolio, please email email@example.com
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Disclaimer: This communication has been prepared by Wilsons Advisory and Stockbroking Limited (ACN 010 529 665: AFSL 238 375) and Wilsons Corporate Finance Limited (ACN 057 547 323: AFSL 238 383) (“Wilsons”), and to the extent that it contains advice, that advice is general in nature and does not consider your personal circumstances.
The information in this communication does not take into consideration the investment objectives, financial situation or particular needs of any particular investor. Past performance is not a reliable indicator of future performance. On that basis, any advice should not be relied on to make any investment decisions without first consulting with your financial adviser. If you do not currently have an adviser, please contact us and we would be happy to connect you with a Wilsons representative.
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Wilsons and their associates may have received and may continue to receive fees from any company or companies referred to in this communication (the “Companies”) in relation to corporate advisory, underwriting or other professional investment services. Please see relevant Wilsons disclosures at www.wilsonsadvisory.com.au/disclosures.
John is a leading investment strategist with 20 years experience.