With Lonsec now holding more frequent Asset Allocation Investment Committee meetings, CIO Lukasz de Pourbaix provides an update from his virtual office at home on the outcome of Lonsec’s out-of-cycle meeting held this week.

Whilst Lonsec’s overall asset allocation positioning has been the same for some time, the committee members decided this week that this defensive position should remain unchanged for now, with slight underweight exposure to equities and overweight exposures to real assets and alternatives. The investment team are meticulously looking at the three key metrics Lonsec uses to assess asset allocation – valuations, business cycle and sentiment & momentum – and are looking for opportunities to take a more positive position to risk assets.

Given the current extreme market movements, the investment team have this week rebalanced the portfolios to the target weights as a prudent way to manage our portfolios’ exposure.

Lonsec’s next committee meeting is scheduled to be held in two weeks, however we are assessing our positions daily and will continue to provide our advisers with updates as the COVID-19 situation continues to evolve.

This information is provided by Lonsec Investment Solutions as a corporate authorised representative of Lonsec Research Pty Ltd who hold an AFSL number 421445. This is general advice, which doesn’t consider your personal circumstances. Consider these and always read the product disclosure statement or seek professional advice prior to making any decision about a financial product. You can access a copy of our financial services guide at lonsec.com.au

This video is provided by Lonsec Investment Solutions Pty Ltd ACN 608 837 583, a Corporate Authorised Representative (CAR 1236821) (LIS) of Lonsec Research Pty Ltd ABN 11 151 658 561 AFSL 421 445 (Lonsec Research). LIS creates the model portfolios it distributes using the investment research provided by Lonsec Research but LIS has not had any involvement in the investment research process for Lonsec Research. LIS and Lonsec Research are owned by Lonsec Holdings Pty Ltd ACN 151 235 406.

Past performance is not a reliable indicator of future performance. This is general advice, which doesn’t consider your personal circumstances. Consider these and always read the product disclosure statement or seek professional advice prior to making any decision about a financial product. While care has been taken to prepare the content of this video, LIS makes no representation or warranty to the accuracy or completeness of the information presented, which is drawn from public information not verified by LIS. The information contained in this video is current as at the date of publication.

Copyright © 2020 Lonsec Investment Solutions Pty Ltd ACN 608 837 583

The coronavirus has had a major impact on equity markets in the past few days, and the uncertainty surrounding looks set to continue for some time. Peter Green, our Head of Listed Products, looks at the stocks that have been directly and indirectly affected, as well as some of the reporting season’s best and worst performers.

The strength of equity markets during 2019 and the start of 2020 saw an increase in valuation premiums in the market resulting in a number of sectors trading at record highs. But the reporting season outlook has been impacted by a slowing global economy, the devastating bushfires across Australia and the coronavirus, elevating the risk profile of the market.

In this first video of our Reporting season series, Lonsec’s Listed Products Portfolio Manager, Danial Moradi, takes an in-depth look at how companies performed over the first two weeks of the reporting season.

Hear from Lukasz de Pourbaix, Chief Investment Officer – Lonsec Investment Solutions, on some of the key themes that are set to dominate markets in 2020, and the implications they could have on your clients’ portfolios.

Important information: Any express or implied rating or advice is limited to general advice, it doesn’t consider any personal needs, goals or objectives.  Before making any decision about financial products, consider whether it is personally appropriate for you in light of your personal circumstances. Obtain and consider the Product Disclosure Statement for each financial product and seek professional personal advice before making any decisions regarding a financial product.