Share prices now suggest a favourable long-term outlook
Recent falls of between 30 and 50 per cent in share prices have now restored long-term valuation support to the Australian share market, according to Schroders head of fixed income and multi asset Simon Doyle.
Doyle told the Securitor Convention in Darwin this morning that the sector is “now at the point” on the Shiller Price Earning Model that suggests a favourable long-term outlook.
“We can be a lot more positive when thinking about Australian equities now as we’re actually starting from a point of relatively attractive valuations,” Doyle said.
“Valuations could be cheaper, but on a 10-year view valuation support is there, suggesting pretty attractive returns out of equities over the next few years.
“Certainly, in a long-term sense I am starting to be a lot more comfortable with equities than I was earlier this decade,” he said.
Recommended for you
The profession is up by almost 200 advisers for the new financial year, with August continuing the consistent weekly positive gains.
WT Financial has announced its second “Hubco” with a combined valuation of $7.8 million, while its first one has successfully incorporated and is now making its own acquisitions.
The Australian Wealth Advisors Group has entered into a joint venture with a Melbourne financial services firm to launch a wealth manager.
Remediation and litigation costs have led AMP to announce a reduced statutory net profit after tax of $98 million for the first half of 2025.
