Ten Cap Alpha Plus lead portfolio manager Jun Bei Liu has expressed ongoing optimism regarding the Australian sharemarket. Liu highlighted robust policy support, resilient corporate earnings, and a dynamic shift in market leadership as key factors underpinning her positive outlook. She anticipates that the Australian equity market will continue its upward trajectory through the end of the year, potentially delivering mid-teen returns for investors.
Liu believes the August reporting season will reinforce this positive momentum, with expectations of stable profit margins and consistent improvements across various sectors. She noted that both earnings growth and multiple expansion, particularly in commodities and cyclical industries, are likely to drive further gains in the market. Liu’s comments suggest confidence in the underlying strength of Australian businesses and their ability to navigate the current economic environment.
Despite acknowledging ongoing risks and market volatility, Liu emphasised the strong investor appetite for Australian shares. This demand is bolstered by expectations of future cash rate cuts by the Reserve Bank of Australia (RBA) and Australia’s relative insulation from global trade tensions. Ten Cap is an investment management firm focusing on delivering superior, risk-adjusted returns for its clients. The firm utilises fundamental research and active management strategies to identify and capitalise on investment opportunities across various asset classes.
In light of these factors, Liu is encouraging investors to maintain their confidence in the Australian market. Her perspective suggests that the Australian sharemarket is well-positioned to deliver solid returns, supported by a combination of macroeconomic factors and company-level performance.
