Local Bonds, Offshore Equities

On Tuesday last week, Louwrens Coetzee and Duggan Matthews of Marriott Asset Managers presented their outlook for local and offshore investments.

Louwrens opened the presentation with the implications of the recent interest rate cuts and what this will mean for local investors who are seeking an income from their investments. Investors will need to be aware that yields have declined and this will lead to a reduction in the level of income they are receiving. The Marriott Core Income Fund has continued to provide investors with a reliable, predictable and above inflation level of income over the past 5 years.

In the second part of the presentation, Duggan provided insights into where Marriott is continuing to find excellent investment opportunities offshore.

Duggan explained how Marriott’s investment philosophy of selecting companies that are able to grow and increase their dividends will become even more relevant now, as we face up to the uncertainties of the post-COVID-19 world.

Duggan also shared their annual return expectations for the Marriott International Investment Portfolio (IIP) for the next five years.

It is Marriott’s belief that the best investment opportunities continue to remain offshore and investors looking for long term capital appreciation should consider investing in quality companies that will emerge from the current crisis in a stronger position than many of their peers.

For those investors who missed out on the presentation and would like a copy of the slides, please contact the office directly for a copy to be sent to you.