Wed, November 27, 2024
Tue, November 26, 2024

Why we're continuing to add stocks and credit to portfolios in 2025

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In Australia, growth is expected to improve but remains below trend, with government spending the key driver ahead of the Federal Election. Progress on unemployment and inflation is slow, with the Reserve Bank of Australia starting to cut rates gradually from May 2025.
The article from Livewire Markets discusses the investment strategy for 2025, focusing on the rationale behind continuing to add stocks and credit to investment portfolios. It highlights that despite economic uncertainties, there are compelling reasons for optimism. Key points include the anticipation of a soft economic landing, supported by robust corporate earnings, and a belief that inflation will moderate, allowing central banks to adjust monetary policies favorably. The piece also mentions the potential for sectors like technology and healthcare to drive growth due to innovation and demographic trends. Additionally, the article points out that credit markets are expected to offer attractive yields with diminishing default risks as economic conditions stabilize. The overall strategy is underpinned by a cautious yet opportunistic approach, balancing risk with the potential for reward in a recovering global economy.

Read the Full Livewire Markets Article at [ https://www.livewiremarkets.com/wires/why-we-re-continuing-to-add-stocks-and-credit-to-portfolios-in-2025 ]