Ausbiz – Rotating your small cap portfolio

20 Apr 2022

Consumer spending habits are rotating as COVID fears continue to settle in Australia. Spending has shifted from hard goods like homewears, electronics, fashion and appliances and into lifestyle spending, particularly travel, accommodation, entertainment, flights, food and bev and venues. Dean Fergie from Cyan Investment Management says this translates to shorter positions in things like Adairs, Kogan, and into Flight Centre, Corporate Travel, Ardent Leisure, along with Treasury Wine, Endeavour Group, Mighty Craft and Maggie Beer. There’s also been some heat coming off the boil when it comes to the BNPL and consumer sector. Don’t expect that to return anytime soon says Dean, due to the increases in bad debts that the sector has been experiencing. Overall though, its a subdued market. Investors appear intent on getting on and enjoying their lives and even the election doesn’t seem anything more than a side-show.

https://www.ausbiz.com.au/media/rotating-your-small-cap-portfolio-krakatoa-unearths-companymaking-prospects?videoId=20964