Marcus Bogdan CIO of Blackmore Capital talks to ausbiztv on the Price Earnings (PE) dispersion between Growth stocks and Value stocks is the largest in over 20 years. Marcus discusses Xero (XRO) a high quality growth stock whose valuation now looks stretched in the short term.
Whereas, Marcus believes upside exists in finding stocks that provide dependable yield. We have recently added to our position in Waypoint REIT (formerly Viva Energy REIT Mkt Cap $1.9bn – Australia’s largest listed REIT owning solely service station and convenience properties). Waypoint (WPR) provides a defensive and attractive distribution profile for income dependent investors.
Marcus highlights News Corporation as being well placed to be a beneficiary of a recovery in the housing market through its core investments in REA Group and Realtor (US).