The Lander Report - Market & Portfolio Insights

Welcome to the latest edition of The Lander Report.

In this detailed analysis by Dr Jerome Lander, you’ll hear the full story with compelling clarity, logic and insight.  

Dr Jerome Lander’s key insights:

• A volatile start to 2023.
• The risk of recession remains very real later in 2023, with company earnings under pressure, and interest rates set to move higher around the world.
• The rising cost of debt and capital is rising, which will likely be a problem for real economic growth.
• It is very rare for markets to bottom ahead of a recession. Therefore, if a recession occurs and unemployment rises, we will likely see a further devaluation of traditional financial assets.
• We believe that geopolitical risk is being underestimated, and it is, therefore, prudent to be cautious with portfolio positioning.
• Property markets remain under pressure due to rising interest rates, higher repayments and reduced borrowing capacity. It is offset to some degree by increasing immigration and supply shortages.
• Bonds have remained volatile in line with changing interest rate expectations, and prospects remain uncertain.
• It remains vital to remain well-diversified and ready to adapt to emerging opportunities.
• Dynamic Asset portfolios remain much less volatile and risky than the traditional 60/40 SAA portfolio. Our dynamic asset allocation approach has led us to be conservatively positioned given the market outlook, with lower weightings to equities and higher weightings to commodities, precious metals and alternatives.
• Dynamic Asset is well positioned to protect portfolios against market downturns and capitalise on future lower equity and other asset prices.
• Opportunities exist to increase holdings of risk assets later in 2023 as equities typically sell off in a recession.

About Dr Jerome Lander and Dynamic Asset

Dr Jerome Lander is responsible for asset allocation, fund manager selection and portfolio construction of Dynamic Asset's Goals Based Portfolios. 

Dr Lander is well-known in the institutional investment community. His 20 years of experience in asset management and investment strategy demonstrate his strong capabilities in multi-asset class investment management.

He was the Chief Investment Officer of the WorkCover insurance fund where he was responsible for managing a $12 billion institutional investment fund, reporting to the Investment Board. In that time, the investment fund ranked as the best institutional investment fund of its kind in Australia and the best performing of all Mercer’s (nearly 100) institutional clients.

Jerome has also been a Director of Investment Consulting for Russell Investments, a Diversified Assets Portfolio Manager at Credit Suisse and Head of Manager Research for Van Eyk. Jerome has also served as a Board member for the Investment Management Consultants Association (IMCA).

Disclaimer 

This material has been prepared by Dynamic Asset Consulting Pty Limited (ABN 82 079 145 298, AFSL 502623) of Level 20, 56 Pitt Street Sydney NSW 2000. Any content provided in this Report is for general information purposes only. It is not personal advice and does not take into account the investment objectives, financial situation or needs of any person. Please seek specific advice before making a decision in relation to any investment. Before making any decision about any product you should obtain a Product Disclosure Statement (PDS) or Investment Mandate (IM) document for further information. A copy of our PDS or IM is available from your adviser or by contacting us through our website at www.dynamicasset.com.au 

The information is provided in good faith and we do not make any representation or warranty as to its accuracy, reliability or completeness. Any information contained in this presentation is subject to change without prior notice by Dynamic Asset Consulting and Dynamic Asset Consulting is not obliged to update any information. References made to any third party or their data is based on information that Dynamic Asset Consulting believes to be true and accurate as at the date of this Report but without independent verification. All information provided in this Report is correct as at the date of this Report. To the extent permissible by law, we do not accept any responsibility for any error, omission, indirect or consequential loss or damages (whether arising in contract, tort, negligence or otherwise, in any case whether foreseeable or not). Any person receiving this document should rely and act on that basis and entirely at his / her own risk. 

Past performance is not a reliable indicator of future performance. The value of an investment may rise or fall with the changes in the market. Returns are not guaranteed and actual returns may vary from any target returns described in this communication. Unless stated otherwise Dynamic Asset Consulting returns are net of all asset manager, program adviser and administration fees. The measure of inflation is the Consumer Price Index, calculated by the Australian Bureau of Statistics. Where the official number was not available at the time of publication a proxy CPI value has been calculated. 

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