Morgans Financial Limited

Your Wealth publication is our half yearly scrutiny into current affairs for wealth management. Issue 27 is out now

This latest publication will cover understanding the benefits of a CarePlus annuity for aged care, the proposed Div296 tax, averting a world recession, super and tax next financial year and expectations on how illiquid assets in SMSFs are valued.

To learn more about Wealth Management insights, download our second half edition of ‘Your Wealth’ 2024 by hitting the link below 👇

Your Wealth – Second Half 2024 | Insights | Morgans Your Wealth is a half-yearly publication produced by Morgans, that delves into key insights for Wealth Management. This latest publication will cover understanding the benefits of a CarePlus annuity for aged care, the proposed Div296 tax, averting a world recession, super and tax next financial year...

Our Morgans team have been busy participating in community events across the country.

Morgans is proud to announce that we have raised over $50,000 at the recent MS Brissie to the Bay fundraising event. The event involved the Morgans team pedalling distances from 10km to 130km, all in support of MS Queensland, an organisation dedicated to providing services and assistance to individuals affected by Multiple Sclerosis and other progressive neurological diseases.

Thank you to our incredible Morgans team, namely Sarah O’kane, Vanessa Castle, Matt Ryan and Carla Vecchio. The Morgans Foundation also proudly contributed to the event, with the combined fundraising efforts achieving first place as the top corporate fundraiser and second place overall for all teams.

If you would like to support the fight for MS, please follow the link here - https://bit.ly/3VKlxA0

A Morgans team also recently participated in the inaugural JLL Annual Mixed Touch Rugby League and emerged as the overall champions of the tournament!

Congratulations to Beth Power, Lachlan Walsh, Lilly Ryan, James H***e, Charley Sheahan, Callum Lanskey, Emily Porter, Jack Stickley, Talyah Reardon, Hamish McEachran and Liam Featherstone for your outstanding rugby efforts!

As global markets continue to evolve, certain companies are uniquely positioned to capitalise on the substantial capital expenditure (capex) cycles driven by megatrends and shifting market dynamics. These companies, through strategic investments and a focus on future-oriented projects, stand to benefit significantly from large-scale capex initiatives.

In the Month Ahead this month, we highlight three such companies: ALS Limited (ALQ), Worley Limited (WOR) and Woodside Energy Group (WDS). Each of these firms is leveraging its core strengths and market positioning to navigate and benefit from the upcoming waves of investment in their respective sectors.

To read the in-depth coverage of the June edition of The Month Ahead, follow the link here: https://bit.ly/3KCIm21

As a long-term supporter of the arts, Morgans is proud to be a Supporting Partner of the Sydney Film Festival this year. The festival will run for 12 days, from 5-16 June.

A total of 197 films and documentaries will be screened across 13 venues, offering a feast of cinema from Australia and countries around the world. Short films will also be screened over lunchtime on SFF TV, located in Martin Place.

Discover more and secure your ticket by visiting https://www.sff.org.au/

We are delighted to announce Morgans won the Best Retail Investor Access Award 2024 at the Australasian Investor Relations Association (AIRA)
awards, marking our second consecutive year receiving this accolade. This achievement builds on our previous recognition as the Best Australasian Retail Broker, as acknowledged on six prior occasions.

These awards highlight the significant contributions and importance of our broking community, especially our corporate access and sales teams, in advancing investor relations among Australasian listed entities.

We are proud to be recognised and would like to thank Alexander Mees, Morgans Head of Research, for accepting the award.

Our Morgans team has been busy participating in community events across the nation.

A team from Morgans Brisbane recently volunteered at Foodbank Queensland. Foodbank is Australia’s largest food relief organisation, providing food and groceries to charities and school breakfast programs in every state and territory. The Morgans team contributed to ending Australia’s hunger crisis by packing and delivering much-needed food hampers to feed everyday Australians who are going without.

Matthew McNamara, Partner at Morgans Canberra, also participated in the Walk to Fight Parkinson’s recently. Supported by Morgans, Walk to Fight Parkinson’s aims to maximise choice, independence, mental health and wellbeing for people impacted by Parkinson’s and other neurological disorders, one step at a time.

Several people from Morgans also attended the RUN DIPG Moonlight Gala in Brisbane, supporting the fight against childhood brain cancer. Committed to enhancing outcomes for individuals and communities affected by the most lethal childhood cancer, Run DIPG is dedicated to raising awareness, empowering advocates and fundraising to support DMG/DIPG research.

Lastly, yesterday was World MS Day, where all contributions were matched dollar-for-dollar by the Morgans Foundation. Currently, there are more than 5,500 Queenslanders living with MS and another is diagnosed every day. This inspired a team from Morgans Brisbane to fundraise through selling donuts, ensuring their contribution helps those living with MS continue to live the best life possible despite their diagnosis.

Congratulations to the Morgans team for your heartfelt initiatives in the community across the network.

We are thrilled to share some fantastic news from the inaugural Women in Wealth Awards held last night in Sydney.

The Women in Wealth Awards aim to recognise and reward women who have shown exceptional commitment to the financial services industry through leadership, innovation, and advocacy in their fields of passion. These awards honour women who embody the generational change and professionalism that our industry strives to reflect.

Morgans had an impressive presence with 11 finalists from across the network and we are delighted to announce the following:

Jettie Fan: Winner of the Investment Adviser of the Year award.
Di Colledge: Highly Commended in the Investment Adviser of the Year category.
Louise Wegner-Parker: Winner of the Pro Bono of the Year award.

As a result of their achievements, Jettie and Louise were also finalists in the Woman of the Year award. We extend our heartfelt congratulations to Jettie, Louise, Di, and all our finalists.

We are incredibly proud of you all, your dedication, hard work, and passion are truly inspiring, and you have set a remarkable example for us all.

View the full details here - https://bit.ly/4bZleqd

Our Morgans team have been busy participating in events across the country.

On Wednesday evening, Morgans Brisbane hosted the 2024 UQ Business School Student Managed Investment Fund (SMIF) Competition. Judged by a panel that included our Morgans Head of Research, Alexander Mees, the competition featured select teams of student portfolio managers who pitched how they would oversee the SMIF over the next 12 months. The SMIF program offers UQ students a valuable learning experience, with many former student portfolio managers now working in the finance industry.

Earlier this week, the Stockbrokers and Investment Advisers Association conference was held in Melbourne. Hamish Dee, Chair of SIAA, presented Morgans Executive Chairman, Brian Sheahan, with a Certificate of Honorary Life Membership and Fellow. Congratulations Brian for this well-deserved accolade, recognising your longstanding contribution to the stockbroking industry.

Our Morgans Best Ideas are those that we think offer the highest risk-adjusted returns over a 12-month timeframe supported by a higher-than-average level of confidence. They are our most preferred sector exposures.

This month, we feature four high quality stocks being Maas Group (MGH), Qualitas (QAL), Cedar Woods Properties (CWP) and Coles Group (COL).

Read the full coverage via the link – https://bit.ly/3K1Wams

Last night the Treasurer, the Hon. Dr. Jim Chalmers MP, handed down the Federal Budget for 2024.

Our experienced analysts, Andrew Tang, Terri Bradford and Michael Knox have considered the implications from multiple perspectives and have provided insights on what this will mean for you.

Read the full coverage here - https://morgans.com.au/insights

The major domestic banks are a core holding in the portfolios of many Australian investors. All four of them have outperformed the broader market since the start of 2024.

Our banks analyst Nathan Lead, recently had a close look at the valuations of the banks to see if their recent share price strength could be justified by fundamentals. His conclusion was that it could not, particularly given an outlook for flat if not declining earnings (at least in the short term) driven by weaker net interest margins and higher costs.

For the May edition of the Month Ahead, we think now is a good time to consider trimming some positions in the banks. Nathan does not have an ADD rating on any of the major banks, rating all of them HOLD except for Commonwealth Bank (REDUCE).

Read the full coverage via the link - https://bit.ly/3yrq3tH

Earlier this week, we held our annual Morgans Branch Managers Conference at the Sofitel, Brisbane. Travelling from across Australia, this event unites Branch Managers from across the network to delve into industry trends, exchange best practices and discuss strategies on driving growth and success within their branch.

Themed "Build on Success," the conference was a resounding success and featured a wealth of sessions and insights into industry trends. Attendees left equipped with the tools and knowledge needed to initiate and drive impactful changes benefiting both clients and advisers in their Branch.

We extend our gratitude to all our partners who contributed to the success of this event, with special thanks to our Platinum partner, DDH Graham Limited. Additionally, we appreciate the support of our Gold partners; Acclaim Wealth, ASX, Betashares, Cboe Global Markets, FNZ Group, Global X ETFs, HUB24 Limited, L1 Capital, Salesforce, VanEck; Silver partners; Centuria Capital Group, Citi, J.P. Morgan; and Bronze partners; iShares, Capital Group, Dimensional, GSFM, Magellan and Perpetual Limited.

Please mark Friday 26 July in your calendar to celebrate and support regional and rural Australia on Big Dry Friday.

Events are planned across the country so please get in touch if you'd like to get involved.

Alternatively, you simply forego (or match) what you might spend on a nice lunch or drinks and donate it to the cause. All funds raised will be donated to four major beneficiaries Rural Aid, Australian Schools Plus, Royal Flying Doctor Service of Australia and Outback Futures Ltd, among some others in a smaller capacity.

The Morgans Foundation will be matching donations (capped at $350,000) so you can double your impact. Any donations made prior to 30 June will be included in this year's tally.

Find out more at bigdryfriday.com.au

Thank you to everyone who has been involved over the past 5 years, helping us raise more than $6.2 million since 2018. Last year we raised $1.5 million on Big Dry Friday, which is being used to help thousands of Australians through education initiatives, wellbeing support and financial assistance to those affected by natural disasters.

In recent months, debate has shifted away from ‘recession risks’ towards expectations for a ‘soft landing’ or even the possibility of a ‘no landing’ scenario for the US economy. Inflation has remained on a mild downward trend, there is better visibility on the US rate cutting cycle and China’s increased stimulus is reducing downside risks both domestically and globally.

In our latest publication of Investment Watch - Autumn edition, we discuss key topics such as asset allocation – migrating toward a risk-on strategy; economic strategy – the view from the FED; equity strategy – preferencing cyclicals and small-caps and our updated Morgans ‘best ideas.’

To read the full coverage of our latest Investment Watch, please follow the link - https://bit.ly/3xwh5ej

We are pleased to announce two new recipients of the Morgans Financial Regional and Rural Teaching Bursaries, facilitated through QUT (Queensland University of Technology).

Matilda Barbour (left) will be attending Dennison State School in Emerald and Kylie Vecchio will be attending Cairns State High.

It's the second year in a row that a portion of funds raised from Big Dry Friday were dedicated to five bursaries for final year QUT students (fourth year Bachelor of Education and second year Master of Teaching) to support professional experience teaching placements and improve educational outcomes in regional settings (early childhood setting, primary school, or secondary school).

Teacher workforce shortages in Australia are a well-documented challenging issue with immediate and pressing concern particularly in regional, rural and remote (RRR) areas. A significant barrier to participation in these programs is the cost associated with travelling to and living in a rural or remote location for the period of the professional placement experience.

We are therefore pleased to make a contribution to assist in this area, and this has been made possible thanks to the generous Big Dry Friday donors.

Congratulations Matilda and Kylie. We wish you well on your placement in May.

They follow in the footsteps of last year's bursary recipients - two of which have been successful in securing permanent jobs at regional Queensland schools - Tully State High School and Biloela State School.

Our Morgans team have been busy participating in community events across the nation.

For nearly a decade, we have been privileged to be the major sponsor of Wipeout Dementia. With the event kicking off tomorrow, we would like to acknowledge Morgans Head of Sydney Corporate, Mark Gross whose long-standing efforts has made this partnership a reality.

Mark’s energy to help turn the tide on a significant health and social issue is boundless. Mark's fundraising efforts this year will see him tip over $100,000 raised since his initial participation, supporting research that strives for a brighter future in aging and dementia prevention.

If you would like to show your support, please follow the link here - https://wipeout-dementia-2024.raisely.com/mark-gross

The Morgans Foundation recently donated $30,000 to the Melanoma Institute Australia at the recent Melanoma March in Brisbane. Dedicated to cancer prevention, the Melanoma March event raised vital funds for melanoma research, whilst also providing an opportunity for patients and families to come together to support each other and remember those lost to the disease.

In regional Australia, Morgan Brisbane, Toowoomba - Chalk Capital and Newstead were thrilled to have sponsored the recent Roma Picnic Races. At Morgans, we are proud of our broad regional network and our ongoing support for rural Australia. We are passionate about financial wellbeing, especially in areas where it can be harder to access quality financial and investment advice.

In the second half of last year, we witnessed three of the driest months on record during August, September and October, which were followed by three cyclones (Jasper, Lachlan & Kirrily ) just a couple of months later.

The generosity of BDF donors in 2023 enabled Rural Aid to provide a much-needed hand up for hundreds of farming families affected by these weather events. For the majority, it was through a pre-paid visa card to be used how best met their individual needs - which was almost always used in their local community:

“We lost 95% of our grazing land to bush fire caused by lightning strikes. Help from Rural Aid at that difficult time, just let us know that someone cared and we were not totally alone.”
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For others, they received water tanks, replacing many that were washed away in the floods:

"Until you turn a tap on and nothing comes out you cannot experience the true impact of not having water has on a person or family. Our tank has given me and my family such a relief to know we now have more water, even if we have to ration its use for drinking water if things get dry again."

Hundreds of Rural Aid supporters gathered in Brisbane last week for the charity's annual Long Lunch to continue this support.

Morgans is proud to partner with Rural Aid through our Big Dry Friday fundraiser each year and invite you to celebrate rural and regional Australia with us on Friday 26 July, 2024.

The aim is to connect city and country, and create long-term benefits by supporting charities focused on rural and regional education, healthcare and disaster relief. Get in touch to find out how your team can be involved via the link - https://www.bigdryfriday.com.au/

Morgans stands with Rural Aid in its efforts to support Aussie farmers, our mates in the bush. We support Rural Aid all year round.

Today, on Wednesday, March 20 we stand with Rural Aid on Mates Day, a special day when everyone has the chance to recognise the vital role farmers play in supporting us all.

Please follow the link to show your support - https://matesday.ruralaid.org.au/

MAKE YOUR SUPPORT COUNT TODAY! 🙌🏼

For 12 hours, from 8am-8pm AEST, we’re asking all Australians to get behind Mates Day and support Aussie farmers who battle fires, floods, and droughts to keep the best produce on our tables! 👩🏽‍🌾 🌾

EVERY PLATE TELLS A STORY.

Your support funds Rural Aid's vital financial, resource, volunteer, and counselling assistance programs that make a huge difference to farming families facing devastation. 🙏🏼

STAND WITH OUR MATES IN THE BUSH—DONATE TODAY 👉🏼 matesday.ruralaid.org.au/

Our Morgans team have been busy participating in community events across the nation.

Morgans is proud to be a major partner of Rosies inaugural fundraising Long Lunch. Since 1987, Rosies – Friends on the Street has been a beacon of community, connection, and friendship, extending vital support through street outreach to individuals grappling with homelessness, adversity, and social isolation. Notably, in the first half of 2023 alone, Rosies experienced a 30% increase in outreach demand, underscoring the escalating need for additional funds to support their initiatives. If you would like to donate to Rosies, please follow the link here - https://lnkd.in/gM4fCJnp

Last Thursday, the Morgans Sydney Team had the pleasure of attending a charity golf day at The Lakes golf course in Sydney. The event proved to be a great success, raising an impressive $56,000 in support of environmental initiatives. Additionally, the team was proud to have emerged as the champions of the competition, proudly representing Morgans with a winning score of 61.

In collaboration with Morgans Newstead, we are also a proud gold partner of the Wilston Grange Gorillas AFL club, reflecting our commitment to supporting community sports here at Morgans.

Scott Fraser and Cameron Williams, members of our West Perth team, also attended the Wagin Woolorama last weekend. It was a great opportunity to engage with our rural connections.

Morgans' Head of Research, Alexander Mees, has shared fresh insights on the Consumer Discretionary sector following the February reporting season.

During the reporting period, investor sentiment towards consumer discretionary stocks improved. The earnings performance of the companies we cover in the first half of 2024 surpassed expectations, prompting us to revise our full-year EPS estimates upward by 2%.

Sales growth picked up pace throughout the first half and into the early weeks of the second half, supported by a rebound in consumer sentiment and easier year-over-year comparisons. While improved consumer confidence benefits all discretionary retailers, we favour businesses with strong growth prospects and solid fundamentals.

Follow now for the latest insights from our award-winning research team.

This International Women’s Day, Morgans had the opportunity to participate in several events across the nation.

Morgans proudly sponsored the latest Ladies Finance Club event, featuring our very own Financial Adviser, Brooke Gardener. The evening was filled with discussions on topics like superannuation, financial security, family, and purposeful wealth creation. In Adelaide, Morgans Financial Adviser, Tania Smyth presented at the Stockbrokers and Investment Advisers Association event. Joined by three other industry leaders, this event aimed to champion gender equality through economic empowerment.

We were also thrilled to have Karen Jorritsma, Managing Director and Head of Equities at RBC Capital Markets, join us as a guest speaker for our network today. Moderated by Lisa Shand, Karen shared invaluable insights from her career journey, from overcoming challenges as the only junior woman, to advocating for the promotion of women into executive positions. She emphasised the importance of representation, highlighting that "you can't be, what you can't see."

Finally, Morgans staff had the opportunity to volunteer with Habitat for Humanity Australia on their Brush With Kindness Corporate Volunteering program. We share Habitat's vision of a world where everyone has a safe and decent place to live. Today, we painted and refurbished crisis accommodation and transitional shelters for women and children escaping domestic violence and homelessness.

Morgans is delighted to support a team of 4 riders from our Brisbane, Sydney, and Melbourne offices in the Live Life Foundation AU's 'Noosa 2 Byron' event.

Cycling 500km over 5 days, this fundraising initiative aims to generate much needed funds for children who depend on the Royal Children’s Hospital, for its state-of-the-art neurological and stroke programs.

Yesterday morning, Jayden Dinmore, Stephen Stroud, Ace Vaivarins and Andrew McAfee kicked off their ride, fuelled by their determination to raise $32,000 through their collective cycling efforts

If you would like to show your support, please donate here - https://bit.ly/3uZ5fIY

Morgans is proud to be a member of the Australian British Chamber of Commerce, and honoured to have sponsored the recent International Women’s Day Breakfast in Brisbane.

Moderated by Ticky Fullerton, Chief Executive Officer of the Australian British Chamber of Commerce, the event featured an incredible panel of speakers, including Breeanna Brock, Head of Women’s Football, Brisbane Lions; Lisa Burquest, Chief People Officer at Virgin Australia; and Claudia Warwar, Director of Governance, Risk, and Compliance at CyberCX. Following the event, our very own Head of Wealth Management, Terri Bradford, delivered her Vote of Thanks to the speakers and the important insights shared by these trailblazing women.

Thank you to the Australian British Chamber of Commerce for the opportunity to partner with this impactful event.

Our best ideas are those that we think offer the highest risk-adjusted returns over a 12-month timeframe supported by a higher-than-average level of confidence. They are our most preferred sector exposures.

For the month of February, we add Camplify (CHL) and Woodside (WDS). In the second last slide, we also highlight stocks previously showcased in our Best Ideas, and their respective gains since their inclusion.

Follow the link to read the full coverage - https://bit.ly/42xlSI7

The RBA has left interest rates unchanged at 4.35%. The decision to hold rates was widely expected, with all 31 economists surveyed by Bloomberg pencilling in no change.

Slower than expected inflation and a weaker set of economic releases in January provided some comfort for the RBA, suggesting that higher interest rates are working as intended. With key economic indicators moving as expected, the RBAs decision this month was considered an ‘easy one.’

However, the RBA’s comments haven’t ruled out further increases, noting, “The path of interest rates that will best ensure that inflation returns to target in a reasonable timeframe will depend upon the data and the evolving assessment of risks, and a further increase in interest rates cannot be ruled out.”

For the February edition of the Month Ahead, we highlight our recently released Reporting Season Playbook, where we showcase a compendium of forecasts, company previews, and investment views to help you navigate the weeks ahead.

We have brought to life a series of videos in which our analysts identify the stocks that they think may surprise investors in February, both positively and negatively, including key themes likely to emerge over the course of the month.

Swipe across to view one of the numerous stocks showcased in the video series providing previews for each sector within our coverage.

Follow the link to view the full coverage now - https://bit.ly/47YvWec