|
10k Words Equitable Investors November 2025 (2-minute read) Apparently, Confucius did not say "One Picture is Worth Ten Thousand Words" after all. It was an advertisement in a 1920s trade journal for the use of images in ads on the sides of streetcars... We check in on the yield curves in the US and Aus, which have levelled-out or fallen of-late, having steepened through much of CY2025. The IMF's take on economic growth is that the US and Australia will both be growing below the overall global rate this year and next. Australia's latest inflation read was cause for pause. US consumer inflation expectations remain firm. There's not much private sector job growth going on in Australia, while in the US announced job cuts have been peaking. Yet analysts' consensus earnings growth expectations remain in double-digit territory in the US. The "Magnificent 7" has continued to satisfy investors even as the average stock battles on. Private clients have record exposure to equities. Digging deeper, Pure Asset Management highlights takeover premiums for ASX industrials; Carta puts some data around "SAFE" round startup valuations; and Bolton Clarke charts the relative under-investment in Australian aged care infrastucture.
US 10 year - two year government bond yield curve
Source: Koyfin Australia 10 year - two year government bond yield curve
Source: Koyfin IMF economic growth projections (October 2025)
Source: IMF Where Australia sits in the IMF economic growth projections (October 2025)
Source: IMF Australian trimmed mean inflation came in at 3.0% in the September quarter
Source: ABS US consumers' inflation expectations
Source: New York Fed Survey of Consumer Expectations Australian private market sector jobs flat while government-linked surge since COVID-19
Source: Ai Group Announced job cuts in the US Source: Challenger, Gray & Christmas, Koyfin Australia MSCI consensus annual earnings growth forecasts (weekly) Source: Yardeni Research US MSCI consensus annual earnings growth forecasts (weekly)
Source: Yardeni Research Bank of America private client equity holdings as % of AUM
Source: Bank of America Extreme divergence between the "Magnificent Seven" and the average S&P 500 component
Source: Koyfin Small cap takeover premiums 2023 - 2025 (ASX industrials)
Source: Pure Asset Management Distribution of "SAFE" round valuation caps in the US
Source: Carta Aged Care v. Health as a proportion of total building work done in Australia
Source: Bolton Clarke, based on ABS data Funds operated by this manager: Equitable Investors Dragonfly Fund Disclaimer Past performance is not a reliable indicator of future performance. Fund returns are quoted net of all fees, expenses and accrued performance fees. Delivery of this report to a recipient should not be relied on as a representation that there has been no change since the preparation date in the affairs or financial condition of the Fund or the Trustee; or that the information contained in this report remains accurate or complete at any time after the preparation date. Equitable Investors Pty Ltd (EI) does not guarantee or make any representation or warranty as to the accuracy or completeness of the information in this report. To the extent permitted by law, EI disclaims all liability that may otherwise arise due to any information in this report being inaccurate or information being omitted. This report does not take into account the particular investment objectives, financial situation and needs of potential investors. Before making a decision to invest in the Fund the recipient should obtain professional advice. This report does not purport to contain all the information that the recipient may require to evaluate a possible investment in the Fund. The recipient should conduct their own independent analysis of the Fund and refer to the current Information Memorandum, which is available from EI. |
