InvestSMART

World Beater

Industrials — not miners — underpin the ASX outperformance over the past five years, says a report from Boston Consulting Group.
By · 10 Apr 2006
By ·
10 Apr 2006
comments Comments
Upsell Banner
PORTFOLIO POINT: The ASX’s annual 13% return for the past five years put Australia ahead of the field, with the industrials and materials sector the driving force.

The annual Australian supplement of the Boston Consulting Group Global Value Creators report confirms Australia was the best place in the (Western) world to have your money over the past five years.

In fact, the only market that could have improved upon the total annual shareholder returns of 13% over the past five years was India. In contrast, the US offered a paltry 0.5% and the UK 1.2%.

However, despite the intensity of the resources boom on the ASX, the report clearly shows the top performing sector on the ASX (total shareholder returns of 28%) was the industrials and materials sector. Telcos and utilities (26%) came second and resources came third (24%).

Among the standout individual stocks in the survey were Oxiana (mining), Macquarie Goodman (property), Metcash (retail), Caltex (petrol) and UNiTAB (gambling).

The report also shows that managed funds are now confirmed as the single biggest conduit to the equity market for Australian investors. The report predicts that Australia's trillion-dollar pool of managed funds is expected to exceed the market capitalisation of publicly listed Australian equities sometime this year.

Click below to read the 32-page BCG report.

Share this article and show your support
Free Membership
Free Membership
Boston Consulting Group
Boston Consulting Group
Keep on reading more articles from Boston Consulting Group. See more articles
Join the conversation
Join the conversation...
There are comments posted so far. Join the conversation, please login or Sign up.