How will quality perform in 2022? | Money Management
The risk of elevated inflation and higher interest rates is likely to drive investors’ focus back to considering company fundamentals, writes Joel Connell.
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The risk of elevated inflation and higher interest rates is likely to drive investors’ focus back to considering company fundamentals, writes Joel Connell.
While we haven’t been surprised to see this take place, we strongly believe that over the long-term share prices will be driven by underlying company fundamentals. As concerns over rising inflation and higher interest rates continue to build, we feel this could be a catalyst for market participants to return their focus to some of the key fundamentals which have arguably been ignored during the early stages of the cyclical recovery. Below we take a closer look at some of the factors driving inflation and highlight some of the important company attributes that investors should be focused on ...