Governments will have to spend up to 30 per cent of GDP on stimulus packages to prevent the crisis from causing lasting economic damage,says Magellan CEO Hamish Douglass.
When investors are ready to step back in to the market,the bulk of the funds will likely go into the large,liquid,high-quality companies.
Magellan Financial Group's Hamish Douglass is not worried about recession,but says companies must find new markets in the low-growth era. His included.
The Australian sharemarket recovered on Wednesday to close 0.5 per cent higher,apart from a spectacular 26 per cent decline in Treasury Wine Estates share price.
The local bourse paused for breath on Tuesday after tapping fresh record highs for five sessions straight,edging lower as Woolworths closed above $40 for the first time.
The infrastructure boom is an economic fizzer despite government hopes it will boost growth,according to a fund manager in charge of $7 billion.
Australia's market closed higher after a light trading day,with much attention focused on US-China trade talks later this week.
Analysts and investors at odds over plan to grow funds under management exponentially via direct investors
The high-flying fund manager has unveiled plans to launch a new listed vehicle and a retirement income product.
Soaring performance fees and a steady inflow of new retail investors has boosted Magellan Financial Group's half-year profit.
Wealth manager Magellan Financial Group posted strong first-half results as its average funds under management surged 35 per cent to more than $72.1 billion.