Micro Themes – Current Taylor Young Themes
February 2010
|
Macro-Micro Trends |
Narrative | |
|
Economic Stimulus |
Healing process: bank recovery, threat of increased global inflation. | |
|
Asian Hegemony |
Health, robust growth and continued consumption of super saving Asian nations. | |
|
Reckless Prudence |
Deposits vs safe 5%? Safety of Index-linked vs pricing reward of bonds vs long-term return on equities. | |
|
Outcome of UK General Election |
Pre and post election tactics and strategy. Multinationals; attractive risk trade. | |
|
Resource Efficiency |
Legislative shift towards lower carbon economies and sustainable energy generation. | |
|
Driver/Enabler |
Theme |
Potential Investments |
| Multinationals | Developed Market Recovery & Emerging Market Top Line Growth |
BP, Coca Cola ($), Deere & Co ($),GlaxoSmithKline, McDonalds ($),Pepsico ($),Reckitt Benckiser, Royal Dutch Shell, Schlumberger ($),Unilever |
|
Global Trends |
Ageing Population Improving Savings Ratios Obesity/Dialysis & Health Monitoring M&A Infrastructure |
Alliance Pharma*, AstraZeneca, GlaxoSmithKline, Novartis (CHF), Pfizer ($), Smith & Nephew Aviva, Lincoln National ($), Prudential, Wells Fargo ($) DaVita ($), Fresenius (€) Forth Ports, SIG 3i Infrastructure, WSP |
|
Technology |
Productivity Enhancement & Capex
|
Apple ($), Avanti Communications*, Cisco Systems ($),CSR, Google ($), Micro Focus, Polar Capital Technology* |
| Dividend Growth |
Predictability & Sustainability of Dividend Growth |
Admiral, Altria ($), AstraZeneca, Aviva, BAT, GlaxoSmithKline, National Grid, Pennon, Scottish & Southern, Vodafone |
|
Limited Resources |
Oil & Oil Services Mining Water Food |
BP, ENI (€), Royal Dutch Shell, Schlumberger ($) BHP Billiton, Blackrock World Mining, Rio Tinto Hyder Consulting, Pennon Genus, Monsanto ($), Syngenta (CHF), Yara (NOK) |
|
Outsourcing & Specialisation |
Environmental, Engineering Consultancies Industrial Specialisation Distribution, Data Management & Logistics UK Government Intelligence & Security Defence |
Hydrodec*, James Fisher, Johnson Matthey, RPS, WSP Emerson Electric ($), Praxair ($) Capita, Intertek, Serco, SGS (CHF) Cogent ($), G4S, RCG* BAE Systems, Ultra Electronics |
|
MENA & BRIC Demand |
Industrial Development & Consultancies Economic Growth & Trade |
Charter, Cookson, 3i Infrastructure, Weir, WSP Findlay Park Latin American, First State Asia Pacific Leaders, Intertek, Prudential, SSL International, Tesco |
|
Global Convergence |
Eastern European Convergence Strategies & Capital Markets Development Financial Consolidation & Re-engineering: Geographical Diversification & Restructuring Emerging ‘American’ Markets |
Advance Developing Markets, Advance Frontier Markets, ITE Deutsche Bank (€), HSBC, Standard Chartered, Unilever,
Wells Fargo ($) Blackrock Latin American, Findlay Park American Smaller Companies, Findlay Park Latin American ($) |
The mention of specific shares should not been see as a recommendation to deal.
*These companies are not widely held and may be considered to be higher risk in nature, normally held in opportunistic portfolios.
February 2010