BetaShares FTSE 100 ETF · ASX:F100
BetaShares FTSE 100 ETF — Betashares — Navigating Trump 2.0, geopolitical risk and the new global order webinar (November 2024)
39 slides from BetaShares FTSE 100 ETF's conference presentation, Nov 21, 2024
Slide 1: Navigating Trump 2.0, geopolitical risk and the new global order
Webinar starts at 11.00am AEDT Navigating Trump 2.0, geopolitical risk and the new global order Cameron Mitchell, Head of Geopolitical Risk, ANZ Cameron Gleeson, Senior Investment Strategist, Betashares 21st November 2024
Slide 2: On today’s webinar
On today’s webinar Cameron Mitchell Cameron Gleeson Head of Geopolitical Risk, Senior Investment Strategist, ANZ Betashares
Slide 3: Important information
Important information This presentation has been prepared by Betashares Capital Limited ABN 78 139 566 868, AFSL 341181 (Betashares). The information is general in nature only and does not take into account any person’s financial objectives, situation or needs. Investors should consider its appropri
Slide 4: Before we start…
Before we start… A recording of the session will be sent to Ask a question during all attendees at the end of the webinar the session 4 Confidential – not to be used or distributed without the consent of Betashares
Slide 5: About Betashares
About Betashares Our mission Betashares provides investment solutions to help Australian investors build their wealth. $43B+ 1 million+ 100+ funds In assets under Investors in Widest range management our funds of exchange traded products on the ASX 5 As at November 2024
Slide 6: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 7: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 8: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 9: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 10: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 11: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 12: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 13: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 14: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 15: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 16: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 17: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 18: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 19: Confidential – not to be used or distributed without the consent of Betashares
Confidential – not to be used or distributed without the consent of Betashares
Slide 20: Market implications: Tariffs
20 Market implications: Tariffs Confidential – may not be distributed without the consent of Betashares Capital
Slide 21: Not all US equity index valuations look stretched
Not all US equity index valuations look stretched S&P 500 Equal Weight vs Market Cap Price to Earnings Ratio (Oct 2014 – Oct 2024) 40 35 30 S&P 500 Market Cap 25 20 15 S&P 500 Equal Weight 10 Oct-2014 Oct-2015 Oct-2016 Oct-2017 Oct-2018 Oct-2019 Oct-2020 Oct-2021 Oct-2022 Oct-2023 Oct-2024 Source: B
Slide 22: S&P 500 Equal Weight: US focused, reasonable valuations, good earnings growth outlook
S&P 500 Equal Weight: US focused, reasonable valuations, good earnings growth outlook S&P 500 Index (Market Cap) S&P 500 Equal Weight Index Sector Allocation (%) Sector Allocation (%) As at 30 September 2024 As at 30 September 2024 Information Technology 31.7 Financials 12.9 Index Fundamentals Index
Slide 23: Rotation from mega-caps as macro replaces AI narrative
Rotation from mega-caps as macro replaces AI narrative Comparison of US equity market indices total returns (1 July 24 – 19 Nov 24) rebased to 100 as at 1 July 2024 120 115 US June CPI print 110 105 100 95 90 85 01-Jul 15-Jul 29-Jul 12-Aug 26-Aug 09-Sep 23-Sep 07-Oct 21-Oct 04-Nov 18-Nov S&P 500 Equ
Slide 24: China’s total exports didn’t stop growing after Trump’s 2018 tariffs
China’s total exports didn’t stop growing after Trump’s 2018 tariffs Total Chinese Exports US imports and deficits Goods and services imports in 2023 by top five import partners Trump Tariffs announced Sources: Trading Economics, General Administration of Customs, Oct 2024. International Trade Admin
Slide 25: India may be a net beneficiary from increased tariffs and protectionism
India may be a net beneficiary from increased tariffs and protectionism Source: UNCTAD, Haver Analytics, Goldman Sachs Research, June 2024. All values in U.S. dollars. Confidential – not to be used or distributed without the consent of Betashares
Slide 26: UK may also be less exposed, given what it exports to US
UK may also be less exposed, given what it exports to US FTSE 100 versus S&P/ASX 200: Free cash flow yield (25 Jul 14 – 23 Jul 24) UK US trade relations: US and UK both report trade surpluses against each other Of total GBP188B UK exports to US, 69% were services, including business services, ma
Slide 27: Market implications: Commodities
27 Market implications: Commodities Confidential – may not be distributed without the consent of Betashares Capital
Slide 28: Gold: EM nation demand driven by weaponisation of USD
Gold: EM nation demand driven by weaponisation of USD Central bank demand remains healthy, but likely impacted by higher prices in Q3 (Q4 2014 – Q4 2023) 1400 1200 1000 800 600 400 200 0 Q4 14 Q4 15 Q4 16 Q4 17 Q4 18 Q4 19 Q4 20 Q4 21 Q4 22 Q4 23 Source: Betashares, World Gold Council. As at 31 Octo
Slide 29: Oil market remains well supplied, with Trump promising more
Oil market remains well supplied, with Trump promising more 29 Confidential – not to be used or distributed without the consent of Betashares
Slide 30: Uranium: Offers greater energy independence, plus reliable baseload, no direct GHG emissions
Uranium: Offers greater energy independence, plus reliable baseload, no direct GHG emissions A comparison of fuel requirements and GHG emissions from generation 1000MW Coal Power Plant 1000MW Nuclear Power Plant Approx 16,000 tonnes No greenhouse of CO2 released into gas emissions atmosphere everyda
Slide 31: Market implications: Defence and IT security
31 Market implications: Defence and IT security Confidential – may not be distributed without the consent of Betashares Capital
Slide 32: Defence spending is accelerating globally
Defence spending is accelerating globally • NATO members are under pressure to Defence expenditure as a % of GDP for NATO and select members increase defence spending. 7% 2024 expected • A record 23 NATO countries out of its now 32 6% With war on its doorstep Poland has significantly increased defen
Slide 33: Incidents of state based cyber attack are increasing
Incidents of state based cyber attack are increasing Publicly reported Chinese espionage incidents sourced from open source materials Source: JPMorgan, Center for Strategic and International Studies, 2023 Confidential – may not be distributed without the consent of Betashares Capital
Slide 34: Selected Betashares ETFs to consider
Selected Betashares ETFs to consider Potential winners from Commodities and thematics Potential beneficiaries from with potential for further increased protectionism upside increased defence spending QUS: S&P 500 Equal Weight ETF QAU: Gold Bullion ETF ARMR: Global Defence ETF IIND: India Quality ETF
Slide 35: Things to consider
3 5 Things to consider • Investment risk: The value of an investor’s portfolio can go down as well as up. Risks include: • Market risk with equities • Currency risk with international investments • Thematic, commodity, technology and gold ETFs are subject to additional risks. Returns can be expected
Slide 36: Regular content
Regular content Visit our website for the latest Sign up for regular insights Follow us on social media Fund data, blogs and investment information betashares.com.au 36 Confidential – not to be used or distributed without the consent of Betashares
Slide 37: Better investing: Betashares Direct
Better investing Betashares Direct Betashares Direct is the new investing platform designed to help you build wealth, your way. Refer to the PDS for information on interest retained by Betashares on cash balances and Managed Portfolio fees. Betashares Capital Limited (ABN 78 139 566 868 AFSL 341181)
Slide 38: Classified as Confidential. Please do not forward this to unintended users. Otherwise, request necessary
Classified as Confidential. Please do not forward this to unintended users. Otherwise, request necessary permission.
Slide 39: Thank you
Thank you Sign up here to our weekly newsletter: Confidential – may not be distributed without the consent of Betashares Capital