Australia - a market awaiting a strong return
While the panel admitted that Australia’s vaccination program had been slow compared with other developed markets, the consensus was that a post-lockdown recovery would be swift, as it was after the first lockdowns in 2020.
Prior to the latest lockdown, the Australian economy had rebounded despite the effect of border restrictions on the education sector – the third-largest services industry – and tourism. So, once the border restrictions ease and education is booming again, tourism returning, it bodes well for Australia.
There has been particularly strong interest from domestic private investors, the roundtable participants agreed, as the low-interest-rate environment and concern about global stock markets pushed capital into yield-bearing real estate.
Meanwhile overseas investors have been more cautious. Offshore capital tends to be looking to put money to work with managers they’ve worked with before, as they can’t physically get together with new managers, so track record and established relationships are important. However, the participants agreed that overseas players already established and with teams in Australia were still keen to invest and able to execute.