Matt Williams, Head of Equities at Perpetual is sanguine on outlook for equities and is approaching new IPO's with caution

Matt Williams, Head of Equities at Perpetual is sanguine on outlook for equities and is approaching new IPO's with caution. On the equity front Williams says the market is now looking on the expensive side and expects only moderate capital growth while profits make up ground on share valuations. Notwithstanding, he says equities will present a more attractive return than many of the alternatives currently available. With reporting season now wrapped up Williams is looking towards the IPO pipeline and the new floats being brought to market. Specifically - Mantra Hotels, Ozsale who are an online retailer and Japara who operate aged care centres. In all of these cases the floats are being brought to market via Private Equity. Wiliiams needs to see that the businesses can maintain good earnings momentum over the medium term and have not just been dressed up for sale. Full video here (VIEW LINK)