Thoughts on ASX (The stock) for income
Hi team, Could you please give an update on ASX as an income stock? Much appreciated, Michael
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Answer
Hi Michael,
The ASX has struggled with subdued activity levels which means lower open positions while volatility has also fallen which has reduced margining requirements for ASX clients – a good thing for investors! These circumstances can change but after bouncing from its $54 we don’t believe the ASX is cheap, its currently looks overvalued trading around $65 with its estimated 3.6% yield being only fair at best.
- At this stage, MM is not considering the ASX for our Active Income Portfolio.
