Investors return to 'boring' options

Australian investors may be returning to supposedly “boring” market opportunities like infrastructure stocks, it has been suggested.

Anthony Keane of News Limited observed that infrastructure stocks have “tested people’s patience in the past few years, but there are signs the sector is turning a corner”.

He added that while sectors like mining, banking and retail boast greater “investor appeal” infrastructure stocks – ranging from power generators and pipeline companies to airports and toll roads – can still present certain long-term benefits.

Australian Stock Report head of research Geoff Saffer commented that the safe nature of the stocks is particularly suited to retirees and people seeking higher income returns from their shares.

“Higher yields is the main appeal and they are defensive,” he said.

“They’re not trying to open 1,000 supermarkets – they operate a pipeline somewhere and all they do each day is monitor it.”

The comments may interest Aussies looking to compare term deposits and other investment opportunities in search of the best nest eggs. Charter Hall direct property chief executive Richard Stacker recently said in the Herald Sun that term deposit holders should grow their capital returns by reinvesting in the recovering property fund market.

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