January 2018

2017 saw a year of rebalancing for oil, albeit slower than first hoped, as energy companies demonstrated improved resilience to the oil price environment. 


During our Global Energy webcast, portfolio managers Will Riley and Jonathan Waghorn covered the following topics:

  • OPEC has shown clear determination to defend an oil price floor; we expect a $55-60/bl range
  • US onshore oil production will need to grow faster in 2019/2020 to offset existing production declines and to satisfy growing demand globally for oil products
  • The energy equity sector has adjusted to lower oil prices with profitability and free cashflow generation improving
  • It is unlikely that extreme sector valuation levels will be sustained as the companies continue to recover

Click here to download a PDF of the webcast presentation slides.

For Registered Investment Professional Use Only