Morning Meeting 23 April 2020

Index +/- % change Currencies +/- 12 month range FTSE 100 5770.6 129.6 2.3 £:$ 1.233 0.01 1.15 1.33 FTSE All-Share 3173.5 65.0 2.1 Y:$ 107.800 0.16 102.55 112.09 DJ Industrial Average 23475.8 456.9 2.0 E:£ 1.138 0.01 1.07 1.20 S&P 500 2799.3 62.8 2.3 E:$ 1.083 0.00 1.07 1.14 NASDAQ Composite Index 8495.4 232.1 2.8 10 Yr Bond Yld % +/- -3 months -12 months Nikkei Japan 1000 Index 1676.7 -10.7 -0.6 UK 0.31 0.02 0.65 1.20 Hang Seng Index 23893.4 99.8 0.4 US 0.62 0.04 1.77 2.59 EURO STOXX 50 (EUR) 2834.9 43.6 1.6 Germany -0.44 0.05 -0.27 0.02 Switzerland SMI (PR) 9630.6 82.7 0.9 Price (p) +/- 12 month range France CAC 40 4411.8 54.3 1.2 Germany DAX (TR) 10415.0 165.2 1.6 plc 149.4 0.55 128.8 518.6

Matrix Winners Price +/- % change Sector Winners % change Mkt Wt plc 20.3 4.0 24.6 FTSE All-Share / Oil & Gas Producers - SEC 5.6 9.6 Premier Oil plc 23.7 2.8 13.2 FTSE All-Share / Construction & Materials - SEC 5.38 1.4 PLC 98.6 7.9 8.7 FTSE All-Share / Gas, Water & Multiutilities - SEC 4.03 1.4 Ashtead Group plc 1803.5 128.0 7.6 FTSE All-Share / Technology Hardware & Equipment - SEC 3.8 0.1 Hurricane Energy Plc 10.5 0.7 7.3 FTSE All-Share / Electricity - SEC 3.4 0.8

Matrix Losers Price +/- % change Sector Losers % change Mkt Wt Riverstone Energy Limited 153.8 -10.8 -6.6 FTSE All-Share / Aerospace & Defense - SEC -2.6 1.7 TUI AG 303.3 -18.6 -5.8 FTSE All-Share / Industrial Transportation - SEC -0.4 0.2 Plc 208.4 -10.6 -4.8 FTSE All-Share / Leisure Goods - SEC -0.3 0.1 BAE Systems plc 510.4 -24.2 -4.5 FTSE All-Share / Electronic & Electrical Equipment - SEC 0.3 0.8 Marston's PLC 33.4 -1.44 -4.1 FTSE All-Share / Real Estate Investment & Services - SEC 0.4 0.4

Stocks Hitting Relative High Stocks Hitting Relative Low Aviva plc - plc - Carphone PLC - Equiniti Group Plc - HSBC Holdings Plc - Marks and Spencer Group plc - Royal Bank of Scotland Group plc - RSA Insurance Group plc - - Standard Chartered PLC - TUI AG

Companies discussed in Morning Meeting UK Equities Anglo American Quartely Update Compass Group Company Update Croda COVID-19 Update

Meggit Company Update Taylor Wimpey Company Update Tullow Company Update Unilever Quartely Update International Equities Pernod Ricard Quartely Update Thermo Fisher Quartely Results

Overview

 In a recent period of risk-on and risk-off days in markets caused by regular updates on the fight against Covid-19, yesterday was a risk-on day with many developed world equity markets closing up 2% and the equivalent government bond markets showing their 10 year bond yields rising by 2-3 basis points. An outlier in price movements was gold, which rose 1.7% on the day. Gold price movements are normally associated with benefiting from a risk-off environment, although yesterday’s price rise could be attributed to a better performance from commodities across the board (with the Bloomberg Commodity Index up 2% on the day).

 The price of a barrel of oil remains centre stage in markets following the fall in the price of West Texas Intermediate to negative territory earlier this week (to -$38 on Monday). The recovery in the price continued yesterday as it rose to $13.78 (up 38% on the day), partly a result of Donald Trump threatening to shoot down and destroy all Iranian gunboats if they harass US ships at sea. In addition, Trump said that he would look to support the US energy sector in whatever way was possible.

 Yesterday’s risk-on environment occurred despite more weak economic data, this time from . Consumer confidence in Europe showed its weakest reading since 2009, with the loss of jobs in the region a particular note of concern. In addition, the performance of Italy was not included in the readings because measurement was not able to take place. It is likely that the countries in Europe with the harshest lockdown regimes are suffering the most, including Italy, Spain and France. Today sees the release of PMI data from many nations in Europe, the US and elsewhere and is an important forward-looking gauge of economic activity.

 In another sign of supportive central bank policy, the European Central Bank will accept some junk-rated debt as collateral for its loans to banks in a move that aims to shield the euro area’s most vulnerable economies as they face the risk of credit downgrades in the Covid-19 pandemic. The ECB will accept bonds as long as they had at least the lowest investment grade rating on 7th April, it said after policy makers held a call on Wednesday evening. The decision to ignore future cuts comes two days before a possible reduction for Italy by S&P Global Ratings.

 South Africa has requested a loan from agencies including the IMF, World Bank and other international sources. The country is planning to spend around 10% of its economic output in supporting the economy and is seen as being late to the fiscal largesse being provided by global governments.

 JP Morgan has conducted a study that shows that the strong equity market rally since the market low of 23rd March has naturally eroded more than half of previously estimated pending equity rebalancing flows. JPM found that, of the around $1.1trn previously estimated pending rebalancing flow into equities at the market low of 23rd March, around $250bn is still pending, mostly from US defined benefit pension funds as well as Norges Bank (the Norwegian sovereign wealth fund) and GPIF (the Japanese state pension fund). JPM also finds that balanced mutual funds are likely to be fully rebalanced at the moment with no positive or negative rebalancing flows pending from them.

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Events Calendar

Date Company Event 20 April 2020 Vivendi SA Q1 2020 Sales and Revenue Release 21 April 2020 Associated British Foods Plc Q2 2020 Earnings Release 21 April 2020 Stock Exchange Group Plc Q1 2020 Sales and Revenue Release - Interim Management Statement 21 April 2020 Reckitt Benckiser Group Plc Q1 2020 Earnings Release 21 April 2020 SAP SE Q1 2020 Earnings Release 21 April 2020 SEGRO Plc Q1 2020 Sales and Revenue Release - Trading Update 21 April 2020 The Coca-Cola Co. Q1 2020 Earnings Release 21 April 2020 Northern Trust Corp. Q1 2020 Earnings Release 21 April 2020 Northern Trust Corp. Q1 2020 Earnings Release 21 April 2020 Danone SA Q1 2020 Sales and Revenue Release 21 April 2020 BHP Group Plc Q3 2020 Sales and Revenue Release 21 April 2020 Philip Morris International, Inc. Q1 2020 Earnings Release 22 April 2020 CRH Plc Q1 2020 Sales and Revenue Release - Trading Update 22 April 2020 Thermo Fisher Scientific, Inc. Q1 2020 Earnings Release 22 April 2020 Roche Holding AG Q1 2020 Sales and Revenue Release

22 April 2020 Investor AB Q1 2020 Sales and Revenue Release - Interim Management Statement 23 April 2020 Anglo American Plc Q1 2020 Sales and Revenue Release - Production Report 23 April 2020 Pernod Ricard SA Q3 2020 Sales and Revenue Release 23 April 2020 Tullow Oil Plc Q1 2020 Sales and Revenue Release - Trading Update 23 April 2020 Taylor Wimpey Plc Q1 2020 Sales and Revenue Release - Trading Update 23 April 2020 Air Products & Chemicals, Inc. Q2 2020 Earnings Release 23 April 2020 Credit Suisse Group AG Q1 2020 Earnings Release 23 April 2020 Plc Q1 2020 Sales and Revenue Release - Trading Update 23 April 2020 Unilever Plc Q1 2020 Sales and Revenue Release - Trading Update 23 April 2020 Atlas Copco AB Q1 2020 Earnings Release 23 April 2020 Valeo SA Q1 2020 Sales and Revenue Release 24 April 2020 Pearson Plc Q1 2020 Sales and Revenue Release - Trading Update 24 April 2020 Plc Q1 2020 Sales and Revenue Release - Trading Update 24 April 2020 Nestl (R) SA Q1 2020 Sales and Revenue Release 27 April 2020 Bayer AG Q1 2020 Earnings Release 28 April 2020 Novartis AG Q1 2020 Earnings Release 28 April 2020 Plc Q1 2020 Sales and Revenue Release - Trading Update 28 April 2020 UBS Group AG Q1 2020 Earnings Release

28 April 2020 The Weir Group Plc Q1 2020 Sales and Revenue Release - Interim Management Statement 28 April 2020 Roper Technologies, Inc. Q1 2020 Earnings Release 28 April 2020 HSBC Holdings Plc Q1 2020 Earnings Release 28 April 2020 BP Plc Q1 2020 Earnings Release 28 April 2020 PepsiCo, Inc. Q1 2020 Earnings Release 28 April 2020 Mondelez International, Inc. Q1 2020 Earnings Release 29 April 2020 Barclays Plc Q1 2020 Earnings Release 29 April 2020 Next Plc Q1 2020 Sales and Revenue Release - Trading Statement 29 April 2020 Persimmon Plc Q1 2020 Sales and Revenue Release - Trading Update 29 April 2020 WPP Plc Q1 2020 Sales and Revenue Release - Trading Update 29 April 2020 Standard Chartered Plc Q1 2020 Earnings Release 29 April 2020 Assa Abloy AB Q1 2020 Earnings Release 29 April 2020 AstraZeneca Plc Q1 2020 Earnings Release 29 April 2020 GlaxoSmithKline Plc Q1 2020 Earnings Release 29 April 2020 Hexagon AB Q1 2020 Earnings Release 29 April 2020 The Boeing Co. Q1 2020 Earnings Release 29 April 2020 Facebook, Inc. Q1 2020 Earnings Release 29 April 2020 Microsoft Corp. Q3 2020 Earnings Release 30 April 2020 Total SA Q1 2020 Earnings Release 30 April 2020 Glencore Plc Q1 2020 Sales and Revenue Release - Production Results 30 April 2020 Howden Joinery Group Plc Q1 2020 Sales and Revenue Release - Trading Update 30 April 2020 LafargeHolcim Ltd. Q1 2020 Sales and Revenue Release - Trading Update

30 April 2020 Lloyds Banking Group Plc Q1 2020 Sales and Revenue Release - Interim Management Statement

30 April 2020 Reckitt Benckiser Group Plc Q1 2020 Sales and Revenue Release - Interim Management Statement 30 April 2020 J Sainsbury Plc Q4 2020 Earnings Release 30 April 2020 St. James's Place Plc Q1 2020 Sales and Revenue Release 30 April 2020 Tapestry, Inc. Q3 2020 Earnings Release 30 April 2020 Royal Dutch Shell Plc Q1 2020 Earnings Release 30 April 2020 Visa, Inc. Q2 2020 Earnings Release 30 April 2020 Apple, Inc. Q2 2020 Earnings Release 01 May 2020 Royal Bank of Scotland Group Plc Q1 2020 Earnings Release 01 May 2020 Exxon Mobil Corp. Q1 2020 Earnings Release 01 May 2020 The Est (R)e Lauder Companies, Inc. Q3 2020 Earnings Release 01 May 2020 Colgate-Palmolive Co. Q1 2020 Earnings Release 01 May 2020 Chevron Corp. Q1 2020 Earnings Release 05 May 2020 Aviva Plc Q4 2019 Earnings Release 05 May 2020 BNP Paribas SA Q1 2020 Earnings Release 05 May 2020 Pandora AS Q1 2020 Earnings Release 05 May 2020 Xylem, Inc. Q1 2020 Earnings Release 05 May 2020 Siemens Healthineers AG Q2 2020 Earnings Release 05 May 2020 The Walt Disney Co. Q2 2020 Earnings Release 05 May 2020 Electronic Arts, Inc. Q4 2020 Earnings Release 05 May 2020 AXA SA Q1 2020 Sales and Revenue Release - Activity Report 06 May 2020 Direct Line Insurance Group Plc Q1 2020 Sales and Revenue Release - Trading Update 06 May 2020 Fresenius SE & Co. KGaA Q1 2020 Earnings Release 06 May 2020 ITV Plc Q1 2020 Sales and Revenue Release - Trading Update 06 May 2020 Novo Nordisk A/S Q1 2020 Earnings Release 06 May 2020 Zoetis, Inc. Q1 2020 Earnings Release 06 May 2020 Smith & Nephew Plc Q1 2020 Sales and Revenue Release - Trading Update 06 May 2020 Costco Wholesale Corp. April 2020 Sales and Revenue Release 06 May 2020 PayPal Holdings, Inc. Q1 2020 Earnings Release 07 May 2020 Continental AG Q1 2020 Earnings Release 07 May 2020 Equiniti Group Plc Q1 2020 Sales and Revenue Release - Trading Update 07 May 2020 International Consolidated Airlines Group SA Q1 2020 Earnings Release 07 May 2020 InterContinental Hotels Group Plc Q1 2020 Sales and Revenue Release - Trading Update

07 May 2020 IMI Plc Q1 2020 Sales and Revenue Release - Interim Management Statement 07 May 2020 Legrand SA Q1 2020 Earnings Release 07 May 2020 RSA Insurance Group Plc Q1 2020 Sales and Revenue Release - Trading Update 07 May 2020 Zalando SE Q1 2020 Earnings Release 07 May 2020 Anheuser-Busch InBev SA/NV Q1 2020 Earnings Release 07 May 2020 BT Group Plc Q4 2020 Earnings Release 07 May 2020 Danaher Corp. Q1 2020 Earnings Release 07 May 2020 Linde Plc Q1 2020 Earnings Release 07 May 2020 EOG Resources, Inc. Q1 2020 Earnings Release 08 May 2020 ING Groep NV Q1 2020 Earnings Release 3

Monday Tuesday Wednesday Thursday Friday 20th April 21st April 22nd April 23rd April 24th April ILO Unemployment Rate CPI Core NSA Y/Y Retail Sales SA Y/Y 3-M CPI EU Harmonized NSA CIPS Manufacturing PMI SA Y/Y (Preliminary) UK PPI Output NSA Y/Y CIPS Services PMI SA (Preliminary) CBI Industrial Trends Total Orders NSA M/M Existing Home Sales FHFA Home Price Index Initial Claims SA Durable Orders SA M/M SAAR Markit PMI Manufacturing (Preliminary) SA (Preliminary) Michigan Sentiment NSA US Markit PMI Services SA (Final) (Preliminary) New Home Sales SAAR EU - Trade Balance SA EU - Trade Balance SA EU - Trade Balance SA EU - Markit PMI Manufacturing SA (Preliminary) RoW EU - Markit PMI Services SA (Preliminary)

Central Bank Meetings

Bank of Japan 28th April 2020 US Federal Reserve 29th April 2020 ECB 30th April 2020

Disclaimer

The information in this document is for private circulation and is believed to be correct but cannot be guaranteed. Opinions, interpretations and conclusions represent our judgement as of this date and are subject to change. The Company and its related Companies, directors, employees and clients may have positions or engage in transactions in any of the securities mentioned. Past performance is not necessarily a guide to future performance. The value of shares, and the income derived from them, may fall as well as rise. The information contained in this publication does not constitute a personal recommendation and the investment or investment services referred to may not be suitable for all investors; therefore we strongly recommend you consult your Professional Adviser before taking any action. Copyright Investec Wealth & Investment Limited. Reproduction prohibited without permission.

Member firm of the . Authorised and regulated by the Financial Conduct Authority. Investec Wealth & Investment Limited is registered in England. Registered No. 2122340. Registered Office: 2 Gresham Street, London EC2V 7QP.

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