By Randeep SOMEL, Investment Director in MG's Equities team
Aviation Travel
Airlines have been hugely impacted by COVID-19, but the long term structural growth of the aviation sector is likely to continue. Aviation plays a vital role in the success of a growing economy, therefore governments will need to ensure the sector remains operational for when we get through this pandemic. This is a sector that has survived wars, SARS, oil crises, terrorism/September 11th and recessions, and it will continue post coronavirus. Airlines are not high returning businesses and usually get into difficulties with cyclical downturns. However, there are other areas of the value chain that are high returning and much better at...
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