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Our top three stock picks for 2020 in the Engineering & Construction sector include Monadelphous (MND), Lycopodium (LYL) and Service Stream (SSM).

Due to the cyclical nature of investments in the Travel & Tourism sector, we've chosen stocks with a diversified business model across multiple travel businesses with exposure to global growth opportunities.

On the back of challenging macro stimulus and cautious discretionary spending, our top picks focus on retailers that offer growth through global expansion opportunities or structural tailwinds (such as the shift to online).

We continue to be positive on the technology sector in Australia. In an environment of low interest rates and low growth, we believe there are a number of good quality stocks in the sector with reasonable to strong growth outlooks.

The ALP’s controversial franking credit policy, coupled with the tax-loss selling heading into June saw discounts widen across the board. As a result, attractive opportunities arose with many large and reputable LIC/LITs trading at historically large discounts.

Our key commodity call for 2020 is the unwinding of the drought induced dislocation between domestic cattle prices and export meat prices on a normalisation in weather patterns. Our three stocks carry varying degrees of exposure to this dynamic.