But the hedge fund manager warned that the fall-out was that investors had bid up the value of defensive companies, with the benefit of falling bond rates already priced in. The extent of investors crowding into defensive stocks – such as grocers and conglomerates – Mr Landau said was apparent on the Australian sharemarket as they were trading at decade high multiples to earnings. He also called out the so-called offshore earners of the ASX that were particularly expensive relative to history while the Australian dollar was weak – “you have an inflated multiple plus inflated earnings because of the...