Research has proven that investing sustainably doesn’t necessarily impair returns at all – and may in fact be key to achieving good performance in a rapidly changing world.
2016 is just in its infancy but we already find ourselves in a world of major transition.
China’s market slowdown, the US fed rate hike, and the outlook of the EU all have disrupted the global macroeconomic environment, and in their wake have left winners and losers, but also offer important challenges and opportunities for 2016.
Navigating through the malaise and finding that silver lining may feel daunting, but UBS has put together a collection of their views on what you need to know now for 2016 so that you can get a head start and use them to your strategic advantage in your investment portfolio, including global trends such as healthcare, demographic shifts, energy efficiency, obesity, water scarcity, and many more. You can read more in their article “UBS House View: 2016 and Beyond” here.
Connecting the dots on the above and what you need to know about building an optimal strategic investment portfolio across asset classes, UBS also stresses the importance of managing volatility. At findaWEALTHMANAGER.com we agree with UBS that a long term strategy to optimise your portfolios and even out your returns is key. However, knowing what will impact your portfolio and understanding where the gaps are equally important. UBS utilises a “theme” approach, which basically categorise asset classes, such as cyclical, defensive, and counter-cyclical into a basket of themes, which has materially managed volatility better than the MSCI World Index.
Now that you understand what you face as an investor in 2016, understanding what you can action right now in your investment portfolio with your wealth manager is paramount. At findaWEALTHMANAGER.com we discuss the top strategic investment tips for 2016 such as the advantage to “drip feed” investing, the risk of over-diversification, and how to lower your wealth management fees!
Of course, you can find more relating to the above by visiting our Wealth Planning section of our Insights blog.
