KERNSTRATEGIE
STOCKS PORTFOLIO INCOME
Emphasizes defensive orientation
Not only since the outbreak of the corona pandemic, but already at the latest since the subprime real estate crisis in 2007/2008, the international stock market( and this, of all things, specifically in Europe) have become increasingly volatile and unpredictable in terms of both their trend direction and their price fluctuations.
The reasons for this, which have triggered a generally increasing latent psychological uncertainty among private and even large investors and have led to the above-mentioned fluctuation increases among ever more abrupt changes in supposed “investment favorites”, have been very diverse in recent years:
In addition to the most recent medical Corona-pandemic already mentioned, the economic and structural crisis in the euro zone, which has risen sharply at times, the threatened or completed GREXIT in Greece and the BREXIT in the United Kingdom, the increasingly perceived risk factor of Donald Trump’s presidency of the United States, which is increasingly perceived as a risk factor for the global economy, and the resulting conflicts, especially with China North Korea and Iran, as well as the considerable national separatist political tendencies in Russia and Turkey, were all factors which also caused investors to make a massive EXIT from the stock markets in recent years.
And while, until a few years ago, particularly defensive high-dividend stocks were generally considered the safest choice for avoiding almost any stock market turbulence in this way, there can now unfortunately also hardly be any question of the general effectiveness of this “panacea” in the face of increasingly broad-based stock market corrections, as well as increasingly limited dividend payouts by stock corporations.
In this fundamentally more difficult environment for equity investments, it now requires increasing skill and experience to meet the demands of conservative equity investors for very low volatility, stable and yet very sustainable asset growth.
Lucrum Capital AG aims to meet these high requirements with its emphatically defensive stocks portfolio income.
In an entirely global and thus regionally highly diversified selection approach, we primarily select stocks that are based on a very high level of corporate quality that has been proven over the long term and which nevertheless have absolutely solid and comprehensible sales and earnings valuations. In addition, however, companies with above average dividend payouts will continue to be considered for this type of emphatically risk conscious portfolio composition, insofar as their dividend payout and dividend increase policy can continue to be classified as guaranteed in the coming years on the basis of the given company quality.
In addition, the portfolio’s stock selection usually gives priority to companies with medium to high stock market capitalization (>approx. 10 billion euros or CHF), as these size and liquidity requirements generally also significantly reduce price fluctuation risks compared with an investment in second-line stocks. A fully invested stocks portfolio.
Income will usually include around 30 securities, although in exactly this portfolio, very active management of the cash holding ratio on a case-by-case basis will in principle provide further elementary risk mitigation contributions.
Lucrum Capital AG does everything to ensure that you are on the safe side of highly stable yet profitable asset growth in the long term with an asset management focus on stocks portfolio income.