Which portfolios should an investor buy right now?
Alberto Villasán Investment and Markets Director
Professional management of your investments
What is discretional mandate? Discretional mandate is an investment service characteristic of Private Banking, by which the clients delegate all or part of their assets to a team of professionals. This team then manages their assets within a certain framework of action and with a specific of risk and investment objective.
At the moment, there is a large universe of portfolios and investing options and a major economic imbalances as well, so which portfolios should an investor buy right now? Nowadays, it is vital to ensure that your investments are managed efficiently.
We have already seen that discretionary portfolio management is a typical investment service of Private Banking, by which clients delegate all or some of their wealth to a team of professionals who manage it in accordance with a specific framework of action and a specific risk and management objective.
However, most financial institutions do not offer a real investment solution to their clients because they are continuing use traditional investment management models that simply do not work in the current environment.
What is the best option?
At BBVA in Switzerland we have been developing and offering our clients specific discretionary investment management solutions for the last nine years, aligned with the economic scenario at any given time.
To maximise profit and minimise risk in investments, investors could adopt a strategy that combines two types of portfolios:
• Fixed-Income Asset Portfolio
The investment philosophy of this portfolio is based on accumulating and maximising bond and carry coupons, maintaining a defensive position when fixed-income assets are overvalued and buying decisively when market opportunities arise.
• Multi-Asset or Equity Portfolio
This portfolio investment philosophy is based on maintaining a defensive management position focused on tactical management when the market is not offering any opportunities (to avoid bubbles, protect capital and have the capacity to take advantage of adverse market environments to buy at attractive prices).
The combination of these two investment portfolios offers an attractive option for obtaining returns above inflation by controlling asset volatility.
The attention your investment portfolio needs
BBVA in Switzerland is part of BBVA Group and manages your wealth so that you can spend your time on what really matters. Our philosophy is based on protecting the capital with a focus on the long term while being alert to any short-term opportunities that arise, according to the customer’s risk profile.
Do you have any questions about this article? Write to us.
For more information, please contact your Investment Advisor.
This article is for informational purposes only and should not be considered as an offer or recommendation; nor should the information provided be considered as advice of any kind.
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