Viewing stocks through a thematic lens instead of a more classic sectoral or regional lens has the undeniable advantage to tap into human’s innate need for stories. While it can be challenging for human beings to connect purely with numbers, we are culturally programmed to react and bond with stories and narratives.
Thematic investments enable investors to link their vision of the world and its evolution directly to their investment strategies. They provide an innovative investment approach, breaking from traditional silos like countries, sectors, factors or regions. Investment themes typically span various economic cycles. This is particularly important to remember in times of short-term volatility, such as those we have seen in markets in 2022.
It is therefore all the more important to choose the right investment themes as their impact on performance is to be considered over the long run...
Marlene Hassine is associate director general at BSD Investing and Ahmed Khelifa is CEO of L’Allocataire. To subscribe to BSD Investing’s newsletter, click here.