Thematic investing: A practitioner’s guide
Thematic investing presents equity investors with the unique opportunity to gain exposure to forces that are rapidly reshaping the global economy. Matt Bullock, EMEA Head of Portfolio Construction & Strategy, explores the opportunity-set from a client point of view.
Oct 10, 2023
1 minute read
1 minute read
Key takeaways:
- With the pace of change in the global economy increasing, investors have the opportunity to hone their exposure to innovative business models that will command a greater share of aggregate corporate earnings.
- Thematic investing provides an avenue for equity investors to increase their allocations to these transformational forces across an array of sectors.
- To maximize the benefits of thematic investing, investors must select themes that are neither too narrow nor too broad in scope while also avoiding the practice of “theme washing”.
Thematic investing is a topic that comes up a lot in client conversations. As explored in our recent article, Access transformational change with thematic investing, a select number of foundational themes are reshaping the world and, consequently, will likely become major drivers of future equity market returns. It is a different way of approaching the equity opportunity-set but needs to be approached in the right way. Here, we provide a guide to key considerations.
Download PDFJanus Henderson Investors makes no representation as to whether any illustration/example mentioned in this document is now or was ever held in any portfolio. Illustrations shown are for the limited purpose of highlighting specific elements of the research process. The examples are not intended to be a recommendation to buy or sell a security, or an indication of the holdings of any portfolio or an indication of performance for the subject company.
Oct 10, 2023
1 minute read
1 minute read
Key takeaways:
- With the pace of change in the global economy increasing, investors have the opportunity to hone their exposure to innovative business models that will command a greater share of aggregate corporate earnings.
- Thematic investing provides an avenue for equity investors to increase their allocations to these transformational forces across an array of sectors.
- To maximize the benefits of thematic investing, investors must select themes that are neither too narrow nor too broad in scope while also avoiding the practice of “theme washing”.