Megatrends are the origin of all other themes that have been presented so far in this brochure, hence providing as many growth drivers to capture thematic alpha.

Why megatrends ?

A megatrend is a driving force of human activity’s development bringing long-term, profound changes to the societies in which it unfolds. History is not, indeed, static but filled with change. Administrative centralisation, rural flight, generalisation of wage labour, are a few well-documented examples of deep-set trends that have given birth to our modernity.

Whereas a historical retrospective of past megatrends can help us achieve a better understanding of our present, the identification of ongoing megatrends provides a means to anticipate what our future will look like. The demographic and social changes, economic shifts, technological breakthroughs, and environmental challenges of our time are spreading at an unprecedented pace. As they require adaptations in all sectors and from all society members (governments, businesses, individuals), they point to where value creation will take place in the near future.

The study of contemporary megatrends thus ties in with the predictable future, a future that can be modelled on the basis of estimated figures. For instance, world population growth, emergence of new economic powers, artificial intelligence development and resource scarcity stand among noticeable megatrends whose impact for the future can already be quantified.

Our approach

In order to take advantage of all these megatrends in complete serenity, we have elaborated turnkey investment solutions based on a dynamic allocation of thematic funds exclusively managed within the Group. The proximity to the management team of each of the detained thematic strategies becomes therefore a major asset.

The Megatrends theme aims to capture the various long-term growth drivers associated to the underlying themes while adapting the selection of funds to the short-term market environment.

In order for our off er to better fit the different risk profiles of our clients, we have developed two alternative investment solutions to access the theme:

  • Megatrends: a 100% equity solution conceived for investors wishing to boost a part of their investment portfolio, which seeks to fully benefit from the theme’s growth potential through a dynamic allocation of thematic equity funds. This allocation is driven by the market cycles and the convictions of the management team.
  • Smart Trends: a multi -asset class solution designed for investors with a more defensive risk profile. The integration of thematic investments is made in a special pocket within a flexible multi asset class allocation, which leads to a tactical risk adjustment. The maximum equity exposure has been set at 35% and the fund is managed within a volatility limit of 5%. Furthermore, in our fund selection process we prioritise the investment vehicles adopting a sustainable approach (min. 50%).

Past performances are not a reliable indicator of future performances of the funds and of the funds manager.