Trend phases shape the markets more today than before. The main reasons for this are the strong growth of passive investments via ETFs and the easy market access for investors via neo-brokers. As a result, trends in sectors and individual stocks emerge faster and more strongly.
At the same time, the demands on timing and risk are increasingmmanagement – because trend movements can also end abruptly. For investors this means: If you want to profit from stock market trends, you need an approach that combines focus, discipline and risk management.
This is exactly what the one issued by UBS aims to do Akrida Trends certificate (WKN UBS3AC). Akrida Trends pursues the idea of specifically exploiting the strongest trend movements. The certificate makes a concentrated approach available that invests in current trends and uses techniques that hedge funds also use.
The strategy behind it: Concentrated, following trends, actively controlled
Akrida Capital’s asset management team continuously analyzes stock market trends. The strategy is based on a holistic approach with clear points:
1) Concentrated portfolio (maximum 10 stocks)
Instead of broad distribution, the focus is on focus. Investments are made in up to 10 stocks with high trading liquidity.
2) Trend selection across macro and micro topics
Trends are identified at various levels, such as digital transformation, AI, increasing demand for raw materials or global asset inflation.
3) Active riskmmanagement
Losses should be actively limited. A central instrument is the flexible control of the cash quota – in extreme cases up to 100% cash. This is intended to make the portfolio more defensive in difficult phases.
4) Akrida principle: focus on momentum and growth
Trends, momentum and growth are bought. Classic evaluation standards play a subordinate role. Key idea: “Expensive stocks usually stay expensive for a long time.”
5) Active management: increase winning stocks, sell underperformers
Winning positions are consistently increased. Underperformers are strictly sorted out. Short positions are possible, but not the core of the strategy.
Trend radar: Which topics can currently shape things
- Energy & raw materials: Energy and raw material security as a strategic issue
- Defense: increasing expenditure against the background of growing conflicts
- Global (asset) inflation: rising debt and active central banks impacting money supply growth
- European Revival: government investment programs and building our own supply chains
- Digital transformation: disruptive technologies are changing established industries
- AI, data center & cloud: increasing infrastructure requirements due to AI applications
- Healthcare: Aging of society
- Democratization of luxury: Global rise in middle incomes
What the concept covers
Akrida Trends stands for a concentrated trend approach with a clear focus on momentum and growth. The portfolio is deliberately focused and relies on ongoing adjustment. The flexible cash quota is an essential element in order to be able to vary the investment quota depending on the market phase.
Conclusion
When capital flows become faster and more concentrated, trend movements often become more dynamic with opportunities but also with rapid changes in direction. Akrida Trends positions itself precisely in this environment: focused on trend topics, with a momentum focus, active management and a cash ratio that, according to the concept, can increase to 100%. Anyone who wants to map trend phases specifically and attaches importance to active management will find an approach here that deliberately works differently than classic fundss-Solutions.
Risk information: The acquisition of this security involves significant risks and may result in the complete loss of the capital invested, although historical performance is not a reliable indicator of future performance. Investors are also subject to the creditworthiness risk of the issuer, as there is a risk of total loss in the event of insolvency and there is no protection through compensation schemes. Before making an investment decision, you should therefore carefully check the sales documents and the key information sheet (BIB).
