Swiss Equities

Swiss small & mid caps are almost disrespectfully referred to as second-tier stocks. But if you ignore them, you are missing out on what we deem an attractive investment segment. Currently, they are worthy of more than just a quick look in our opinion.

Widely considered a stable investment strategy, equity dividends shine when growth, inflation, and interest rates drop. The characteristics of Swiss equity dividends place them in particularly good light. Vontobel’s new Sustainable Swiss Equity Plus fund aims to generate an income potential of 7-8% per year through a mix of dividend yields and tax-free option premiums.

In 2021, Swiss equity investors should focus on companies with global industry leadership, innovative strength and healthy balance sheets. Among them, well-managed Swiss mid and small caps could be one of the most promising return sources next year.

The recent market correction has seen investors rushing to sell stocks of cyclical Swiss companies. Can the value factor recover like it did after the crash in 2008?

How do you find the real equity gems? By getting up close to the companies – with sustainable results!