When investing, understanding of the macroeconomic environment is a critical factor before taking any investment. We carry out top to bottom analysis, identifying the drivers behind economic events and their potential consequences. As a result of the analysis, we identify the sectors which could be more benefited. We assess the companies within those sectors to determine which are in a better position to take advantage of the environment.
We tend to analyse small-medium capitalisation companies as they are less covered by analyst and present higher opportunities. However, we also complement this approach with the analysis of renowned companies.
The result is a list of 20-30 companies analysed where we understand their business model and the drivers behind their price. The companies are focused on the sectors identified as a consequence of the economic situation. It is updated over time as the situation does. It allows us to create different portfolios, including the companies which present the most attractive investment opportunities at that moment and balancing off a growth-value approach depending on the environment analysed.
Analysis of the latest events that affect the economy across the world, paying special attention to:
Fundamental analysis of companies from Eurozone, UK and the US based on the understanding of: