At 1291 Group of the Americas, our investment philosophy guides how we identify opportunities, as well as potential risks in the global markets.
We take a top down, global macro-economic approach. We dissect trends, demographics, and global economic developments. And, we connect those dots to identify what’s really happening around the world, and design strategies to capitalize on opportunity, as well as protect capital.
Our approach focuses on fundamental analysis to identify broad market trends, but utilizes technical analysis to isolate specific opportunities or identify possible risks.
We have three cornerstones to our investment philosophy…
A Macro Global view on Economics & Demographics – We look for positions of growth in non-Western markets and identify opportunities among the demographic changes happening in emerging economies. We analyze GDP growth, debt levels in major markets, and the growth of local consumer wealth, all while keeping watch on how central bank decisions impact currencies.
Consider the Impact of Gray Swan Events – Today, we no longer live in isolated countries that formed the policies of the 20th Century. We no longer live in isolated economies, or have isolated technologies, isolated defense systems or communication. We are all much more interconnected now and there are numerous areas of elevated risks including financial instability in Western economies, terror threats, energy concerns, and geopolitical uncertainties. We consider the impact that these events may have on the markets and do our best to assess the likelihood of such events.
Assess the Current State of Events – With the 24-hour news cycle, it’s important to look beyond the headlines to the real, underlying data. We analyze solutions for what may be a permanently low-interest rate environment and the impact of unprecedented Western debt levels. Or the impact of government elections or a move by a Central Bank.