Over the long term, stocks are the most profitable traditional investment category. The Blokland Smart Multi-Asset Fund is dedicated to exclusively investing in stocks of scarce quality companies worldwide. These quality companies are characterized by strong business models, sustainable competitive advantages, minimal debt, and relatively stable earnings that are less susceptible to economic fluctuations. Additionally, they have demonstrated the ability to profit from market changes.
Quality stocks are particularly well-suited to environments of low interest rates and higher inflation, where investors are forced to seek higher returns. Historically, quality stocks have not only significantly outperformed the overall stock market but have done so with lower risk.
Quality stocks consistently outperform over the long term. They reward investors with solid earnings growth and dividends, thanks to their unique products and services, strong market position, and continuous innovation.
The chart demonstrates the return on an investment in quality stocks (represented by the green line) compared to the returns on value stocks, growth stocks, and global stocks.
If you had invested USD 100 in quality stocks in the early 1980s, it would now be worth over USD 13,000. In contrast, the same investment in the other three groups of stocks would be around USD 4,500 today. This represents a significant gap. Additionally, quality stocks typically carry lower risk.
Past performance is no guarantee for future results.