From the Bull Market Group they point out that “Cedears are always a good alternative, because in addition to presenting different investment alternatives for each risk profile, they offer exchange coverage, something extremely important to take into account in a country that suffers from frequent depreciations of its currency, which also tend to happen suddenly and violently. And they added: “Considering this, and the falls that we have observed in recent weeks, it is possible to add some positions in stages while waiting for the global outlook to improve a little.”
In this sense, they explain that for conservative investors, who are looking for a hedge against inflation, there are, for example, Walmart and Coca-Cola, “which are two companies with solid market power, capable of setting prices and margins in an inflationary context. ”. Also Barrick Gold, “which benefits from the rise in gold due to its mining activity”, or Berkshire Hathaway, “which is a fund managed by the legendary Warren Buffett, who has always been characterized by prudent management of his investments”.
For his part, Lucas Caldi, economist and Researcher at Portfolio Personal Inversiones, explained that in terms of Cedear they are recommending ETFs (Exchanged Traded Funds) given the high volatility of recent months. Also, he pointed out that they have two types of portfolios. “For the conservatives, we make 60% equity and 40% fixed income. Of the 60% we decided to take from a location of 25 points in SPY (it is made up of a portfolio that represents the 500 stocks in the S&P 500 index), then 17% XLE (represents The Energy Select Sector Index, and includes companies that produce and develop oil, natural gas and related services) and another 17% in XLF (The Financial Sector- includes financial services companies and investments in commercial banking). With these assets you can have a little exposure to energy companies and the financial sector that, with the high oil price and the rise in rates, are favored in this context”, he pointed out.
On the other hand, for the more aggressive portfolios, it added the option of adding a little more exposure to technology through QQQ (Invesco QQQ Trust- includes 100 of the largest non-financial companies by capitalization listed on Nasdaq), and some markets emerging with EWZ (active management and seeks long-term capital growth). And he added: “Likewise, as the Cedears operate implicitly with the CCL, we see that it is a good time to dollarize, since we observe a lag between the evolution of the CCL and the increase in the expanded monetary base, so the CCL is currently cheap. , and on the other, because Argentine assets performed poorly in the last two months”.
Carolina Paparatto
Source: Ambito
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