The fundamental concept in a balanced portfolio is investment in securities offering potential capital gains as well as a rather stable income in an overall defensive approach. In general, we select securities offering stable, although low, yields, with the aim of earning capital gains in the medium term.

This type of portfolio may maintain part of its assets in deposits in the reference currency.

For this type of portfolio, investments are spread between fixed-income securities and a few stocks. The fixed-income instruments - e.g. bonds - provide the portfolio with a high-quality profile (with a high average rating), an average volatility (on average maturities), sometimes in combination with instruments issued by lower-quality debtors, e.g. Latin-American issuers. The portfolio is exposed to the equity market through defensive equity investments, equity funds and a selection of convertible bonds.

In order to further outperform deposits and short-term paper, the portfolio may be exposed to other types of assets. These will be essentially capital-protected deposits linked to the performance of an underlying instrument - typically a stock-market index.

Model Portfolio in US dollar, in euro.