In a first step, we take into account the current findings of our different analyses (fundamental, technical and behavioural finance) and define the most likely market scenario (expected return), which also incorporates risk scenarios. Based on that risk/return analysis, we specify the optimal investment degree.
- Fundamental analysis: We assess the global economic cycle in collaboration with leading global brokerage houses. For many years we have also applied a successful leading indicator model. In addition, we also take into account the current level of economic surprise indices (Citigroup).
- Technical analysis: The main priorities of our technical analysis are relative trend indicators, momentum indicators, inter-market analysis, and the Elliot Wave-analysis.
- Behavioural Finance analysis: The key input factors are sentiment indicators, Money flow data, Put/Call ratio analysis, and market surveys.
Within gold equities, we also use quantitative factors to define the relative weights of regions, countries, segments and metals.