A systematic approach to thematics

Moving to mainstream

With the rising popularity of thematic investing, the need for a formalised framework for diversified portfolio allocation within the field has never been greater.

As a play that capitalises on long-term trends tipped for success, thematic investing is inherently forward-looking. The approach is predicated on following key structural shifts - be they economic, social, technological or environmental - and taking their pulse to scout out high-potential players capable of driving change and, of course, generating capital.   The pandemic has struck markets with waves of unanticipated volatility and buoyant inflation, and while some sectors, particularly the service industry, saw catatonic dips, others, such as e-commerce, sustainable investing and medi...