Growth, Income or International?
We believe the most important thing about an investment is the total risk-adjusted return that it produces over a period of time: the sum of your income plus your capital gain, and the level of risk taken to achieve it. While Clime does not deviate from its investment philosophy and selection principles, our clients investment needs and objectives may see them lean toward either income or growth stocks, domestic or international, or a combination.
For this reason, Clime has created three primary streams of DSP, known as Growth, Income or International. This allows you to choose an investment strategy that will align with your individual circumstances. Amongst your considerations will be: do you need the DSP to provide a regular income to cover your living expenses?
The Income option favours stocks and securities with a higher dividend / distribution policy. These stocks and securities may tend to produce less capital gain, but will typically demonstrate a lower level of volatility.
If your investment objectives have a lower income requirement, you may choose the Growth option. This gives our investment professionals the discretion to invest across a broader universe of securities. Stocks that pay modest dividends but have a capacity to produce larger capital gains are generally called growth stocks. Profits are being redirected back into company growth, rather than into the pockets of shareholders.
The third category is the International option. Here the key focus will be on a portfolio of global stocks, providing access to the world’s largest markets, and diversified across currencies, geographies and sectors. In most instances, investors will choose to combine international sharemarket exposure with either an Income or a Growth option.