Consumer spending is constantly evolving. A consumer trends strategy aims to benefit from investing in opportunities that benefit from these changes. I.e., to uncover structural winner companies of strong long-term consumer trends. Bolna AS invests in companies in both consumer sectors of the market, staples and discretionary. The Consumer Staples sector consists of companies that provide goods and services that people use daily, like food, clothing, or other personal products. Companies in the Consumer Discretionary sector manufacture goods or provide services that people want but don’t necessarily need, such as high-definition televisions, new cars, and family vacations (Fidelity Investments Inc). Investing in both consumer sectors makes the portfolio more stable since consumer discretionary stocks tend to do well when the economy is strong and poorly when times are tough.
For exposure to the consumer staples sector, Bolna AS invests about 50% of the portfolio in the fund Xtrackers MSCI World Consumer Staples UCITS ETF 1C (EUR). The company’s investment within the consumer discretionary sector is focused on direct investments in the future Nordic leaders in this segment.