Why investing in the Nordics is a good idea
Stable political conditions and the scope of investment opportunities make the Nordic region interesting for professional investors.
Although the Nordic region is geographically small as an investment area, nearly all the main sectors and niches of investment possibilities are represented in the Nordic stock exchanges.
The Nordic market offers a global investment universe in miniature
Each of the Nordic countries specializes in different sectors, but the Nordic region as a whole offers a wide range of diversification.
In Norway, the best investment opportunities are primarily within the energy and seafood sector whereas Sweden offers a range of strong commercial brands and export commodities. Finland is big in the material sector with its forestry companies, while in Denmark the health sector is predominant.
My point is that by investing in Nordic equities, you will achieve sufficient diversification of risk, and at the same time benefit a return potential greater than in a wider global market.
The Nordics as a region has a strong track record. The countries are innovative and the productivity is high. Last but not least, government finances are robust and stable.
This diagram shows the sectors represented in the different markets. By investing in Nordic equities, you will achieve sufficient diversification of risk, and at the same time benefit a return potential greater than in a wider global market.
Why do we think the Nordic countries will be winners in the time to come?
As an investor, you face several choices and weigh the pros and cons before you choose to invest.
The Nordic countries are not free of disadvantages; the risk in investing in a smaller market will always be higher than that in a greater market. However, we believe that the opportunities for a nice return in the Nordic Market outweigh the disadvantage.
