Both the current market and economic environments can help create the case for positioning your portfolio for long-term growth.
A recent Investment Outlook from Loomis Sayles dove into some of the themes supporting this strategy. The research noted that investor enthusiasm continues to be amplified by expectations for how the growth of artificial intelligence will affect the greater global economy.
“We believe certain sectors of the market, most notably growth equity, are likely to outperform other asset classes on the back of increased technology investment,” the research added. “That has been the case over recent history, but looking forward, we expect positive absolute performance to broaden out.”
Looking down the line, Loomis Sayles sees the decline of inflation as a key factor fueling the financial market through 2024 and into 2025. The paper adds that capital expenditures will bolster the economy, “largely driven by technology and research and development spending.”
A Long-Term Growth Plan
With more and more indicators supporting strong economic and investment conditions, investors may wish to pursue a plan in favor of growing their capital. One such fund is the Natixis Loomis Sayles Focused Growth ETF (LSGR ).
LSGR aims to provide investors with a long-term capital growth strategy. To do so, the fund utilizes a multi-step framework to scrutinize assets on quality, growth, and valuation.
By focusing on unique, high-quality businesses, LSGR can better position itself to grow in value while minimizing volatility concerns. This is further bolstered by the fund’s active management team. That team can help better position the portfolio to adapt to economic and market movements.
Fitting a fund like LSGR into a portfolio could be a very straightforward process. As a core equity allocation, LSGR could provide a risk-averse means to drive portfolio growth and allocation.
Robust fund flows are currently supporting the case for LSGR’s growth strategy. As of August 7th, 2024, LSGR has seen over $64 million in net flows over the last month, according to ETF Database.
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