Why you should invest
Your portfolios are designed and managed by Credicorp Capital, one of the most important asset management firms in the Andean region. To achieve fiscal efficiency, portfolios are created with UCITS ETFs registered in Europe, which provides significant tax benefits for non-US investors. In addition, the investor can withdraw their money whenever they want without any restrictions or costs.
Although almost all of us agree that investing globally is the best long-term strategy, almost 60% of Latin Americans have more than two-thirds of their savings in cash. We propose a diversified strategy. History confirms that the different assets present variable behavior at any given time. There is no asset that always offers the best return.
In Latin America people tend not to invest their money. On the other hand, those who do resort to investing, concentrate all their assets in a single country.
The problem in having all the savings in the same asset is that it generates: high volatility, uncertainty, return instability and in some cases little liquidity, since the portfolio tends to be concentrated in a single risk factor, instead of being diversified and hedged against changes in market conditions.
Diversification is the most efficient way to reduce portfolio risk by investing in assets that are not highly correlated with each other.
Its main goal is to improve the return obtained in relation to the assumed risk.
