Index Services has been dominating the investment markets for quite some time. People who have a preference for diversity when it comes to investing are venturing into Thematic Investing. Here are the highlights on the importance of thematic investing.

It is an intuitive investment.

This means that instead of venturing into something unknown, you can invest your hard-earned money in ideas as well as trends that you are thoroughly familiar with and find interesting. Having a good knowledge about the same can give you the ability to make the smart investment decision. As you investigate on your own, this makes your position comparatively stronger. It further enhances your ability to customize your portfolio. You can invest in areas that interest you, such as real estate, travel, and health care.

You can align your values

Here’s your chance to be able to align the values ​​you think are important to you when it comes to your investment. You can simply invest in areas that you are passionate about or those that have a strong focus on social responsibility. You can simply make the world a better place to live with the help of your investment.

you have a great variety

There are companies that give you a well-prepared portfolio in advance if you wish. Rather, you have the option of creating a portfolio for yourself. There is a plethora of mutual fund options that are available to you as an investor.

Helps generate alpha

Thematic investing is the best way to take advantage of the opportunity to generate alpha. By implying that you are focusing your investments on the hot spots where you can spread the sizeable amount of your capital, you can easily generate alpha. By simply looking at the other wallets, you can make a decision for yourself.

Gives you flexibility and transparency

By simply creating your own portfolios, you open the doors to great opportunities. Being able to customize your portfolio is a huge advantage in and of itself. All you need is great visibility and control plus transparency with no hidden costs. You get the clarity of your fractional part as well as the penny.

It is easily accessible

Gone are the days when only a limited number of people had access to thematic investing because portfolio structures were not only expensive but at the same time restrictive and complex and time consuming to maintain. Most of these were available to high net worth investors. Today, that is not the case as it has gained popularity and become accessible to investors of all mediums.

All in all, this is the importance of thematic investment. If you haven’t yet explored the limits of the same, it’s time you did the same.