Investing Ahead: Opportunities in a Market Dip
In recent weeks, the markets have dropped to levels last seen in May 2024. From a long-term investor’s perspective, this presents an ideal opportunity for an extraordinary investment — especially if you'd like to reach your goals faster.
Where to Invest at This Stage
For clients with available funds, the current environment favors investment in funds with higher targeted returns, such as:
• Rhapsody III and J&T ARCH (5-year horizon)
• Conseq Venture Debt 2 (8-year horizon)
• JET Venture (12-year horizon)
These funds, focused on private equity, target returns between 10 – 15% p.a.
(Note: These are available only to qualified investors with a minimum investment of CZK 1 million.)
Flexible Solutions with Lower Volatility
Following a significant decline in the CNB's REPO rate over the past year, dynamic bond funds, such as those from Conseq or J&T, remain attractive.
They aim for a return of around 6% p.a. and offer liquidity — funds are typically available within 14 days.
Compared to equity funds, they tend to be less volatile, making them a suitable choice for investors seeking flexibility with greater stability than stocks.
Long-Term Performance Speaks for Itself
Market fluctuations are nothing new. Yet the Conseq Global Equity Participatory Fund (DPS) has delivered an average return of 7.62% p.a. since 2013.
My dynamic investment strategies have generated 8.11% p.a. net of fees since 2010.
And all of this in an environment where the average CNB REPO rate between 2010–2025 was just 1.76% p.a.,
and savings accounts averaged around 1.2% p.a. over a 15-year horizon.
Your Goals Set the Direction
If your current portfolio is aligned with your financial goals, there is no need to make major changes.
However, if you'd like to use this market dip to make an additional investment and support your long-term plans, now may be a very good time.
Feel free to reach out if you’d like to think it through together — even a short message is enough.
