Mid-Risk Solution: Seresia High Income Strategy


Why High Income

Seresia High Income Strategy is a balanced solution of risk and return. It allocates most of asset to fixed income and small part to high dividend stocks. This medium-risk solution provides not only stable interest and dividend returns, but also capital gain from asset appreciation. 


With the slowing of China economy, earning growth of Chinese enterprises along with the interest rate are facing a downward trend. Under such circumstances, high-growth strategy is facing a shrinking scope of investment targets while the volatility remains at a high level. Bond yield, with the lower interest rate, can hardly meet investors’ minimal requirements. High income solution can increase the expected return through both the capital gains and the stable income provided by bond yield and equity dividend. Under the premise of controlling risk, we improve the strategy’s risk-return profile by adopting quantitative risk control and active asset selection.


Approach of High Income Strategy

Firstly, assets will be allocated with our quantitative macro model and research team’s verification. On the basis of the asset allocation, our multi- factor model will select the specific stocks/ bonds. Our research team will then screen out the assets with qualitative risk to finalize the model portfolio.