Switzerland role model for UK — Buying Debenhams on the cheap
Obermatt CEO Dr Hermann J. Stern writes about his latest European stock picking activity
Read the article or watch the video.
The pound is falling. But that is actually good news for investors. It makes UK stocks more affordable! It is unlikely that the UK will get a worse deal with the European Union than Switzerland, which has full access to the market but no say in it. In other words, they will get the money but not the vote, just like the Swiss.
As an investor, I don’t mind the fact that the UK will have less say in Europe. I’am mainly interested that their stocks are really cheap right now. That’s why we see a lot of high Obermatt value ranks in the UK, as opposed to Switzerland, where the scary part of being outside the EU market is over and most stocks are too expensive now.
Looking at the Obermatt Top-10 Climate Protection stocks reveals Debenhams, a UK department store chain. While they are not growing right now — I guess the reasons are quite obvious — they have a top value rating. That’s why I buy it for my European stock portfolio.
See Debenhams on the current Value Investment Strategy Top-10 list: October 14, 2016; ET Index Climate Protection CO2 Leaders UK Mid Market.
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