Three countries where the sun always shineswhen it comes to investing
We invest almost exclusively in what we call the SUN countries. This is the abbreviation for Switzerland, The United States and The Netherlands.
These countries have a lot in common. For example, in the last 150 years they have experienced the highest growth of the Gross National Product per capita, they are monetary refuges in times of war and they are breeding grounds for solid multinationals. For example, despite a limited population, the Netherlands and Switzerland are home to some of the world's largest multinationals.
In these ways, they are very different than, for example, Germany and France. But let’s put that aside.
Investors also benefit from these countries. A portfolio with exclusively shares from Swiss, American and Dutch multinationals has proved unbeatable in recent decades. We will not mention the bond investors. They were able to invest with confidence in the government loans of these countries. Indeed, over the last 200 years, the SUN countries have always paid interest and repaid their loans on time. How different was the situation in, for example, Germany and France? But let’s put that aside.
But why are the SUN countries successful?
What makes Swiss, Americans and Dutch people successful entrepreneurs? Why can you as a long-term investor ignore the rest of the world? We argue that this is partly due to the fact that these three countries excel in terms of both knowledge and reliability. Switzerland and the US score first and second respectively in the ranking of knowledge countries, the Netherlands is at number 7. Furthermore, according to various studies, these countries are among the world's most reliable countries, together with, for example, the Scandinavian countries, New Zealand and Australia . But again, the combination of a high level of knowledge and high reliability only applies to the SUN countries.