8 handpicked stocks

S&P Stock Access: Could Infrastructure Stocks Hedge Risk?

As Nigerians increasingly seek to diversify their investments, gaining exposure to the world's largest economy offers a potential hedge against local market volatility. This basket focuses on the global companies that create, track, and provide access to benchmark indices like the S&P 500.

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Han Tan | Market Analyst

Published on September 26

About This Group of Stocks

1

Our Expert Thinking

Instead of investing directly in the S&P 500, this group focuses on the essential companies that make global investing possible. These are the index creators, stock exchanges, and asset managers that form the backbone of financial markets, offering exposure to recurring revenue streams from data, trading fees, and asset administration.

2

What You Need to Know

This group represents the 'plumbing' of global finance - companies whose business models rely on market activity and investor participation. They tend to generate steady revenues regardless of market direction, though they can be sensitive to trading volumes and overall market sentiment during volatile periods.

3

Why These Stocks

These companies were handpicked because they're indispensable to global investment. From S&P Global creating the indices to major exchanges facilitating trades, to asset managers packaging investments for millions of investors worldwide, they're the enablers that make modern investing possible.

Why You'll Want to Watch These Stocks

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The Market's Foundation

These companies are the essential infrastructure that makes global investing possible. As more people invest worldwide, demand for their services continues to grow.

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Recurring Revenue Streams

Unlike many businesses, these firms earn steady income from data subscriptions, trading fees, and asset management - revenue that flows regardless of market direction.

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Global Market Gatekeepers

From creating the indices everyone follows to processing the trades that move markets, these companies control the pathways to global investment opportunities.

Get the full story on this Basket. Read our detailed article on its risks and potential.

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