Tactical investing is a term we use at Stropro to describe certain high-conviction, theme-based products on our platform. These strategies aim to capture specific market opportunities while managing risk through structured product design.
Before we begin — this is general information only, not financial advice. Always consider your own circumstances before investing.
Why Tactical Investing?
Since co-founding Stropro, my wife and I have increasingly allocated our liquid assets into products sourced via our platform — with exposure to markets across Europe, the US, and China, spanning commodities, banks, technology, and index plays.
Tactical investments often start with a market theme. Recently, many clients have expressed interest in ESG opportunities, reflecting a belief that future growth will be green and emerging industries will outperform.
Case Study: Chinese Electric Vehicle Market
One of our issuers identified a high-growth opportunity in the Chinese EV market. Given strong government support for electric vehicles and China’s centrally planned economy, the theme attracted strong conviction from our clients.
Key Structuring Considerations
When building the product, we looked at:
- Maximising exposure to the growth opportunity
- Limiting downside risk
- Isolating performance from broader market noise
We selected an index capturing the full EV supply chain — from manufacturers to raw materials and battery technology — and structured the product with:
- Two legs: long the EV index, short the broader Chinese equities market (isolating sector performance)
- Leverage: for every $7,000 invested, investors had $100,000 exposure over a 2-year term
- Volatility management: smoothing performance and cushioning short-term price swings
Risk Profile
This was a high-risk, high-conviction investment. If the Chinese EV sector underperformed the broader market, the full investment could be lost. However:
- Downside was capped at the initial $7,000 invested
- Upside potential came from $100,000 market exposure
Tactical investing allows for this kind of capital efficiency — magnifying returns without unlimited downside — all packaged in a product that doesn’t require active position management or margin calls.
Performance to Date
After 4 months, the strategy was up +5.6%, turning $100,000 exposure into $105,600 — an unrealised gain of $5,600 with 20 months to run.
Why Advisers & Investors Use Tactical Investments
Through the Stropro platform, wholesale and sophisticated investors can:
- Access global market themes and emerging sectors
- Implement capital-efficient, risk-defined strategies
- Receive presentations, videos, and education materials to support decision-making
Since launch, we’ve welcomed 500+ clients and issued over $30M across 22 products.
If you’d like to explore upcoming tactical investments, register on the Stropro platform. It’s free to join — eligibility applies for wholesale and sophisticated investors.
Author: Abraham Robertson, Director, Stropro
For wholesale, sophisticated, and professional investors only. General information, not personal financial advice.
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