General Description

Germany is entering a bold new phase of economic transformation, moving beyond its traditionally cautious fiscal policy. At the heart of this shift is a €500 billion stimulus package, equivalent to 11.6% of 2024 GDP, set to be deployed over the next decade to revitalize key sectors. A constitutional debt brake exemption allows defense spending to exceed 1% of GDP, paving the way for an additional €11 billion per year in potential defense spending. Meanwhile, regional states see their fiscal deficit limits eased from 0% to 0.35% of GDP, unlocking new local investment capacity. The key sectors primed for growth include Defense, Construction & Infrastructure, Energy, and Digital Infrastructure. With this unprecedented fiscal expansion, combined with easing ECB interest rates, the German economy is positioned for renewed momentum. The German Select Share Basket offers investors targeted exposure to this powerful macro shift, capturing opportunities across the companies leading Germanys next wave of growth. Over the past 5 years, the basket generated an annualized return of 26.5% compared to the DAX 40 indexs returns of 11.2%.