enEnglischInvestment Philosophy
Our investment philosophy is based on the compelling logic that equity returns are always driven by a company’s Fundamental Return (value creation) in the long-term. This logic holds true for both, equity indices and individual companies (see charts below).
Hence, positive Fundamental Returns are the single most important determinant of long-term investment success.
+9.9% p.a. (+1'103%) since 1996
- Return Potential: Equity Returns
- Volatility: Equity Volatility
- Index Correlation: High
- Value Creation: Unpredictable Fundamental Return (see 2008, 2020)
+18.7% p.a. (+8'916%) since 1996
- Return Potential: Superior Long Term Returns
- Volatility: Reduced Equity Volatility
- Index Correlation: Low
- Value Creation: Predictable Fundamental Return (also in 2008, 2020)
+56.2% p.a. (+244%) since 2019 (IPO)
- Return Potential: Exceptional Long Term Returns
- Volatility: Very High Equity Volatility
- Index Correlation: Low
- Value Creation: Predictable Fundamental Return (also in 2020)
Quelle: Bloomberg
Our Definition of Risk
Risk
is defined as permanent loss of capital caused by deteriorating Fundamental Returns (value creation) and business prospects.
Risk
is not defined as share price volatility or temporary price drawdowns.
Target Companies
Our investment focus are companies that operate hyper growth and quality growth business models which are able to compound attractive rates of Fundamental Returns (value creation) independent of the economic cycle ("Value Creators").
Hyper growth companies are predominantly found in the technology and biotechnology sectors (scalable and/or disruptive business models, high degree of innovation, economic moat) often overproportionally benefitting from megatrends ("Exceptional Value Creators"). Quality growth companies are often found in defensive sectors (crisis resistant earnings growth) benefitting from constant demand for their products and services ("Defensive Value Creators").
As these attractive companies only represent a small subset of the overall equity market, our portfolios can deviate significantly from global equity indices in the short- or medium-term and offer a significant outperformance potential in the long-term.