We are value investors.

We invest when a security’s fair value is higher than its market price. We invest in undervalued equities, countries, sectors, funds, or fixed-income securities. In our funds we hold value, growth and turnaround securities that are trading at a substantial discount to their fair value. Where necessary, we hedge against price shocks. With our systematic methodology we achieve significantly higher returns over the longer term compared to other investment techniques.

• News

   

  The 10th ACATIS value conference will take place on May 17, 2013 in Frankfurt

• What's in store for 2013?

  Financial markets have seen marked improvements since August 2011, mostly unnoticed by most investors, and even though the economy has not improved all that much. 
  
  Where do we go from here? 

  The future is uncertain. It is volatile. And cannot be planned to the last detail. It is subject to reciprocal effects.

  Forecasters are often expected to provide very detailed estimates of future events. Where will the DAX be on 31 December 2013? However, in actual fact, real life is much like a growing tree, where one branch gives way to the next. The Fukushima flood disaster, for example, was such an unforeseen event, which gave rise to interconnected and unexpected effects, e.g. on the German energy policy.

  
  There are a number of different branches for the year 2013:

  • The European development branch could see good growth. Southern Europe is in the process of doing its homework. Hesitantly, and under pressure, but savings measures are nevertheless being implemented. Deregulation is proceeding slowly. Any deviation from discipline is punished by financial markets refusing to buy. As soon as we see some improvement in terms of economic activity in these countries, and that will happen down the road, the current Euro crisis will also come to a quick end.
  • The US branch could see very negative developments if the austerity measures of the "Fiscal Cliff" go into effect. It would cause a drastic drop in US GDP over a short time period, followed by a deep recession. The dollar could become very weak. This development will depend on the political constellation of the two American legislative bodies.
  • The Chinese branch could grow in both directions. China is experiencing a number of undesirable developments and a strong cooling down of economic activity, but has also instituted a number of significant supporting measures. At present, China is stable.
  • The Japanese branch is facing great difficulties. Government debt is enormous, and cannot at all be reduced. The government cannot be fixed, and the costs for this will be borne by Japanese pensioners. It is not clear in what manner this inevitable but not yet manifest situation will bear itself out in financial markets.

   

  As finance portfolio managers, we have to manage these multi-layered uncertainties. Yes, the world is complex, but we still have to act. This type of multi-branch development gives rise to three cornerstones in investment terms:

  • Very wide diversification across many different investment forms – from high-quality government bonds to high-risk technology stock. This diversity has a protective function. ACATIS offers this bandwidth with a number of products, which can be combined independently or as a pre-made mix in our mixed portfolios.
  • An optimistic basic position that is aligned to the generally positive growth of companies, combined with hedging for worst-case scenarios. Hence, a high proportion of equities, combined with price hedging. We expect that of all investment forms, well-functioning companies offer the best security and highest returns in the long term.
  • Well-controlled individual-case decisions which are resistant to errors. By systematically picking "the cream of the crop", we can make good money for our investors over the medium and long term, even in difficult times such as these. In turbulent times, this lays a foundation that unfolds over time.

  Our role models

  Warren Buffett, the most successful investor ever, who built up a fortune worth more than $40 billion through smart investing and donated the majority to good causes. We use his investment style as orientation. His motto is: “Price is what you pay, value is what you get”.

  Benjamin Graham, Warren Buffett's mentor, who in 1934 laid the foundation for financial analysis and value investing in his book "Security Analysis." Scientific studies and practical experience have shown that his investment style still functions extremely well today. His comments on the manic-depressive “Mr. Market” are just as valid today as they were then.

  Our models

  We take a long-term approach in our models for valuing companies, looking back 10 years and forward 10 years. On this basis, we invest if we identify a substantial undervaluation versus the past 10-year average. Our current portfolios are nearly 40% undervalued and therefore offer long-term protection. If the assumptions of our models are sufficiently cautious enough, we can earn long-term returns of over 10% with our stock picking.

• Our awards

  

  Sauren Research
  

  

  Euro Fund Award
  

  

  Lipper

  

  Feri Fonds Rating
  

  

  ECOreporter

  

  dfa Award 2008
  

  

  further awards