Kavaljer Investmentbolagsfond

Active Management at Almost the Price of an Index Fund

The Kavaljer Investmentbolagsfond is an actively managed equity fund that invests long-term in 20-35 investment companies, conglomerates, and “serial acquirers.” The fund can invest globally.

Investment companies are firms that invest in other companies, which can be both listed and unlisted. Conglomerates are companies that usually own 100% of other unlisted companies in various industries. “Serial acquirers” are companies that continuously acquire other companies at a high rate. Common to these three categories is that they provide good risk diversification and active management at low costs.

Investment companies have shown higher returns than the Swedish stock market on average. The reasons for this are several: 1) The management of investment companies has extensive experience. 2) Management in investment companies has better insight into portfolio companies than others, often being involved in the leadership or board of portfolio companies. 3) Investment companies can occasionally use leverage, providing leverage on their investment. 4) Investment companies often trade at a discount to net asset value, meaning returns are earned on a larger amount than the amount invested in the investment company.

Ownership in investment companies involves fewer transactions, and most of the active management work occurs in the portfolio companies, both contributing to lower costs.

The fund’s holdings stand out by demonstrating growth and good returns over an extended period and having experienced and proven competent management.

The objective is to generate returns over time that exceed a global stock index at a low fee of 0.3% per year. The fund is intended for the long-term investor with an investment horizon of at least 5 years.

The fund adheres to Kavaljer’s Policy for Responsible Investments. All companies are screened before and during the investment period to ensure compliance with exclusion criteria. The fund promotes environmental and social characteristics in accordance with Article 8 of the SFDR (Sustainable Finance Disclosure Regulation).

Returns:

Avkastning 2023 +13,22%
Avkastning 2022 -19,38%
Avkastning 2021 +37,98%
Avkastning 2020 +29,52%
Avkastning 2019 +36,12%

The fund is rated at a risk level of 6 on a 7-point scale and is suitable for those with a long-term investment horizon of at least five years.