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Investment operations

Process

Industrivärden’s business model entails sizable ownership positions in a concentrated portfolio of listed companies with favorable value potential. Over time the respective investments shall contribute to increased net asset value with a view to generate a total return for Industrivärden’s stock that is higher than the average for the Stockholm Stock Exchange. Industrivärden therefore has a company focus rather than an index focus.

The long-term ownership perspective entails a natural focus on sustainable development and long-term value-creating measures in the portfolio companies. The investment operations are built upon a structured process of continuous analysis of existing and alternative investments with focus on the respective investments’ long-term return potential. This analysis is grounded in Industrivärden’s investment criteria.

Towards the goal of achieving Industrivärden’s longterm objectives, every individual portfolio investment shall over time contribute to a total return that is higher than the average for the Stockholm Stock Exchange. The active ownership strategy conveys a longer investment horizon. The return potential for investments in the portfolio companies is therefore continuously evaluated with a time horizon of three to five years. Major emphasis is put on comparisons with the estimated return potential for investment alternatives, taking into account continuity and a long-term perspective.

With a base in Industrivärden’s analysis, transaction plans for future share purchases and sales are continuously updated. These plans cover margin transactions in existing portfolio companies as well as divestments of entire holdings or investments in new portfolio companies.

Shareholdings

Industrivärden's equities portfolio is shown in the table below. Further information about the respective portfolio companies can be found under the menu Equities portfolio.

 

Investment criteria

Company

  • Listed Nordic companies
  • Proven business model
  • Strong market positions
  • Clear potential for profitable growth

Ownership position

  • Significant influence at least 10% of votes and representation on nominating committee and board

Return potential

  • Long-term attractive return potential that can be realized through active ownership
  • Good balance between risk and reward
Last update: 04 Mar 2020