Long-term asset manager and active owner in listed Nordic companies
Industrivärden’s mission is to conduct long-term asset management that creates value through active ownership. The long-term goal is to increase net asset value and thereby generate a return for Industrivärden’s shareholders that exceeds the market cost of capital. Taking into account the risk profile of the portfolio’s investments, the shareholders are to be given a total return which over time is higher than the average for the Stockholm Stock Exchange.
Operations are built upon a structured process of continuous analysis and evaluation of existing and potential new holdings. Active ownership is exercised primarily through involvement in nomination processes for board elections, through board representation, through evaluation of company boards, CEOs and executive managements, and by monitoring and – where necessary, through a company’s board – influencing the portfolio companies’ overall development. Through these measures Industrivärden contributes to the portfolio companies’ growth in value over time.
Industrivärden is a major investor in and active owner of Handelsbanken, Sandvik, Volvo, Essity, Skanska, ICA Gruppen, Ericsson, SCA and SSAB.
To conduct long-term value-creating asset management through active ownership. This mission is based on Industrivärden’s relative strengths, including a long-term investment perspective, depth of knowledge and experience in active ownership, a strong position of influence, financial strength and an extensive network.
Industrivärden invests in listed Nordic companies with good return potential, where it can exercise active influence through a strong position of trust and ownership-based positions of influence. Industrivärden’s investment criteria are to invest in companies with proven business models and clear potential for profitable growth. Investments must also have an attractive valuation and provide a good balance of risk and return.
Active ownership in practice
Active ownership is exercised mainly through involvement in nomination processes for board elections, through board representation and also through evaluations of boards, CEOs and company managements. Industrivärden is continuously monitoring its portfolio companies’ and influence, where necessary, their overall development through board representation. In this way Industrivärden contributes to the portfolio companies’ growth in value over time. In its role as active owner, Industrivärden provides:
- Long-term perspective with focus on competitive growth in value over time
- Knowledge and experience with bearing on the portfolio company, its competitors and its external operating environment
- Genuine involvement and the ability to evaluate, lend support and make clear demands
- Owner cooperation through discussions and consensus-building on key issues with other owners
- Resources in the form of financial strength and an extensive network
Industrivärden share – total return
Industrivärden's entire operations are conducted at the headquarters in Stockholm, Sweden and involves about 20 employees.