EDM Inversion invests in a number of Spanish companies selected following an exhaustive analysis. The fund seeks to create value resulting from the progression of company profits, focusing on low exposure to the economic cycle and the visibility of their results with a long term investment horizon.
EDM Inversion has obtained considerably higher results than those of Ibex 35 since its launch in 1987, thanks to the profit traction of the companies it invests in and the active management of positions, in accordance with growth expectations and their valuation, acting normally with a reduced number of companies. During this period volatility of the fund was lower than that of the market.
This Spanish stock market fund is one with the longest history of results and it is managed with the same philosophy that was first introduced by Juan Grau. The fund is being co-managed by Ricardo Vidal, Alberto Fayos and Juan Grau, since 1st January 2015.
￼In April 2014 we launched our Spanish variable income fund EDM Spanish Equity. This instrument replicates (Master- Feeder structure) the investment philosophy of our successful EDM Inversion Fund but with an important innovation in that it is domiciled in Luxembourg. As a result it is easy for investors of all kinds to subscribe, having accounts in both Spain and abroad.
|Year||EDM Inversión||IBEX 35||Average Performance|
- Long-only traditional investment style (bottom-up).
- Stock picking. No benchmarking (low overlapping against its benchmark).
- Long-term investment horizon (5 years on average).
- Low turnover (18% average for the last 6 years).
- High liquidity (93% of the portfolio can be sold within one trading day).
- Concentrated portfolio, maximum 20 companies.
- Fully invested (never below 80%): competition among stocks.
Stock picking Methodology
Stock picking Methodology
- Focus on understandable and predictable businesses at reasonable prices
- Management quality & integrity are crucial for us
- Demanding criteria: High quality of the business (Average Portfolio = 11%)
- Sustainable EPS growth (5Y Average EPS growth = 10,4%)
- Recurrent and solid cash-flows
- Companies focused on international markets to generate growth
- Lack of sectors whose profits are not easily foreseen:
- Cyclical sectors
Portfolio Top Holdings
|Grupo Catalana Occidente||7.26%|
|Global Dominion Access||4.43%|
|Portfolio on: 31/01/2021|
10 reasons for investing in EDM Inversion
• Consistent returns that surpass the market (+6% annual spread).
• Very low volatility for an equity fund (-4% annual spread).
• Excellent relative performance during the financial crisis (2007-2012).
• Stable investment philosophy for 24 years.
• Unique and proven investment process, developed by an experienced team.
• High quality (ROE) and liquidity of the portfolio.
• Defensive strategy: focused on “stable growth”, without cyclical sectors.
• Valuation of the companies in the portfolio at record lows.
• Very little overlapping with indexes and low correlation with other managers.
• Compatible with other equity investment styles.
|FUND MANAGER||Juan Grau|
|MANAGEMENT FIRM||EDM Gestión, S.A.U SGIIC|
|CUSTODIAN||RBC Investor Services España|
|AUDITOR||KPMG Auditores, S.L.|
|LEGAL STRUCTURE||ES & PT - FI|
|IDENTITY||UK REPORTING STATUS (CLASE I)|
|LIQUIDITY||D + 3|
|REGISTERED FOR SALE ON:|