Investment approach

We see ourselves as a partner for private investors and wealth managers who share our long-term investment strategy.

Get to know f3x
Investment approach

Ethics

f3x stands for responsible capitalism. It goes without saying that companies must be efficiency-oriented in order to survive in the long term and secure jobs. In our understanding, they must also operate in an integrative and people-oriented manner.

We do not hide behind certifications, but let our personal ethics flow into the investment approach.

We want more

  • women in board rooms
  • shareholder engagement
  • stocks in the hands of the general population

We want less

  • carbon dioxide
  • waste
  • board room neputism

We refuse

  • animal testing, fur, slaughterhouses
  • military equipment
  • exploitation of the developing world

Investment approach

Looking for good companies

f3x finds quality companies that, in the best case, we can keep forever. This quality is created when the following seven factors work together:

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1. Wise capital allocation

2. High return on invested capital

3. Several sources of growth

4. Good management

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5. Advantageous industry structure

6. High and sustainable customer benefits

7. Competitive advantages

Investment approach

Priorities

Future trends are just as important as constant things. Quality constellations according to f3x standards occur worldwide, in every company size, in both old economy and new economy.

We are most familiar with small and medium-sized companies in Europe, whose products and services are often in demand all over the world. We like straightforward companies that are not dependent on too many environmental factors.

Investment approach

Going deep

We have our roots in private equity, where we learned our craft. Despite investing in listed stocks today, we always imagine buying the entire company.

What does that mean? We want to understand exactly how our target companies function:

  • What is the value chain and what makes the management tick?
  • How does the company maintain relationships with customers and suppliers?
  • What do we know about competitive dynamics?

To understand the DNA, we read loads of financial statements, enter into direct dialog with companies and visit them on site. In our business analysis, valuation and portfolio management, we work in an extremely process-oriented manner.

With our extensive “toolbox” of valuation models, industry expertise and capital market methods, we put together the right approach for every investment situation.