Agressor 29 October 2010 Bottom-up stock picking among European stocks and trading are the investment domains of AGRESSOR. The synergie of long-term vision with short-term trading operations. AGRESSOR's investment objective is to return long-term performance with low volatility without reference to an index.
Manager Comments on 29 October 2010
Performance as 29/10/10
As it approaches its 19th birthday, Agressor has taken a look back at its roots. A number of small caps have been present in the fund for several years and while these are high-quality companies, the market has yet to recognise their inherent value. We would point out HIGH CO, LECTRA and EXEL INDUSTRIES, as projects that have shown outstanding growth over the period. These companies still have every right to be in your fund in view of their upside potential as well as their operating and managerial qualities. We have always applied the same methodology to stock purchases and disposals and sell off shares once our target price has been reached, either because the market has done its job, or because an industrialist aware of the value of the company has decided to buy into it. AGTA RECORD has been present in Agressor for more than 10 years and is the European specialist in automatic doors. The group’s value was identified by SOMFY which is also present in the fund, and which owned 33% of the capital at the time. However, the rolling blind specialist was never able to take over the entire group due to opposition by its key shareholder. SOMFY finally sold its stake to ASSA ABLOY, a direct rival of AGTA RECORD, for €25, or 45% more than its stockmarket valuation. We managed to sell off our stake on the same terms, thereby generating a capital gain of more than 200% and proving that our patience was worthwhile. SOMFY is also a stock in which we have been a shareholder for a long term. SOMFY is the world leader in motorised blinds and rolling shutters and boasts an outstanding and faultless track record with growth of 5-10% a year and a margin still above 16%. However, this company remains unknown to the market. We are convinced that like AGTA RECORD, a capitalistic move or simply the group’s ongoing high-quality execution should enable the market to value the company at its full value. At less than 10x net profit this year, SOMFY looks extremely modestly valued. We do not know exactly when, but we are convinced that patience will pay off again.
Risk Measures
- Index Tracking Error Alpha
EV/Sales 2010 25,9
Price Earnings 2010
31,4
Dividend Yield (%)
12,5
Average Market Cap (M€)
7,5%
Beta
1250
0,8
1,2 16,8 2,1 5 125,1
Number of holdings
54
Total assets (M€)
Geographic Distribution
1 month YTD 1 year 3 years 5 years since inception
850 650 450 250 50 Nov-91
Nov-94
Nov-97
Nov-00
Nov-03
Nov-06
3,4
1,9
20,2
0,2
24,1
5,6
-12,1
-32,6
13,8
-7,4
1139,0
149,1
Nov-09
Annual Performance
AGRESSOR
SBF 250
Year
(%)
(%)
Year
(%)
(%)
1991
1,8
0,3
2001
1,7
-20,9
AGRESSOR
SBF 250
1992
2,3
1,2
2002
3,1
-31,1
1993
83,0
32,1
2003
25,4
17,4
1994
21,6
-17,0
2004
17,1
9,2
1995
2,5
-1,4
2005
18,4
25,3
1996
20,4
26,7
2006
13,4
19,4
1997
28,3
24,5
2007
-0,1
0,4
1998
15,4
28,5
2008
-46,8
-43,1
1999
19,0
52,4
2009
48,3
23,9
2000
25,6
-1,0
2010
20,2
0,2
Largest Variations
Holdings
Weight (%)
Holdings
Weight (%)
NEXANS
3,0
SAFRAN
2,5
FOLLI-FOLLIE
+27,7
NORBERT DENTRE.
2,7
FAURECIA
2,3
DEMAG CRANES
+26,5
BOURBON
2,7
CONTINENTAL
2,3
LECTRA
+21,8
REXEL
2,6
UPM-KYMMENE
2,3
MICHELIN
-13,0
RALLYE
2,6
STERIA
2,3
STERIA
-11,7
NEXANS
-6,4
Weighting by Market Capitalization 30,8%
< 1000 M€
Holdings
Change (%)
Sector Distribution Consumer Staples 40,7% Utiliies 39,7%
between 1000 M€ and 2000 M€
13,6% Information Technology 5,8%
between 2000 M€ and 6000 M€
Switzerland 2,2%
SBF 250 (%)
Past performances does not guarantee future performance and is not constant over time. (*) Performance net of fees
Germany 4,4% Finland 2,5%
1 180,50 €
AGRESSOR (%)
SBF 250
925,1
France 74,0% UK 8,3%
Agressor
1050
Principal Holdings
3 years - Fund
NAV
1450
Portfolio Profile
Standard Deviation (%)
Evolution of the Portfolio and its index since inception (base 100)
1650
28,5% 20,5%
> 6000 M€
Health Care 5,1% Financials 3,6% Energy 2,8%
Italy 2,1% Cash
6,6%
Services 2,3%
Others 6,5%
Fund Information > Portfolio Inception > Classification
29 November 1991 FCP equities from countries in the European Community
> ISIN Code
FR0010321802
> Portfolio Manager
Didier LE MENESTREL
> Annual fees
2,392% TTC
Disclaimer This document is for informational purposes only and is not an invitation to invest in Financière de l’Echiquier’s funds. This fund is registered with and regulated by the "Autorité des Marchés Financiers" ("AMF") in France and can be marketed to a retail audience in France, Italy, Germany, Switzerland and Spain. The fund is UCITS III compliant. This document does not constitute a recommendation to buy or sell any investment, or subscribe to any investment management advisory service.
FINANCIERE DE L’ECHIQUIER - ASSET MANAGEMENT COMPANY 53 AVENUE D'IENA – 75116 PARIS TEL. : 01.47.23.90.90 – FAX : 01.47.23.91.91 – www.fin-echiquier.fr S.A. AU CAPITAL DE 10 000 000 € – SIREN 352 045 454 – R.C.S. PARIS AGREMENT A.M.F. N° GP 91004