ODIN is a value-oriented equity fund manager. On behalf of our unit holders, we invest in undervalued companies that have good products, a strong cash flow, solid balance sheets and a high dividend capacity.
There are many definitions of value companies – or undervalued companies if you wish. A value company can be defined as a company that is currently priced lower on a stock exchange than we believe the company is worth. Or to put it another way: the company can be bought at a discount.
History has shown that it is possible to create added value over time by buying companies that are wrongly priced and then taking a long-term view of the investment. Sooner or later, a company’s real value will be reflected in the stock market – and that benefits patient investors. The historical data also support the view that, over time, value companies have done better than the stock market in general.
Here at ODIN, our focus is on the company. Our equity funds are managed actively and with a long-term view following a bottom-up approach. Continuous valuations and thorough corporate analyses are key to our work.
An important part of the manager’s job is to visit different companies and markets. In talks with the companies, we find out more about their operations and obtain a greater understanding of the circumstances in which they operate and thus an even better basis for making good investment decisions.
ODIN’s managers also spend a lot of time representing the funds’ shareholder rights. We do so through talks with the companies’ managements, attending general meetings and participating on various nomination committees. The aim is to contribute to increased value creation and to make the companies’ assets visible in the best way possible – for the benefit of the unit holders in our equity funds.
Ever since it was established in 1990, ODIN’s equity funds have been managed according to the same value-oriented investment philosophy. Combined with good managerial craftsmanship, this philosophy has given the unit holders added value over time. We are convinced that this way of managing is the best starting point for creating good results in the future too – in our Nordic, European and global equity funds.
