Edmond de Rothschild Asset Management has launched EdR SICAV Mission Europa, a European equity fund designed to invest in companies across four areas intended to strategically strengthen the jurisdiction, including security, competitiveness, innovation and financing.
The launch comes in context of the geopolitical shifts ongoing, including adjustments to international alliances, in which Europe has a need to improve its standing in these four areas.
EdR AM states that the objectives follow on from the Draghi report, published in September 2024, and which gives direction to the selection of companies in the portfolio.
The themes encompass:
- Security: European defence companies and key players in strategic supply chains for European defence.
- Competitiveness: Companies benefiting from European Union policies aimed at strengthening European industrial excellence, reducing energy costs, and securing access to energy.
- Innovation: Companies driving productivity gains, whether in research and development of technological advances (hardware or software) or around professional training for the European population.
- Financing: European financial institutions benefiting from the Savings and Investment Union, the Banking Union, securitisation, and easier access to capital markets.
The fund has some 50 holdings, providing sector and geographical diversification within the EU.
At least 30% of assets will target defence. Small and mi-cap stocks are another key area targeted.
The strategy is managed by Anthony Penel, European equity manager, and Caroline Gauthier, co-head of equity management at EdR AM. They can draw on the manager’s equity platform overall, comprising some six managers.
Penel commented: “Faced with the pressing challenges of a new fragmented world order, the European Union must strengthen its sovereignty and accelerate its competitiveness. EdR’s Mission Europa is a strategy designed to invest in players who embody this ambition and enable the European Union to position itself as a sustainable economic leader.”
Gauthier commented: “This new fund complements our thematic offering, highlighting European companies with the capacity to generate sustainable growth while contributing to the strength and strategic independence of the European Union.”
The fund is available for sale in France, Germany, Belgium, Austria, Italy, Luxembourg, Spain, Cyprus, Greece, and Switzerland.
