Philosopy - Management process
Responsible Value investing: a shared investment philosophy
METROPOLE Gestion offers its clients a range of products managed in strict accordance with a process systematically applied by the portfolio management and draws on the basic principles that define the investment philosophy held by value fund managers.
- Recurring doubt as to long-term growth and market efficiency.
- Determination not to follow the market crowd.
Patience and anticipation
- Avoiding trendy investments.
- Understanding time as it applies to companies, which is different from stock market time: the world does not change as fast as the market would like to believe.
A collegiate decision making process
- Knocking down the traditional boundaries (cap sizes, sectors, countries) of portfolio management and fostering team creativity.
- Risk management and a disciplined investment process: portfolio management decisions are taken unanimously in the interest of securing the investment.
- Rigorous approach to purchase prices and discipline in deciding when to close positions are the keys to limiting risk and withstanding external pressures.
- By adopting a team-oriented decision-making approach, we can assure our clients of the consistency and coherence of our management process.
Solid points of reference
- Investors need to have solid points of reference to prevent them from getting swept away by the market crowd, which tends to follow a herd-like mentality and is subject to exaggeration and irrationality.
- These points of reference also make it possible to react swiftly when a discount appears or when a target price is reached.
Inclusion of ESG criteria
Into the research process for all our equity funds, based on a 360° analysis of companies (extra-financial analysis, financial analysis, balance sheet analysis) with a specific methodological framework developed in partnership with the University Clermont Auvergne since 2008.
Portfolio management process
METROPOLE Gestion applies a rigorous management process designed to secure investment decisions by grounding them in reality. This process is applied to Stock picking (including stocks comprising the responsible Value sub-fund), Bond picking and Convertible bond Management.