Strategy and Investment Objectives

CB European Quality Fund is an actively managed equity fund that invests in Europe’s best quality and growth companies. We invest in large companies with a proven business model and high barriers to entry, led by strong management that has historically delivered value.

The fund’s investment universe consists of stocks primarily listed in countries included in the MSCI Europe Net Index. The companies we invest in must have a market capitalization of at least one billion euros.

The focus is on growth companies that are market leaders with strong products and solid balance sheets. Companies should have stable and structural profit growth regardless of the economic cycle. Structural growth is driven by strong trends and creates more value than cyclical growth while being less dependent on the economic cycle.

Our investment decisions are long-term, taking into account an ethical and sustainable framework, as well as the UN Principles for Responsible Investment (UN PRI). We prefer to hold companies for the long term and grow with them.

We are willing to deviate from the index and maintain a concentrated portfolio typically consisting of 25-30 companies in which we have great confidence. Our goal is to outperform our benchmark, the MSCI Europe Net index.

Examples of structural growth themes across the funds

Electrification & efficiency

Electrification and efficiency is a theme with clear structural growth as more and more areas of society shift from fossil fuels to electricity. The need to use energy more intelligently is driving demand for solutions that make industry, transport and buildings both more efficient and less dependent on fossil energy.

The transition affects the entire chain, from the generation and transmission of electricity to the components and systems that govern how that energy is used. This includes electrifying vehicles and industrial processes, reinforcing power grids and opting for installations that reduce both energy use and emissions.

Construction & materials

Construction and materials are underpinned by long-term, structural needs. A growing and increasingly urbanised population, combined with a far-reaching transformation of society’s infrastructure, creates a lasting need to build, renovate and upgrade.

At the same time, the demands for resource-efficient construction with less climate impact continue to grow. This increases demand for smarter and more sustainable materials, for energy-efficient buildings and for the infrastructure required as societies grow and modernise.

Examples of structural growth themes across the funds

Electrification & efficiency

Electrification and efficiency is a theme with clear structural growth as more and more areas of society shift from fossil fuels to electricity. The need to use energy more intelligently is driving demand for solutions that make industry, transport and buildings both more efficient and less dependent on fossil energy.

The transition affects the entire chain, from the generation and transmission of electricity to the components and systems that govern how that energy is used. This includes electrifying vehicles and industrial processes, reinforcing power grids and opting for installations that reduce both energy use and emissions.

Semiconductors

Semiconductors are a cornerstone of the modern economy and a theme with strong structural growth. More and more products and processes are becoming connected, automated and electrified, and every such step increases the need for the chips that make technology work.

Demand is driven by several trends at once, from digitalisation and rising computing power to the electrification of vehicles and industry. This makes semiconductors a critical component in almost all new technology and a prerequisite for continued technological progress.

Construction & materials

Construction and materials are underpinned by long-term, structural needs. A growing and increasingly urbanised population, combined with a far-reaching transformation of society’s infrastructure, creates a lasting need to build, renovate and upgrade.

At the same time, the demands for resource-efficient construction with less climate impact continue to grow. This increases demand for smarter and more sustainable materials, for energy-efficient buildings and for the infrastructure required as societies grow and modernise.

Let the experts do the work

We are a dedicated team with more than 15 years of experience in jointly managing the CB Save Earth Fund and CB European Quality Fund. We are a small management team with short decision-making processes, and all decisions are made collectively.

CB Fonder is a family- and partner-owned securities company with over three decades of experience in ethical investments and over 15 years of experience in environmental investments. The fund managers are partners in the company and invested in the funds – we have full incentives to do a good job and are in the same boat as you as investor.