This morning, Aviva Gestión organised its institutional meeting with investors in Casa de América in Madrid.
- Since it was created in September 2000, the management company has achieved €685 million in managed capital.
- The management team has presented the investment ideas that comply with its offer of products, based on the long-term “value investing” philosophy.
This morning, Aviva Gestión organised its institutional meeting with investors in Casa de América in Madrid. The presentation covered an analysis of the management model, results of the company and what it offers, as well as its strategic vision with a view to the next few years.
Aviva Gestión is a business unit of Aviva which manages and commercialises seven funds suited to the requirements of different types of clients in accordance with their tolerance to risk and future prospects of profitability and availability of capital. The total capital managed by Aviva in Spain, also including the assets in pension and life insurance plans, amounts to more than €14,000 million.
José Caturla, corporate investments director of Aviva España and managing director of Aviva Gestión, affirmed that “We are long-term investors and our objective is to generate value for our clients. In order to do this, we are focussing our attention on the preservation of capital, giving priority to the quality of management over the volume managed, and we are concentrating on clear and transparent products.
"Most of our products arise from Aviva as an insurance company, and once we feel comfortable with the management and have proved its solidity, we shall place it at our clients’ disposal. In 2009 we fixed the target for 2011 at achieving managed capital of €500 million and we exceeded 680 this year, which confirms that our working philosophy is the right one.”
Main funds of Aviva Gestión SGIIC
Aviva Espabolsa FI: we believe in the value of the Spanish Stock Market
Aviva Espabolsa FI is a fund that invests on the Spanish Stock Market and its investment philosophy is based on the fundamental value of businesses, placing its stakes on the convergence between price and value. This product only invests in companies that the team knows thoroughly, and the intrinsic value of which is higher than what is reflected in the quotation, with strong cash generation and highly visible results.
Aviva Espabolsa FI takes on companies with very attractive evaluations which do not bear out the true potential of their businesses. It is of fundamental importance to highlight the long-term vision of the fund, which establishes a minimum investment period of five years. A few examples of targeted companies are Viscofan, CAF, Iberdrola or ArcelorMittal.
Aviva Espabolsa FI has so far obtained numerous acknowledgements as a consequence of the results obtained:
- Five Stars S&P, Lipper Leader and Gold by Morningstar
- Best Fund of the category according to Morningstar at 5, 3 and 1 year 2011.
- Prize 2012, Best Fund RV España by Morningstar
- Prize 2012, Best Fund RV España by Lipper at 5 years
- Prize 2012, Best Fund RV España by Lipper at 3 years
- Prize 2011, Best Fund RV España by Lipper at 5 years
- Prize 2009, Best Fund RV España by Stock Markets and Spanish Markets.
According to Iván Martín, manager and director of Variable Income, with an A qualification from Citywire: “We like to think of ourselves as real long-term investors. We are flexible in focussing the investments we make, while continuing to maintain the basic principles of controlled risk, positive return, horizon, transparency and understanding of the investment. Given the volatility of both the Ibex and the rest of the continuous market, it is of fundamental importance not to seek the momentum or pursue the markets. We attribute particular importance to companies whose directors have demonstrated long-term excellence in their professional career.”
He also explained that: “It is important to conscientiously analyse the environment in which this type of companies operate, quite apart from their financial circumstances at the time. These factors allow us to plan highly valuable investment opportunities. Our average company belongs to the industrial sector, operates within an oligopoly, has the authority to fix prices and presents a re-organised balance sheet. It also presents a diversification of its source of incomes, and many of them are benefiting from the growth of the emerging countries.”
Aviva Eurobolsa FI: concentration of ideas of strong conviction
It shares a philosophy very similar to that of Espabolsa, in which the companies are evaluated by their potential in spite of presenting discounts. The assets in which it invests originate from the European market. The fund has been maintaining the Value style since March 2008 and since then it has accumulated a profitability of -20% as against -41% of the EuroStoxx50. It was situated in the first quartile of the category according to Expansión at one and three years in 2011 and obtained four stars S&P and Bronze by Morningstar.
As in the case of Aviva Espabolsa, it has an average level of indebtedness below 90% and almost zero dependence on sectors such as the financial, electricity and construction sectors. A few examples of companies considered by Aviva Eurobolsa are Faiveley, Parmalat and Prysmian.
Aviva Fonvalor: the best of the management of variable income and fixed income
Aviva Fonvalor Euro is a variable income fund of absolute return which attempts to obtain at long-term profitability of at least 80% of the profitability obtained from variable income, with less than 50% of its volatility. This fund combines a long-term vision in Spanish and European variable income, with company shares similar to those of Espabolsa and Eurobolsa, excluding financial shares, with medium term management in fixed income (12 months) with subordinate or hybrid assets of banks and insurance companies.
According to Alfonso Benito, investments director of Aviva: “Aviva Fonvalor Euro differs from the rest of the products existing on the market and has a high probability of achieving positive instances of profitability. True to our management philosophy, we seek to earn money rather than beat the benchmark, and in order to do this we have a portfolio of between 30-40 positions of low rotation which bring together some of our best experts in variable income and fixed income.”
Aviva Renta Fija (Fixed Income) FI: value in the bonds market
Aviva Renta Fija invests in the fixed income market of the Euro zone and has the basic objectives of obtaining profitability in the medium and long term that exceeds inflation by approximately 2%. The management team is aiming towards a portfolio with a medium credit quality, within the investment grade, in the zone (A+/A). This is a flexible fixed income fund which attempts to take the opportunities that may be offered by the market on the subject of movements of types of interest, variations in the spreads of corporate credit, movements in country risk differentials etc.
The portfolio has a high position in Spanish issuers, basically centred in mortgage bonds, with 40% of the capital. It also has 10% of the capital in Autonomous Debt, with instances of profitability which pay 200 pb or more every year, higher than the Spanish national debt.
José María Lecube, director of fixed income, explained that: “In our opinion, the portfolio has assets with important cover in terms of price, as reflected by the current type of return. The stake in mortgage bonds will be particularly favoured by the financial reform already started. These are already recovering value, but we continue to view them as a good deal.”
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For further information:
Laura Villuendas
Telephone: +34 91 297 1817 - +34 696 576 921
Email: laura.villuendas@aviva.es
Beatriz Egido
Telephone: +34 91 556 0154
Email: beatriz.egido@edelman.com