As fundamental investors a corner stone of our analysis is close dialogues and a high level of interaction with the companies we invest in. Our investment philosophy focus on sustainable quality companies supported by positive short term trends at a reasonable price.

All investments are made on their own merits with no consideration to benchmark weights. The investments are made with a long-term view and we do not attempt to time market fluctuations. As long-term investors with concentrated portfolios on relatively few holdings we create good conditions for a close and active dialogue around critical sustainability issues with our portfolio companies.

Our customers consists of both institutional investors and private individuals, and our fund range is currently available at several insurance companies, platforms and banks in the Swedish market.

Enter was founded in 1999 and is a part of the Pareto Group since 2016.

Sustainable Investments – from Analysis to Investment Decision

Our sustainability work is based on our strength as active and specialized investors. We are experts on the companies we invest in and the market in which they operate. Like much else in the world of a listed company, sustainability issues are complex with many difficult-to-interpret nuances that rarely allow themselves to be explained in numbers and figures. Forming your own opinion is therefore central to being able to make well-founded decisions. For that reason, we have developed our own model for sustainability analysis.

The analysis model gives us room to combine quantitative data points with our own experiences and judgments. The sustainability analysis is carried out for all investments and is used as a basis for our investment decisions and in the ongoing dialogue with the companies. As part of our sustainability analysis each company is evaluated based on its individual sustainability risks and how the company manages these risk. Both environmental, social and corporate governance issues are assessed in our analysis.

In our analysis model, we also evaluate the companies based on opportunities generated by the sustainable transition. Ultimately, it is the companies that will drive this transition through new innovative solutions and more efficient production methods. Here, good opportunities for growth will be created for skilled companies. When we assess a company’s sustainable opportunities, we do so based, among other things, on four sustainable themes derived from the UN’s sustainability goals: sustainable cities, health and safety, energy and climate efficiency, and sustainable consumption, production and financing.

Our sustainable analysis is based on several aspects with extra focus on the companies’ work on gender equality, biological diversity and their work to reduce their climate impact in line with the Paris Agreement.

We integrate sustainability analysis into investment decisions

Our sustainability analysis is always carried out in consultation between our sustainability analysts and managers. In our broad Sweden funds, the outcome of our sustainability analysis is also quantitatively integrated into the analysis model the manager uses as support to calculate a justified price for our investments. In this way, it is ensured that sustainability issues have a direct and well-balanced impact in the company analysis.

The involvement and commitment of the individual manager is crucial for our sustainability work to be effective. The manager’s experience, knowledge and relationship with the companies is an important contribution to the analysis. Finally, it is also the manager who has the mandate to make investment decisions. The sustainability analysis created by our sustainability analyst serves here as an effective basis for discussion and as a guide in the manager’s work.

The outcome of our sustainability analysis is also integrated as a risk parameter in the analysis model that the manager uses as support for calculating a justified price for an investment in our broad Swedish funds. The analysis is based on our forecasts of future profits and leads to a justified price for the share. This means that a share that looks attractive according to traditional company valuation may have a lower value due to sustainability risks.

Through our approach, we ensure that sustainability issues become a natural part of the entire investment process and that they have a direct and well-balanced impact in the company analysis.