Redeye Nordic Hidden Champions AIF
The fund believes the biggest innovations in the 21st century will be at the intersection of life sciences and technology and that the Nordic countries will be a hot spot for it.
  • Fee: 0.85% fixed fee & 25% performance fee with a 5% hurdle rate (B class)
  • Minimum investment: 100 000 SEK (B class)

Fund Size: Soft close after 500 MSEK

18%
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Investing in funds is always subject to risk

The fund's investment philosophy

The Redeye Nordic Hidden Champions Fund embodies a simple philosophy: invest in Nordic entrepreneurs committed to building scalable and resilient wide-moat businesses while avoiding questionable enterprises. The fund is intrigued by the resilience of these wide-moat models, especially those of global players with hard-to-imitate products in structurally growing niche markets. Their potential for outperformance can be particularly potent when run by owner-operators who have lots of skin in the game and excellent capital allocation skills. The mission of the fund is to grow alongside these hidden champions, creating wealth for our clients while making a positive impact on the world.

79 MSEK

Fund Net Asset Value

0.85 %

Management fee

25% on absolute return - hurdle rate 5% - high-watermark method

Performance fee

SEK

Base currency

2020-04-30

Start date for the A class of the fund

Alternative Investment Fund

type

FI4000429188

ISIN

The fund's objective

The objective of Redeye Nordic Hidden Champions AIF is to secure long-term returns in Nordic listed equities. The fund's focused strategy targets underappreciated nordic hidden champions—market leaders providing sophisticated and mission-critical niche products or business services that often remain hidden to the average consumer. Investing at an earlier stage or the tipping point in the long-term growth trajectory of hidden champions has proven rewarding, provided one can stay patient and let the power of compounding do its work. Moreover, the outcomes are not solely tied to economic conditions, but rather structural growth, offering potential de-correlated returns.

Net Performance for Redeye Nordic Hidden Champions AIF A

The net performance (after all fees) for Redeye Nordic Hidden Champions AIF A is displayed in the following graph. The fund changed its name from Redeye High Quality in January 2024. Please note that the graph is for the A class of the fund, which was launched on April 30 2020, while the marketing on this website is for the B class of the fund that has a higher fixed fee.

  • REDEYE NORDIC HIDDEN CHAMPIONS AIF
  • OMXSPI
  • The graph shows the fund’s net performance after all fees, for the fund’s A class.

    Disclaimer in Swedish (followed by an English translation)
    Investering i fonder innebär alltid en risk. Värdet på din investering kan gå upp och ned. Historisk avkastning är ingen indikator för framtida avkastning. Investerare kan förlora delar av eller hela det investerade kapitalet. Fonden Redeye Nordic Hidden Champions AIF är särskilt utsatt för risker rörande kraftiga svängningar (volatilitet) och låg handel (likviditet) eftersom strategin innefattar koncentrerade positioner i småbolag. För mer information om riskerna, läs KID (Key Information Document), och fondens prospekt.


    Disclaimer in English
    Investing in funds is always subject to risk. The value of your investment may rise and fall. Past performance is not an indicator of future performance. Investors may lose parts of or all of the invested capital. The fund Redeye Nordic Hidden Champions AIF is especially exposed to risks regarding large price fluctuations (volatility) and low turnover (liquidity). For more information about the risks, read the KID (Key Information Document and the fund prospectus.

    The fund's largest holdings as per the end of last month
    SMART EYE13.7%
    XVIVO PERFUSION11.7%
    SURGICAL SCIENCE11.3%
    GENOVIS11.2%
    BONESUPPORT10.2%
    CALLIDITAS8.9%

    The fund seeks to compound wealth at a superior rate over the long term, while minimizing the risk of permanent losses of capital. The edge comes from being focused, disciplined and specialised on selected sectors in the small and micro cap space. The fund has a quality first approach to stock selection.

    Björn fahlén

    co-founder & ceo redeye

    Sustainability view & ESG classification

    The fund is ESG unclassified, as per the definitions of the Sustainable Finance Disclosure Regulation (SFDR). Instead, the fund has its own interpretations of sustainability. For example, the fund has since inception viewed a viable defense industry for protection of democracies as the very foundation for a sustainable world. Yet, investing in defense companies was unthinkable for most funds prior to the invasion of Ukraine in February 2022.

    The fund's sustainability analysis is focused on material sustainability issues that have a pathway to becoming financially material to companies. Debates surrounding the path to financial significance often revolve around the time horizon. In the long run, companies should thrive by serving all stakeholders well, including society. Most societal and stakeholder issues tend to be resolved over time through government actions, individual efforts, innovation and technology. Eventually, these issues become financially relevant to companies and their shareholders. Hence, identifying material sustainability issues is synonymous with identifying financially significant sustainability issues.

    Therefore, the fund strongly believes that sustainability analysis plays a crucial role in assessing the risk associated with a company’s fundamentals. Neglecting material sustainability factors may result in an incomplete understanding of risk and poor risk-adjusted returns. Sustainability issues can be misunderstood, and they may evolve over time. Consequently, businesses currently facing material sustainability issues can present attractive investment opportunities when there is potential for improvement, which can drive financial performance and improve perception of the company. In short, the fund believes companies which are exhibiting good, or improving sustainability characteristics make for more attractive investments.

    Meet the team

    INVESTMENT PROCESS & FUND MANAGEMENT

    Redeye Capital's investment committe provides investment advices to Estlander & Partners, based on Redeye's proprietary quality rating model. Estlander & Partners is the portfolio manager of the fund and its sister company GRIT Fund Management Company Ltd is the fund manager of the fund.

    Learn more

    Toru Ueda

  • Senior Investment Manager – Redeye Nordic Hidden Champions AIF

  • Viktor Westman

  • Investment manager – Redeye Nordic Hidden Champions AIF

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