Fintech Trends Equity
Key points
- Investments in the fintech universe sections Payments, Security and Core Banking
- Search for excellent executors, best-positioned for long structural trends in the digitization of the financial sector
- Well-diversified portfolio consisting of winners, enablers and challengers
Philosophy
Fintech offers abundant opportunities to monetize digitization. Our investment philosophy is based on the conviction that we can generate alpha:
- Top-down – by identifying the most appealing trends and themes in the fintech sector; and
- Bottom-up – by fundamental analysis to identify the best executors and stocks with attractive relative valuation.
Process
Our investment process consists of four steps. First, to identify long-term growth trends in the fintech universe. Second, to identify the winners, enablers and challengers within the universe. Third, bottom-up stock selection that significantly benefits from the fintech trends applies fundamental and quantitative research and sustainability to find companies with attractive valuations. Fourth, portfolio construction based on conviction level, risk, diversification and a strict buy and sell discipline.
Team
The global fintech equity strategy is managed by the Financials-Fintech portfolio management team. It consists of three seasoned portfolio managers and is part of the larger Trends Equities team. This team is responsible for a range of trend strategies that are expected to provide above average returns by profiting from long term structural trends. The portfolio managers of this strategy have access to Robeco’s sector, emerging markets and sustainability analysts.
