Aescap Genetics Fund

Investing in the Genetics Winners

There are more than 125 public Genetics companies that so far launched around 90 Genetics medicines. Over 2.000 medicines are currently in clinical tests. 200 of them are in final stage. These numbers are growing rapidly. In our balanced portfolio with around 20 companies, we diversify over different diseases, development phases and geographies. We select companies for their growth potential (‘future earning power’), strong pipeline and limited risk (technological and financial).

In our stock picking we prefer companies that already have products on the market and several medicines in clinical trials.

We also value companies with a technology platform that can be used to develop medicines treating a variety of diseases. These companies develop their own medicines but also offer their technology platform for use by others that are developing medicines for diseases in which the company itself has no interest in. This can result in significant milestone and royalty payments, so extra revenues.

Why Aescap?

Aescap has been investing successfully in the Genetics field since 2016. Our Genetics Fund is the first European fund investing in highly interesting public Genetics companies. The investment team, led by Portfolio Manager Patrick Krol, consists of very experienced professionals with different backgrounds in investing and the healthcare industry.

Aescap’s objective is to maximize returns for our investors by selecting the biotech companies that develop the medicines of the future, without taking major risks. By doing this, we facilitate the development of medications for illnesses for which there are currently no effective treatments.

We are transparent, accessible and committed. Our team members invest in the Aescap funds themselves, with over € 25 million. Our Portfolio Manager and head of investor relations can be reached for any questions you may have. You can find our contact details here.

Investment strategy – focus & discipline

The Aescap Genetics Fund is actively managed and doesn’t use a benchmark index. The investment team selects companies based on ‘high conviction’: extensive fundamental analyses combined with intense interaction with management and relevant experts like doctors, scientists and of course patients.

Stock selection, constant monitoring of companies and an active buy and sell discipline are what drive the fund’s performance. Biotech stocks are known for their low correlation and high volatility, caused by media, macro-events and short-term speculative investors. This creates an ideal setting for a high conviction fund manager to invest in undervalued companies with a great mid- and long-term earning power. More about our investment strategy. 

ESG

Since its inception, the Aescap investment team has taken Environmental, Social and Governance (ESG) factors into consideration when analyzing the outside in and inside out facets of its portfolio companies and potential new investments. By continuously doing so, we aim to encourage companies in our sector to act with the well-being of people and our planet in mind. The Aescap Funds focus their investments on companies developing treatments that are aimed to significantly improve the life of patients and benefit society as a whole.

In March 2021 the EU introduced The Sustainable Finance Disclosure Regulation (SFDR). The SFDR aims to improve disclosure to end investors, on the sustainability impacts of investment policies and decisions by financial market participants. In doing so, a number of regimes are distinguished. The Aescap funds are so-called Article 8 funds. Here, a social characteristic is promoted. When selecting companies, particular attention is paid to those that contribute to solving a high unmet medical need.
More information on sustainability/ESG.