We pursue an active style of management by substantially deviating from the benchmark however, we carefully monitor the level and composition of risk relative to the benchmark to avoid unrewarded risk:

• we apply maximum deviation limits to single stocks, industry and country
• exposure to relevant factors such as momentum, value, size or currency are equally monitored to avoid excessive biases

To minimise the probability of substantial capital loss, we rule out investments in companies:

• with unsustainable, excessive or hidden leverage
• which have recently made a major acquisition
• whose economic rent is structurally below the cost of capital
• which exhibit a poor ESG score