The year of economic recovery has started on the right foot for César Alierta (76 years old). At least as far as investment is concerned. The sicav through which the former president of Telefónica mobilizes a good part of your family assets it appreciates 11% in the first quarter thanks to its firm commitment to the stock market. Especially by companies of value bias like Spanish real estate.
Almost the entire portfolio of Lierde Sicav, which is the name of the family vehicle of the Alierta, is entrusted to direct positions in shares of listed companies. The latest investment update sent to the National Securities Market Commission (CNMV) does not include a single euro cent in fixed income issues.
With an equity slightly higher than 148 million euros, what the sicav of the former Zaragoza executive does have is a game of 5.5 million in liquidity ready to get to work when those in charge of their management find opportunities. A task that for two years has been entrusted to the firm Augustus Capital, at the head of which is placed Juan Uguet de Resayre, one of the nephews of the former president of Telefónica.
Cyclical stocks and ‘smallcaps’
The team of managers he heads points out that “a new economic cycle is beginning in which jobs will be created again, wages will rise and both inflation and interest rates will normalize”. Faced with this scenario, they argue that “value sectors and small-cap companies will continue to perform well in the coming quarters”, something that is based on the historical behavior of this type of companies at other times of recovery in the cycle.
With these premises, they make up a portfolio “composed of leading companies in the sector with growth opportunity ”, as explained in their last quarterly report sent to the supervisor. An architecture they trust will result in an average “double-digit revaluation for the next few years”. Between the increase in book value and cash dividends, they calculate a return of 14% for their positions.
13% of the assets of the sicav is currently used for investment in listed Spanish companies. Rather, in seven of these companies. At the forefront of the group is the industrial Global Dominion Access, to which it entrusts 6.56 million euros, equivalent to 4.43% of the portfolio of the investment company. To the queue, Faes Farma, which with a weight of only 0.37% of the assets is the most recent ‘made in Spain’ incorporation.
The second place on the national podium goes to the real estate Realia, to which it entrusts an investment of 4.17 million euros, equivalent to 2.82% of the portfolio. It is not the only one in the sector, which enjoys a broad presence, since the Socimi is added to the one led by Carlos Slim Merlin Properties (2.22%) and the promoter Quabit (0.46%), recently taken over by Neinor Homes and of which it is assumed that this vehicle would now be a shareholder.
The short list of positions on the Spanish stock market is completed with Grifols, that between A and B shares represents 1.86% of the firm’s investments, and Ezentis, with a weight of 0.83%. This same week, the president of Audax Renovables confirmed that he is accelerating the takeover of the last mile infrastructure company, although in principle the takeover is ruled out.
82.1% of Lierde’s portfolio, whose name comes from Aragonese mountain where César Alierta spent many moments of his childhood, is distributed among 46 international listed companies. The one that achieves the most individual weight within this range of bets is the French defense Thales Group, which is the destination of no less than 5.58 million euros, equivalent to 3.77% of the total assets.
An Augustus background
Only one more listed company exceeds the 3% mark. An honor that belongs to the German car manufacturer Volkswagen, with 3.47%. Below this level, in third place, the Italian appears Tinexta (2.73%), specialized in cybersecurity and digital information processing. Very close they stay too Econom Group (2.57%), Coats Group (2.56%), Vinci (2.55%), Danielli (2.53%) and Bureau Veritas (2.46%).
In its wide basket of values it accommodates giants from different sectors such as technology Alphabet -Google parent-, to which 2.26% of its portfolio entrusts, the pharmaceutical company Roche (1.92%) and food Danone (1.19%). Among his chosen also figure AstraZeneca, one of the manufacturers of vaccines against Covid-19, the distillery Pernod ricard, the Chinese giant Alibaba and the social network Facebook.
Finally, the sicav that among its 894 shareholders has such illustrious participants as Juan Abelló, entrusts 0.96% of its assets to the fund Cervino Global Equity, from the manager Augustus Capital itself.
The position in this specialized equity vehicle round a market value of 1.4 million euros. The fund focused on the combination of value and momentum factors is one of the additions of the first quarter of this year to the sicav portfolio.