Our Sponsors

VIPCoFCCGBroadridgeLink Market Services GmbHAHEADhermesDP DHLK+SSAPGeorgesonSuedzuckerWacker Chemie AGThomson ReutersEQS Group



Corporate Governance – portrayed in the individual cultural and legal framework, from the standpoint of equity capital.

VIPsight is a dynamic photo archive, sorted by nations and dates, by and for those interested in CG from all over the world.

VIPsight offers, every month:
transparent and independent current information / comments / facts and figures on corporate governance locally and internationally,

  • written by local CG experts,
  • selected and structured by the Club of Florence,
  • financed by its initiator VIP and other sponsors with a background of “Equity and Advisory” interests.

VIPsight International

Article Index


"First of wait and see"


Interview with Portfolio Adviser Stefan Heieck*

Mr. Heieck, the Varus Fund launched by Heieck Siebrecht Capital Advisors AG (HSCA) began in September 2009 and already has $100 million in assets under management. The investment capital comes primarily from family offices, private investors and funds of funds. A few weeks ago New Alpha Management of Paris got involved in HSCA. How did 2011 go for you?

Heieck: Our target return was 15 percent. In 2011, we earned, calculated in euros, a return of 21.0 percent. And volatility was 7.5 percent with a market correlation of 0.2.

Did you reach this in day trading or with a big scoop?

Heieck: No, we exclude intraday trading. 80 percent of the revenue comes from stocks that have a market capitalization of one to five billion euros. We always invest just below the reporting requirement of three percent and put a maximum of 15 percent of our assets under management into a single investment.

How do you go about it exactly?

Heieck: We select, in the first place, fundamentally interesting values, and ​​ invest only in assets that we understand very well and have long been tracking. Investments in biotechnology, pure pharmaceutical, pipeline companies and natural resources equity, for example, we rule out from the outset.

What does this mean specifically?

Heieck: For thirteen years we have been watching shares in Germany and in core Europe, i.e. Benelux, France, Britain, Northern Italy, Austria, Switzerland and Scandinavia. We have identified a focus portfolio of 100 stocks that we constantly keep under observation and know very well. We analyse the markets in these very intensively, but also in comparison companies, both in Europe and in Asia and the U.S., and then select the stocks to which we commit ourselves for a maximum of 12 months. We do not invest in Asia or the USA, and use these companies only for our peer group analysis.

So then you’re on the safe side?

Heieck: Next, we look for events - called catalysts - that might affect that development in the short term - road shows, say, or the announcement of quarterly results. We then include this in our buying and selling decisions. But we have also installed an additional backup.

And what’s that?

Heieck: When we are engaged in a long or short position, we consider what hedging positions reduce the risks. To give an example: If we go long on HeidelbergCement, we hedge by getting involved with Holcim, Italcementi, Lafarge or Wienerberger.

With the same amount?

Heieck: Not always. We have put quite a lot of work into the core exposure and thus have a very good opinion about the company. Thus in this case, HeidelbergCement will have a 60:40 or 70:30 weighting. That means we have a belief in the business, but associate it with a macro approach. If we are no longer in a positive mood at the macro level, we reduce our commitment. Basically, we span across the company a “rainbow”, a risk overlay. We then reinforce this by investing in futures, for example, or one of the 19 Euro Stoxx subindices. So then I am long the company and short the sector.

By now you have $100 million in assets under management. Do you invest it it all?

Heieck: Not at the moment. Currently we are screening where an investment is particularly rewarding. But we will wait for several months with our commitments.


Heieck: In our assessment, there will be massive negative profit revisions in the coming weeks, especially in the automotive sector. We want to wait and see.

*Stefan Heieck is a founding partner of Heieck Siebrecht Capital Advisors AG, Zurich, and Portfolio Adviser of the Varus Fund