Market Musings

Off the beaten track

In search of value

November 16, 2023

Embracing creativity & discipline in stock selection

2023 has been a difficult year for value investors. Big US Tech has been ruling the markets, especially where there is a link with generative AI. At the time of writing, the MSCI World is up 14%*, while the global index of value stocks is up 2% (as at 11/1123 Euro)*.

Still, it has been possible to outperform the benchmark and active stock selection, where there is room to invest off the beaten track, can contribute to this. Our strategy is based on three pillars: solid cash flow generation, prudent capital allocation and an attractive valuation. Idea generation is an important part of the strategy. That’s where it starts.

To read Reineke Davidsz's full thoughts on how active stock selection, paired with creativity and discipline, can contribute to outperformance - download the full article below.

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The Author

Reineke Davidsz

There’s a saying in Dutch, Kom verder, it means many things and it’s our business philosophy. It captures the way we work with clients but also the way we steer our investee companies to deliver shareholder value through active engagement.

Capital at risk. The value of investments and the income from them can fall as well as rise, and investors may not get back the amount originally invested. Past performance provides no guarantee for the future.

Van Lanschot Kempen Investment Management (UK) Limited is registered in England & Wales with registration number 02833264. Registered office at 20 Gracechurch Street, London, EC3V 0BG Tel: +44 (0)20 3636 9400. Van Lanschot Kempen Investment Management (UK) Ltd, is authorised and regulated by the Financial Conduct Authority (FCA) with reference number 166063.