Greetings my fellow investors,
The second week of my excursion in Sweden is behind now, so I’m taking 10 minutes to write something about it. It’s been busy week again, with huge amount of small, uninteresting stuff. Not sure if these are interesting either, but here we go. Here are some things that I have been doing the past week:
Value creators concept
I “invented” a new concept called “Value creators” – a short, simple and visual report on high-quality companies that investors could be interested in. I’m hoping it will provide a good way to get to know basics of new companies, something that I have been working on here also. The feedback from the Finnish community was good and we are moving forward, so I’m hoping our Swedish equity research team will make its first case before the next week is over. No pressure @lucas.mattsson 
You can find more info, unfortunately in Finnish, here.
By the way, when I told you that I was working on “product concept” last week, it wasn’t this one. This was just an idea I got and decided to run with. Another one is still work in progress, and I suppose I’m running late due to this idea. Well, better get on with it then.
First investment during my visit
I told you that I wanted to find some Swedish companies to invest in. Well, I have gone through some companies now. The only actual investment that I have made was Kinnevik that seemed to be in an interesting situation. I have absolutely no confidence in my small investment for now, so “don’t try this at home.”
I guess Kinnevik is well-known in Sweden, but I hadn’t heard of it before. I stumbled into in listening to podcast and was a bit intrigued. They seemed to be “Ark Invest of Sweden”, especially looking at the bubble era, and now they seemed to be struggling. Discount to NAV was large (~45 % if I remember correctly) and some crazy one had paid a similar premium to NAV at the top 
At least I’m expecting to do better than that one. Kinnevik seem to be going through a change, maybe for better, maybe for worse. Let’s see what they are going to tell at CMD next month. Note that I haven’t made any analysis of the companies that they have invested in, so I have no way of telling whether they are “correctly” valued in the portfolio. That’s a problem for the future Juha.
My “Swedish portfolio” now consists of Investor (that I have been owning for a longer time) and Kinnevik (tiny position). Both are investment companies, so I guess I’m hoping that they know what they are doing even if I don’t. But I can assure you, this is not the type of investor that I’m normally, and these are the only investment companies in my portfolio. Normally I want to understand exactly what I’m investing in and do a deep dive myself, but now I just wanted to get moving. And when it comes to Kinnevik, I typically like predictable cash flow, not aggressive, unprofitable growth companies. But actually that was one factor that I liked in the pick – otherwise I wouldn’t have any exposure to companies like this. Let’s see how it goes.
Other stuff worth mentioning
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We just filmed a model portfolio video that’s coming out today or tomorrow. Our model portfolio (“Mallisalkku”) that invests real money has a great long-term track-record, but we have been struggling the past three years. Well, we’ll get back on track eventually.
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I wrote “Kinnusen jorinat” piece just now, I suppose it’s kind of investment blog published in inderes.fi. Just some ideas about investments, markets and other things that I might find interesting. This time I wrote a small piece about the B2B companies and their (poor) market situation in Finland. It’s in Finnish, but I suppose google translate will make sense of it, if you want to check it out.
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I haven’t been too active in the “reaching out department” because I have been very busy with my own stuff and supporting some colleagues here. Again I’ll try to improve.
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“As a family” we managed to visit Gamla Stan during the weekend. Again it was very pleasant until our son got hungry. So if you heard “Ruokaa nyt” shouted loudly there, it was probably my son. But after we got food, it was all good again. In general everything is fine as long as we get enough sleep (ain’t that the case always).
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I had a beer with our CEO @mikaelrautanen yesterday. It was a good beer.
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Last but definitely not least: Sotkamon Jymy won the championship in Finnish baseball with a sweep (games 3-0) against Tampere. 21st championship in our glorious history. It was cool.
Another busy week, and a new week is already on its way. This took way longer than 10 minutes, so I’m late again 