DBAG – A Rich opportunity to invest WITH management in the heart of German industry


#1

DB AG has been very successfully and profitably investing in German Mittelstand like a sort of mini 3i for over 40 years. This Private Equity trust ha
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#2

This ticks a lot of boxes for me except for one, not being listed in London.

It`s just more hassle. I think if they really want to get UK investors they should get a secondry listing over here.

That said, it does sound like a trust thats managed for shareholders, and yeah Id like too own a whole chunk of German industry.


#3

I don’t doubt this is a quality fund, fundamentals above say it all but as it’s for a young portfolio aren’t there better options in Private Equity that’ll reward you with wonga sooner.

The dividend doesn’t really sell it to me, I just don’t look for me dividends from Private Equity. I’d prefer them to invest that and make more money.


#4

@Buck the point is it is a long term investment that one might tuck away in one’s SIPP for a decade or so. On that basis I think now is a great time to buy.

I agree with @steelman about a London listing though, that would be much more agreeable.

Might I say this is great piece of work WhichInvestmentTrust, I had never heard of this trust before and it is such a splendid find.


#5

This seems to be very different to any other trust of fund I’ve come across and offer an investment opportunity that I definitely find attractive.
The long term management that seem to be incentivised so that they win when shareholder win too is too often amiss from too many British trusts or funds.

The one thing that’s stopping me from investing right now, or at least making me hesitate is the bother and hassle of buying funds not listed here in London.

It would be displayed on my portfolio separately in €. I’m not even sure many platforms allow buying European trusts?

I would love them to list this here, then I’d definitely invest.


#6

…I also really like the idea of this German trust, DBAG, for the same reason (different from the rest), but also it’s done so well for so many years…


#7

Oops, sorry, I meant to post that comment in this forum…


#8

Great trust. Great article. As someone said already, I’d never heard of this before and it’s pretty unique.

Not being listed in London wouldn’t put me off but I’m sure it will put off many so it’s something they should consider.

As well as its long track record of good performance I bloody love, love, love that the management have to invest their own money in new investments too.

That’s called aligning your interests with your shareholders and it’s something all investment trusts and investment funds should be doing in my opinion.

Like @derekw said, whack it in yer SIPP and let it grow. That’s what i intend to do.


#9

I think I’d echo what others have said about a London listing at least being desirable.

that said, what a find. I’d never heard of this before but it is a very, very interesting little fund.

I really like this. Good piece.


#10

I actually think this is one of the best structured funds or trusts I have come across sirs.

That the management company is paid fees for managing the institutions investments in to the private equity vehicle is also owned by the trust is unique I believe (correct me by all means should I be wrong).

The long term returns are in my opinion guaranteed to continue because the way the big bosses are incentivised, they don’t get their money if the shareholders don’t too.

I don’t have the opinion that a lack of a London listing will put me off this but I think it might put some off. Maybe it would be a good idea for DBAG to think about listing in London too.

Thanks you for sharing this.


#11

@Mohammed believe me, a London listing would help. When you buy things on other markets it doesn’t display right on your portfolio because you need to convert the currency.

It can be done f course but it is a niggle mate.

Good find though guys, like others have said, no one else talks about this trust, I searched Google and found nowt.


#12

This sounds great. Every fund should make the manager invest in it like this does.

Good find guys. Like others have said, no one writes about stuff like this.

My only caution here is DBAG’s portfolio seems young so it’ll be a while before they start making big gains again. PE tends to be fallow for a few years they makes a load when it sells companies on.

I can’t disagree about your recommendation that this would sit well in a SIPP.

This seems perfectly suited for that.

…one other thing. It would be great if you were to have factseets and other info on this and other trusts. It’s the first thing I look for.


#13

I think most people should own a little bit of private equity and yes in your SIPP like others have said.

I read an article somewhere, I can’t put my finger on it but it should how well private equity performed over the long term and it beat most other types of investment.

@Buck yer I agree it is a younger portfolio and might take a while to make its biggest returns but its the kind of investment you can put in your pension and dont worry about for years.

I really like what I’ve read about this trust.