Ideas are sourced from:

• Screening companies for low valuations primarily on Oslo Børs
• Newsweb, trade publications
• Contacts, newspapers, Bloomberg
• Other investors/fund managers

Potential investment cases are evaluated through:

• Fundamental company research
• Comprehensive financial modeling based on our own assumptions
• Evaluating management through meetings, webcasts and/or reading

Portfolio management is key:

• The companies we own are most important and hence followed closely
• Investment thesis constantly revisited and retested
• Portfolio companies no longer trading at discounts or with a deteriorating investment thesis are sold

The portfolio is constructed using the following principles:

• Bottom-up focus on best ideas
• Typically 15 - 25 companies
• Sector diversification based on available investment cases
• Liquidity and risk assessments