The Hague – April 2020 – On 1 February this year, the Juno Continuation Fund was launched. This new fund, managed by Juno Investment Partners, will apply the successful investment style of the Juno Selection Fund, which closed for investors in 2018. The Continuation fund is identical in almost all respects to the Selection fund, but focuses on investments in European (family-owned) companies that are one size up compared to the Selection Fund. Juno is delighted and proud to announce that the Fund had over 80 participants at launch date and that this number has been steadily increasing since.

Since its launch date, the Juno Continuation Fund did suffer from the effects of the COVID-19 virus as well and ended the first quarter of 2020 with a net asset value of €87.80 per participation, a decrease of -12.2% since the start of the fund on February 1. Over this period, the MSCI Europe Mid Cap Index lost -24.7% and the AEX (dividend reinvested) also fell sharply by -18.1%.

The pandemic that is currently gripping the world also affects some of the companies selected by Juno. Rob Deneke, director and co-manager of the Juno Continuation Fund: “Although affected by current developments, it is clear that the capability to withstand the current situation is above average for the majority of our companies. The products and services they provide are often essential for their customers, as a result of which the demand for these products and services often continues. In addition, our companies are financed conservatively so that their survival is not in jeopardy and they remain able to make the necessary investments, usually from their own resources, as and when necessary”.

Frans Jurgens, director and co-founder of Juno: “It is not our expertise to make macroeconomic forecasts, but we strongly believe that once this pandemic is behind us, it will leave a very deep scar in the economy. Fortunately, there are also companies that are barely affected and even a few that will take advantage of the current circumstances. We were able to act on share price weakness and selectively increase the holding of those companies in our portfolio”.

Lennart Smits, director and co-founder of Juno: “The timing of the launch of the Juno Continuation Fund meant that the Fund had a fairly high cash position of around 30%, which has certainly helped us over the past period. But especially the low dependency on economic cycles, a core selection criterion at Juno, makes our companies less vulnerable. We also benefited from the healthy financial structures of our companies: where cash on the balance sheet still cost money a few months ago and caused derision from bankers, our (family-owned) companies now hold the trump cards. Juno will try to continue to make smart, selective and disciplined use of the high volatility in the markets to get the cash we hold in the portfolio today back to work”.

The quarterly reports can be found here and the most recent fact sheet here.

About Juno Investment Partners

Juno Investment Partners is an independent asset manager based in The Hague. Juno invests in concentrated portfolios of high-quality European listed companies, often family-owned businesses or companies in which founders and directors are shareholders. The selection process emphasises predictable earnings growth, a high return on invested capital, low debt levels, strong margins and free cash flow, and a sustainable competitive advantage.

Launched in January 2008, the Juno Selection Fund focuses on small- and mid-cap European companies. The portfolio typically consists of around fifteen companies. Each is analysed intensively, and regular contact is maintained with management. The investment horizon is long, generally well over five years. Juno’s analysts, portfolio managers and employees also invest their personal capital in the JSF.

In addition to the JSF, Juno offers individually managed accounts through separate mandates, using the same investment approach. Juno holds an AIFM licence issued by the Dutch Authority for the Financial Markets (AFM).