Jun Li
Samuel Hui Wing Kin
German private equity fund bets on bitcoin mining in cryptocurrency slump
While thousands of miners in China, hurt by the recent slump in bitcoin, have called it a day, German private equity firm Xolaris is preparing to launch a US$50 million …
Our Principles
Investment quality – Made in Germany
Our goal is to invest – made in Germany. To us, this not only means excellence in investing but also achieving attractive returns with a balanced risk/return profile. Although we strive for superior returns, our first priority is that our actions produce consistency, protection of capital, and superior performance in bad times.
Common Interests
Being part of the XOLARIS group, we use the same procedures in compliance as asset management companies in Germany. German law is one of the strongest and most efficient in the world. In order to achieve commonality of interests with our clients, we pay strict attention to potential conflicts of interest, avoiding them if possible and dealing fairly with them if not. We put clients’ interests ahead of our own and treat all clients equally.
Independence
Our main advantage is our independence. Being independent is one of the key factors for excellence in investing. We are not under pressure in our investment process for achieving good quarterly reports. Everything we do is based on the needs of our clients and the creation of value.
Personnel Practices
Our personnel practices must contribute to the achievement of our clients’ objectives. A harmonious workplace and a spirit of cooperation are indispensable; personnel turnover, office politics and unhealthy competition are to be guarded against.
Communication with Clients
Communication with clients must meet their needs and strengthen our relationships with them. We want every client to thoroughly understand our philosophy, approach, actions and results. Nothing that we do should ever come as a surprise to a client. In reporting our performance, we accurately state our achievements, neither hiding behind excuses for losses, nor taking credit for fortuitous gains.
Management Fee Arrangements
Our management fee arrangements should compensate us equitably for the value we add and forge a constructive business relationship. Fee arrangements should motivate us to act solely in our clients’ best interests; they should be fair, competitive and explicit. Our earnings should increase if we achieve excellence in investing… but only then.
Responsible Investing
XOLARIS is increasingly aware of the impact that investing into alternative assets, in particular in the private equity industry can have on society and the environment. This sector reaches a large number of people across many countries and involves the use of a significant amount of the earth’s natural resources. XOLARIS, therefore, believes that environmental, social and governance (ESG) issues should be integral to the investment process and is in the process of enhancing and formalising its approach to these issues in its own investment programme.
We understand that the effective ownership and management of the assets under our managements create benefits for all stakeholders: from employees to customers, suppliers to shareholders, and the wider community at large. Therefore, XOLARIS is committed to helping its investment funds make responsible investments in order to create sustainable, long-term value in close partnerships with management teams.
XOLARIS takes into account the ten principles of corporate governance enshrined in the UN Global Compact and is in the process of putting comprehensive mechanisms in place to incorporate ESG issues into investment analysis and decision-making processes.
We are aware that there is a significant opportunity to influence corporate behaviour to achieve improved ESG/sustainability performance through the ownership of our portfolio companies. XOLARIS believes that best practice on ESG issues both mitigates risk and captures opportunities that enhance the long-term value of the portfolio companies.
