• Home
  • News
    • People moves
    • Africa
    • Asia
    • Australia
    • Canada
    • Caribbean
    • Domicile
    • Europe
    • Latin America
    • North America
    • Middle East
    • US
    • US
    • UK
  • Products
    • Funds
    • Pensions
    • Platforms
    • Insurance
    • Investments
    • Private Banking
    • Citizenship
    • Taxation
  • Fintech
  • Regulation
  • ESG
  • Expats
  • In Depth
  • Special Reports
  • Directory
  • Video
  • Advertise with us
  • Directory
  • Events
  • European Fund Selector
  • Newsletters
  • Follow us
    • Twitter
    • LinkedIn
    • Newsletters
  • Advertise with us
  • Directory
  • Events
    • Upcoming events
      event logo
      International Investment Nordic Forum 2021

      International Investment is delighted to announce the 2021 International Investment Nordic Forum which will take place on Tuesday March 9, at 9am (GMT). This curated virtual event will be broadcast live and will feature a series of fund manager interviews and presentations, as well as interviews with some of the Nordic regions top fund selectors.

      • Date: 09 Mar 2021
      • ONLINE, ONLINE
      View all events
  • European Fund Selector
International Investment
International Investment

Sponsored by

Sharing Alpha
  • Home
  • News
  • Products
  • Fintech
  • Regulation
  • ESG
  • Expats
  • In Depth
  • Special Reports
  • Video
  • Equities

Athymis Gestion overweight Amazon, underweight Facebook

Athymis Gestion overweight Amazon, underweight Facebook
  • Adrien Paredes-Vanheule
  • 29 June 2018
  • Tweet  
  • Facebook  
  • LinkedIn  
  • Send to  

FAANGs (Facebook, Amazon, Apple, Netflix, Google) are core to the Athymis Millennial fund run by French boutique Athymis Gestion. Its chief executive officer Stéphane Toullieux says the firm holds four of these stocks since fund inception two years ago, the portfolio being overweight on Amazon and underweight on Facebook.

Toullieux praises Amazon for its participation to the digital revolution and huge potential in the e-commerce and cloud spaces. Apple forms another liked stock for its high-valued services such as Apple Music. On the contrary, the boutique has trimmed positions in Facebook as the social network giant carries an important risk in Athymis Gestion CEO’s view: its boss and co-founder Mark Zuckerberg.

Related articles

  • French views on FAANGs and their Chinese peers
  • Athymis Gestion launches millennials' fund
  • Paris boutique adds two to portfolio management team
  • Exclusive: Fund manager exits French boutique

“In Facebook dwells a reputation risk. Scandals such as the Cambridge Analytica one raise an important ethical problem around data protection. Each data breach will lead Zuckerberg to testify before Congress. How many times will he have to excuse himself? That said, Facebook’s growth and incredible cash generation seem to demonstrate markets have not over sanctioned neither Facebook nor other FAANGs. Hence it is hard not to hold Facebook in portfolio,” argues Toullieux.

He adds the boutique does not hold the stock in the Athymis Better Life fund given “Facebook does not make the world any better”.

As for Netflix, Toullieux regrets to have sold the stock a few months ago.  Since then, the Paris-based manager has been trying to find entry points to get back in Netflix but without success, the stock’s valuation having increased to exorbitant levels says Athymis Gestion’s CEO.

Another FAANGs’ feature that the firm appreciates is their capacity of launching initiatives that carry future growth sources, a concept Toullieux calls “pluri-optionality”.

Could Facebook, Google and co confiscate tech innovation by concentrating it? Yes and no, replies Toullieux for whom FAANGs’ success enables them to raise colossal funds.

“Therefore their problem is not financial but an issue remains in the recruitment and talent allocation at the service of innovation. The acceleration of the startup ecosystem also turns these companies in fortresses that are permanently besieged.

“As a result, rethinking models for FAANGs’ CEOs is key. Satya Nadella understood it very well by reviving sleeping beauty Microsoft and turning it in a winning racehorse surfing on the cloud. To sum up this digital revolution, “the revolution is like a bicycle. When the wheels don’t turn, it falls.””

Other millennial-related stocks Athymis Gestion invests in include Twitter, Salesforce and Paypal. Asia is not forgotten with Samsung and Alibaba.

In Toullieux’s opinion, the Chinese BATXs band (Baidu, Alibaba, Tencent, Xiaomi) carry a more spectacular growth potential than that of the FAANGs as they grow as multi-activity businesses and nothing seems to impeach them to adapt to other cultures therefore to conquer markets outside China.

As for Europe, Athymis Gestion’s CEO says poor offering lingers as European tech expertise rather deals with research and development.

  • Tweet  
  • Facebook  
  • LinkedIn  
  • Send to  
  • Topics
  • Equities
  • France
  • Equities

More on Equities

Comment: Can equities tolerate higher bond yields?

  • Comment
  • 26 February 2021
Comment: Navigating equity markets in the year ahead

  • Comment
  • 21 January 2021
M&G taps Value Partners for £500m Chinese equities mandate

  • Equities
  • 16 December 2020
Global equities tumble on covid-19 fears and US jitters

  • Equities
  • 27 October 2020
BMO Global AM launches sustainable equity fund in China

  • ESG
  • 25 August 2020
Back to Top

Most read

EU removes Barbados from blacklist of 'non-cooperative' jurisdictions
EU removes Barbados from blacklist of 'non-cooperative' jurisdictions
Global UHNWI population to grow by 27% over the next five years: Knight Frank
Global UHNWI population to grow by 27% over the next five years: Knight Frank
J.P. Morgan Asset Management launches Global Income Sustainable Fund
J.P. Morgan Asset Management launches Global Income Sustainable Fund
Comment: Four key issues powering the renewable energy revolution
Comment: Four key issues powering the renewable energy revolution
Amati Global Investors launches strategic metals fund
Amati Global Investors launches strategic metals fund
  • Contact Us
  • Marketing solutions
  • About Incisive Media
  • Terms and conditions
  • Policies
  • Careers
  • Twitter
  • LinkedIn
  • Newsletters

© Incisive Business Media (IP) Limited, Published by Incisive Business Media Limited, New London House, 172 Drury Lane, London WC2B 5QR, registered in England and Wales with company registration numbers 09177174 & 09178013

Digital publisher of the year
Digital publisher of the year 2010, 2013, 2016 & 2017
Loading