02Rethink Innovation Investments
We don’t use crystal balls to predict the future
- but data and brains
Our approach is different from the usual tech fund. We have mastered the art of screening for future viability: The core of our services is our investment methodology.
Applied innovation in a set of selected tech sectors has a positive impact on future earnings, and with that - on performance. We aim to detect those companies with innovative processes, products and services in place, as this is more likely to lead to exponential growth in the future.
Our funnel is based on data analysis and expert insights to identify the 3.000 companies out of almost 50.000 that have already implemented pioneering technologies. We call it the Singularity Universe: a set of listed companies across all countries and industries, contributing to and benefitting from exponential innovation in 12 Singularity Sectors as identified by our Expert Advisory Board, a global Innovation Think Tank.
Our approach is holistic and has a mid- to long-term horizon.
It takes into account that true growth is exponential and rooted in early adopted transformation processes. We look for actual value creation. As a result, we identify those established companies that have already incorporated new technologies and proven marketability.
Selected Singularity Sectors
Artificial Intelligence (AI) is defined as an area in Computer Science dedicated to install human intelligence in computers and other machines. AI is one of the fastest growing Singularity Sectors.
Big Data (BD) is defined as high volume, high velocity and/or high variety information that requires new forms of processing and, if well processed, can significantly enhance insight and decision making.
Bioinformatics interlinks computer science, statistics, mathematics, and engineering to analyze and interpret biological data.
A blockchain is an open, distributed ledger that automatically processes transactions and creates a flawless digital database shared by everyone on the network.
Internet of things
Internet of Things (IoT) is a system in which objects are connected to the Internet by sensors. After 1999, IoT has expanded beyond such definition to include the connectivity of anything.
Our Advanced Materials focus includes materials with novel or enhanced properties or functions, as well as new device architectures.
Neuroscience is the scientific study of the nervous system (the brain, the spinal chord, and peripheral nerves). It now involves several fields such as chemistry, engineering, medicine, and genetics. Neuroscience can be divided into three major fields: neurobiology (the chemistry of neuro-cells), cognitive neuroscience (the interaction between the brain and behaviors), and computational neuroscience (the creation of computer models). The three fields can be further subdivided into 16 areas of specialization, including cellular, clinical, cognitive, and molecular neuroscience.
A multitude of new energy systems have emerged over the past decades. Only in the last few years clean energy has in some areas reached a state of lightweight, flexible nature that has allowed it to become decentralized and used at the household or community level. As the cost of these units goes down, their sophistication will also increase, and as they are increasingly built on digital technologies, some already speak of the ‘Internet of Energy’.
A key hurdle in new energy systems is storage. Innovation in this area will need to be closely watched along with developments in Smart Grid technologies and Electric Vehicles.
Articulated robots can adapt to various applications, such as pick and place, palletizing, painting, and welding. The ease with which these processes can be replaced by robots has already had an impact on the job market. As industrial robots increasingly get used in drilling, casting, welding, forging, bending, stamping and grinding, and laser cutting in the metals and machinery industry, this is the next leg of growth in industrial robotics. APAC is expected to hold the largest market share between 2017 and 2023. The low cost of production isn’t anymore the key driver to move to Asia.
The Space industry manufactures and services products (hardware and software) going into earth’s orbit and beyond. While its revenues represent about 1% of the world’s GDP, its impact is by far more widespread: transportation (e.g. GPS), banking (e.g. Data Management), Telecoms (e.g. Satellites), Healthcare (e.g. weight-free research), and Defense among others. Space research has led to many down-to-earth applications. The industry can be divided into at least three main fields: Satellite, Support of ground equipment (e.g. broadcast satellite dishes), and Launch (e.g. vehicles).
Virtual reality (VR) immerses the user in a virtual world, augmented reality (AR) overlays digital information onto the physical world. Both are redefining existing ways of doing things, from buying a new home to interacting with a doctor or watching a concert.
3D printing, also known as additive manufacturing, is the process of printing, layer by layer, any three-dimensional object based on a digital file.
To illustrate our investment strategy, we’d like to show you a few examples that made it into the Singularity Universe. What they all have in common: They don’t classify as tech companies, yet all are driven by innovation and have demonstrated the ability to create value for investors.