Ljubljana, May 23, 2012 (STA - Slovenian Press Agency)
Nine representatives of foreign investors shared their thoughts on the upcoming Investors' Week, organised in September by the Pan-Slovenian Shareholders' Association (VZMD) and the investo.si web portal. They expect the meeting to deliver insight into the relatively unknown Slovenian market, which is a crucial prerequisite for attracting new investments.
Representatives highlighted pharmaceuticals, manufacturing, transport, energy, IT, hospitality and infrastructure as potential points of interest. They stressed Slovenia is an attractive market, but added that it could only attract investments if their investment are safe and if the market is free of unnecessary administrative hurdles.
In September, Slovenia will be hosting the Investors' Week, which will be organized by the Pan-Slovenian Shareholders' Association through their investo.si – Invest to Slovenia program, an event aiming to offer insight into investment possibilities in Slovenia and in the region. What are your expectations for this meeting?
Jella Benner-Heinacher, President of Deutsche Schutzvereinigung für Wertpapierbesitz e.V. (DSW), President of EuroFinuse and President of Euroshareholders:
As president of Euroshareholders and EuroInvestors I am highly confident in the success of this Investors’ Week since it is being organized by VZMD which proved to be a highly professional partner in the past. With the strong and enthusiast engagement of its president Kristjan Verbič it will take the Slovenian companies a huge step forward.
Jean-Pierre Paelinck, President of the World Federation of Investors (WFI) and Honorary Secretary General of Euroshareholders:
One of the main problems with investments is that people, investors, usually are aware of opportunities in their own country or region but lack information on attractive investment opportunities abroad. Since we, World Federation of Investors, will have associations from all over the world, and that includes Asia, Latin America and other parts of the world where investors like to be informed on investment opportunities in Europe and especially in Central Europe, including Slovenia, I expect that some of our associations will be interested in the information that they will discover on the occasion of the Ljubljana meeting. This refers especially to presentations of listed companies.
Aldo Sicurani, Secretary General of the Fédération Française des Clubs d'Investissement and Vice-President and Treasurer of the World Federation of Investors (WFI):
Slovenia seems to be a very interesting point of observation and entry of South-eastern Europe but is unfortunately overlooked by French companies and investors. Investors’ Week will be an ideal opportunity to explore opportunities and make contacts.
Jan Maarten Slagter, Director of Netherlands VEB NCVB Association (Vereniging VEB NCVB) and Vice-President of Euroshareholders:
I expect to encounter my friends and colleagues from all over Europe and I expect to be informed about the situation on the Slovenian market.
Roger Ganser, Chairman of NAIC/BetterInvesting (USA), Retired Managing Partner of Venture Investors LLC (USA), President of the World Federation of Investors (WFI):
One of the benefits of the World Federation of Investors' meetings being hosted in different countries is that you get a good understanding of both the capital markets and the character of their industry. I expect to get that same insight in Slovenia in September.
Frank Fumio Kaneko, Director SeLeNet (Japan) and Vice-President of the World Federation of Investors (WFI):
Japan does not have much close business relations with Slovenia. Only very few Japanese companies have representative offices in Slovenia. We do not have much information about Slovenia. For the meeting we expect to know what business sectors of Slovenian companies are much interested in foreign countries' investment or in investing in foreign countries.
Henning Wegener, the Director of the Asociación Espanola de Accionistas Minoritarios de Empresas Cotizadas (AEMEC, Spain) and Member of the Board of Euroshareholders:
Seen from Spain, the meeting appears very useful. Although Slovenia has been part of the European Union internal market since 2004, and has joined the eurozone in 2007, the country is not particularly well-known to Spanish investors and Spaniards generally. In spite of the very active Slovenian Embassy in Madrid, there is not sufficient awareness of the solid industrial culture, the competitiveness and modernity of the Slovenian economy. Its industry is diversified, and the service sector, including in informatics, is growing rapidly. Slovenia has good infrastructural prerequisites for foreign investment, and a well-functioning administration. All these features can gain higher visibility with the Investor Week.
Alexey Smirnov, Vice-President of the Russian Federation of Investors:
The world around us is changing fast, and today is the time for the new look on common problems. Many people get used to invest in countries, which are in all mass media. But today I believe, Slovenia can offer new possibilities for investors. Country is not so big. It means, it can offer new visions, new possibilities without big bureaucracy barriers for investors. Of course, everybody think about risks. In Slovenia, I think, it is easy to know the situation from inside. This country is opened for investors, and, moreover, have to be opened. I believe in good perspectives for Investors in Slovenia. From this meeting I expect to receive structural information about invest climate in Slovenia and, would like to see new possibilities for investors. Personal discussions with executives are very useful too.
Robert Dannenberg, Vice-President of the World Federation of Investors (WFI), Director of Geo Eventos (Brazil), and President of TradeNetwork Participações (Brazil)
Our expectations is to meet other companies and associations to discuss about business opportunities
Slovenia is getting ready for a new wave of privatization, what sectors are most attractive for investors from your country?
Jella Benner-Heinacher:
As representatives of investors we have to distinguish between the needs of institutional investors and private investors. Large institutional investors from Germany will probably focus on high tech or engineering companies in Slovenia while private investors usually head for companies with products they know and understand.
Jean-Pierre Paelinck:
From an investors point of view I think that pharmaceuticals, food processing, transportation will attract attention, because of the tendency to produce good pharmaceutical products at affordable prices, as asked everywhere and especially in the USA and in the Western part of Europe, food processing, that includes wine and products that are not enough known abroad but these being products that can be made known in an effective and easy way and transportation in view of the many road companies that are active throughout Europe with Slovenian trucks. In short real business, real production, with real added value but made known by your convincing presentations by your top CEO’s and I know how convincing they are in your country.
Aldo Sicurani:
Much depend on the economic environment and the particular merits of each company. Luxury, aerospace, food and beverage, pharmaceuticals, hotels are rather hot at the moment.
Jan Maarten Slagter:
I really cannot judge, because I have no insight (yet!) in the specifics of the various industries that are up for privatization.
Roger Ganser:
It is very hard to categorize a specific sector of interest for USA investors. My professional background is as a venture capitalist, investing in technology companies. However, the key for any investor considering a new country is the integrity of the capital markets (issuers, lawyers, auditors, regulatory agencies, etc). After that, the investor can pick his/her area of interest. The host country has the opportunity to highlight areas of strength, competitive advantages, etc.
Frank Fumio Kaneko:
I think not so much Japanese investors are actually interested in investing in Slovenia because Japanese are not so familiar with Slovenia. We heard some Japanese companies are interested in infrastructure sector such as energy.
Henning Wegener:
Spain has a broad range of foreign investment interests, and a leading role and expertise in a number of technical areas, like telecommunication, renewable energy, construction. For historical and cultural reasons much Spanish investment capital has gone to the Latin American continent, where Spain is also very strong in the financial sector. Although Spain is likely to be a sizable capital exporter in the longer run, the current economic situation is less propitious for investments, including investments abroad.
Alexey Smirnov:
In our country private investors, first of all, want to invest in business with fast turnover and big margin, because our psychology. We are working in terms, which are not for a long investment .Russian investors get used to think so. But last time we can see investors, who invest in infrastructure projects. In this case everybody is interested in clearness and low risks. On the meeting I hope to receive all information about different sectors of Slovenian economy with description of all sectors for investment.
Robert Dannenberg:
We see a great opportunity on infrastructure, oil and gas, power supply and agriculture.
How much money could the investors that you represent bring into the region and Slovenia?
Jella Benner-Heinacher:
Germany was always and still is a major trade partner of Slovenia and vice versa, so there is already a strong and traditionally good relationship. The attractiveness for German investors to invest in Slovenia could be increased if the conditions offered to foreigners are sound and attractive. It will be of major importance whether foreign investors can be sure they can invest safely, on firm legal grounds without any impediments.
Jean-Pierre Paelinck:
They might bring substantial amounts of investments if they feel that there are companies presented that have more potential than the ones of their home country and provided they want to diversify their portfolio. One should see it as an investment opportunity they should not ignore, not as the only one to consider, but one that resists competition, that is reasonable to consider. That is why the presence of supervisory authorities at your meetings, as it was the case on the occasion of your latest annual meeting in December 2011, is so important to reassure the markets, to add their moral guaranty to our publicity for companies, because if only we were present, foreign investors would believe that we only preach for our own chapel. In fact all major players of the Slovenian market can give this feeling of interesting investment opportunities to the visitors that will come with great interest to listen to your information and to the presentations of the supervisory authorities, stock exchange and listed companies. Together we are more convincing. The fact that the PanSlovenian Shareholders’ Association is present, and actively present, in all international important investor associations is an additional reference to the importance and seriousness of your endeavor to promote your economy and capital market. How much investment that will represent in terms of capital inflow is difficult to assess but in this field of activity there is no quick sale. The investors of the world will certainly be interested but ours are of a stable, meaning slow type, and actually for a country stable investments are to be preferred to hot money.
Aldo Sicurani:
At the first place we represent individual shareholders who mostly invest in local stocks. That said, Slovenian privatizations will certainly interest fund managers and, eventually, private investors.
Jan Maarten Slagter:
I really have no way of knowing this so far.
Roger Ganser:
Our main goal is help educate our members (and their members) about the integrity and opportunity of national markets.
Frank Fumio Kaneko:
We do not have any concrete answer.
Henning Wegener:
Our association represents minority shareholders in listed companies, and thus has little access to major investors. In addition, we have kept a small membership base and concentrate on the generic defense of the shareholder by well-chosen activities in the public domain and through the media. Nevertheless we are happy to direct attention to the Investor Week within our possibilities.
Alexey Smirnov:
It is hard to estimate, how much money could the investors from Russia bring to Slovenia. As you know, many investors from Russia try to find new possibilities to invest outside Russia. They have a great amount of money, but prefer to keep quiet about their possibilities. First step for them is to understand the conditions for investment in Slovenia. Then they will make decisions about everything. Anyway many Russians are rich people. In case, if Slovenia could offer for Russian investors worthy of note conditions, success is guaranteed.
Robert Dannenberg:
Usually our investors seek for investments around 50 million USD and up to 500 million USD.
Other Notable International Activities:
WFI President, Jean-Pierre Paelinck, Lectures in Seoul, South Korea (South Korea, May 2012)
VIDEO REPORT - investo.si and VZMD Actively Participate at the Ljubljana Stock Exchange's Slovene Capital Market Day 2012 for the Third Year (Ljubljana, April 2012)
VIDEO REPORT - Kapital 2012 - Active Participation of the VZMD, investo.si, invest-to.net (Ljubljana, April 2012)
VIDEO REPORT - International Conference at the Brussels Stock Exchange Stimulated Investors' Representatives and Institutions to Participate at the Investors' Week 2012 in September in Slovenia (Brussels, March 2012)
VIDEO HIGHLIGHTS from the Euroshareholders & VZMD Award Ceremony, Holiday Party, and Announcement of the World's Largest Meeting of Investors' Representatives in 2012 in Slovenia (Ljubljana, December 2011)
Very Successful Visit of the AEMEC Conference and at the Headquarters of Santander Bank in Madrid (Madrid, November 2011)
EUROSHAREHOLDERS General Assembly - Slovenia voted as Member of the Board; Russia and EFES Accepted as Associate Members; General Secretary, President, and Vice-Presidents Elected to Another Term; Next Assembly to Be Held in Slovenia (The Hague, October 2011)
"Slovenian Day at the Warsaw Stock Exchange (WSE)" Exceptional Interest of Funds, Investors, and the Financial Media for Slovenian Companies and Its Investment Environment - The Introduction of investo.si - Invest to Slovenia's Newly Founded Affiliate, investo.me - Invest to Montenegro (Warsaw, October 2011)
