Monthly newsletter September 2020


September was generally a weak month on world stock markets. Collateral shares was no exception, but a stronger dollar and a weaker krona contributed positively. The Global Security Fund fell by 0.7 percent and 0.5 percent for the R and S classes, respectively.

Crowdstrike var again again the month's best-performing share with an increase of about 13 percent. With more and more employees working from home, companies today are more exposed to different types of cybercrime. In this context, Crowdstrike has been a clear winner in an industry that Grand View Research has predicted will grow by 10 percent annually until 2027. Crowdstrike has managed to differentiate itself in extreme competitionexposed industry with its unique AI and cloud-based Falcon platform. There are various segments in the cybersecurity area and Crowdstrike is considered disruptive in the endpoint protection segment - a segment that the company estimates at $ 12.8 billion, equivalent to just under one tenth of the entire cybersecurity sector.


The importance of endpoint security has grown since COVID-19, as each employee's laptop and mobile devices are considered an endpoint. Crowdstrike reported an 89 percent increase in subscription growth last quarter, which is a evidence that deras Advanced solution is more critical for customers than ever. Crowdstrike also acquired Preempt Security in September for USD 96 million to enter the identity security market. The company is up over 165 percent during year and as the fund's largest holding, the company contributed 1.5 percent for the month.


The Kongsberg Group was up 4.3 percent during September. The company has one well diversified business and a strong cash flow. Also informed the company on a partnership with Microsoft to explore new ways to make satellite data more accessible through Microsoft's Azure Orbital platform. Microsoft, which last year won the lucrative JEDI contract, works with a number of security and satellite companies.


Saab step 1.7 percent during September. The share has stabilized at a higher level  after the strong rise in July. Works with many other security companies Saab actively in India to win defense contracts and the company has cautiously commented positively on possible cooperation opportunities with India. Other security companies that developed positively during the month were Honeywell, Leidos, Lockheed Martin and Flir.


Another company that joined Microsoft's Azure Orbital ecosystem was the satellite communications and networking company Viasat. But newsn if the cooperation was not enough for one positive coursedevelopment. The company was the worst performer of the month and fell 10.3 percent. The cybersecurity company NortonLifeLock was the second worst contribution of the month with a decline of 8.1 percent. The company's share price is consolidating after a strong year where the share price is up 38.3 percent. There were many companies that contributed to the negative development during the month, among these were CACI, Textron and Northrop Grumman.


Boeing announced that production of its 787 aircraft will be relocated to South Carolina next year. A series of strategic cost reductions together with a turning point in the current subdued aviation industry may well be the turning point for the airline's share price.


The cyber security company Palantir was launched on the stock exchange on September 29 and is valued at just over USD 15.5bn. With high-profile investors such as Peter Thiel and customers such as the CIA, there are high expectations that the company will play a significant role in the cyber security industry in the coming years. The Global Security Fund has not yet bought into Palantir but is monitoring the company.

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