The FMM method

The FMM method - our three-dimensional analytical process

The decisive groundwork for the group’s investment strategy is done in the area of research. An independent team of analysts with no affiliation to any bank benefits from more than 40 years of experience and works using the FMM method, a three-dimensional analytical approach developed in-house. This describes the development of the stock market and financial markets from three perspectives: fundamentals, monetary matters and market influences.

Overview: Indicators of the FMM method

Fundamental factors   Monetary Factors Market factors
Basic, in-depth research is crucial for the long-term structure of our portfolio, and this applies to individual companies as well as macroeconomic developments. The analysts at DJE Kapital AG do not only focus their attention on bottom-line results, but also consider company value metrics, selecting businesses with a particularly strong and stable balance sheet.
By considering indicators such as bank lending, interest rates, monetary growth and excess liquidity, our analysts predict the overall liquidity situation and establish a comprehensive overview of the money market in terms of the future potential of stock markets. This means that our analysts examine how much investment capital will be available on the market in future. Homo economicus might exist in theory, but not on the stock market. Investors respond emotionally, and the same is true of professional financial investors. Against this background, the analysts at DJE Kapital AG gauge the mood on the stock market based on a number of indicators. As a result, they often know in advance where a trend is heading and take action in good time.

You can find out more about the FMM method in the following brochure (in German):
The FMM method (PDF, 1 MB)