Qualitas Funds

Funds of Funds Experts
Lower Mid-Market Experts

Qualitas Funds, Lower Mid Market Experts

Mission & Vision

The Qualitas team, based on its extensive experience investing in direct private equity, has designed a fund of funds program with the mission of providing excellent returns, consistently, with a low risk profile at all stages of the business cycle.

The Qualitas’ strategy is based on the conviction, supported by data, that Lower Mid Market returns are superior and less volatile than those of other market segments. SMEs are the companies with the greatest potential in value creation terms and, due to market inefficiencies (supply-demand balance), their acquisition prices are significantly lower than those of larger-cap companies.

Investment in the lower end of the market is generally structured using less debt, which reduces volatility and protects our investments during crisis situations.

At Qualitas, we deeply believe that the success of this business depends on the people involved.

Managing companies involves very complex and diverse tasks and, doing so successfully and in a sustained manner over time requires teams with an extraordinary combination of qualities.

In its fund of funds program, Qualitas Funds has gained privileged access to over 40 private equity managers who have historically beaten the market and never lost money in any of their funds.

Consequently, Qualitas Funds has specialized in identifying and gaining a privileged access to the best private equity teams in the Lower Middle Market.

On the other hand, we must not forget that diversification is a key component. For this reason, and to protect our investors from market volatility, Qualitas programmes ensure a diversified portfolio not only in terms of the number of companies but also in terms of countries, sectors, management teams and currencies.

At Qualitas, we are aware of the great impact that our daily decisions entail. Therefore, our investment decisions reflect our desire to back initiatives that have a positive contribution to society and, in any case, respect the principles of responsible investment (PRI) which we have voluntarily adopted.

History

Successfully investing in private equity since 2003

  • 2003

    Qualitas Equity was founded as a manager specialized in alternative investment in Spain. In 2003 it raised its first direct investment fund in Spain focused on the Lower Mid Market.

  • 2006

    The Qualitas Equity team launched its second direct investment fund in Spain.

  • 2006

    The Qualitas team began diversifying into other assets with the creation of Q-Energy, dedicated to the investment and management of renewable energy assets with global reach.

  • 2012

    The first fund launched in 2006, despite the crisis, obtained a gross IRR of 26.5% and a multiple of 3.7x on the capital invested, situating it amongst the top 5% of the best funds launched in Europe in that vintage.

  • 2014

    Q-Growth was launched to provide growth capital to Spain's most dynamic SMEs.

  • 2014

    Eric Halverson and Sergio Garcia designed a pan-European fund program specifically to combat volatility while maintaining best in class returns.

  • 2015

    Launch of the first fund of funds, Qualitas Funds I, with an investment capacity of c.60 million euros.

  • 2017

    A new management company, Qualitas Equity Funds, was set up to manage fund of funds investment programmes.

  • 2018

    Launch of Qualitas Funds II. Once the investment strategy is proven, Qualitas Funds is consolidated as a fund of funds investment program, doubling the investment capacity of the previous vehicle.

  • 2019

    Launch of Qualitas Funds III. Qualitas Funds successfully launches its third fund of funds investment program and consolidates the confidence of +500 investors.

Main Figures

Specialists in the Primary Market, the Secondary Market and Direct Investment

years of combined experience in alternative investment management

professionals dedicated to the management and administration of investments.

investment professionals.

Women/Men

investment vehicles (FCRs and SCRs).

investors already trust the quality, service, and transparency of Qualitas Equity Funds' investment programs.

Managers analysed in Europe and USA

of the capital allocated to Co-Investments and Secondaries.

Values

At Qualitas Funds we strive to offer our investors results with a deep sense of professional and social commitment.

Governance

Corporate Responsibility

Corporate responsibility is fully integrated into Qualitas Funds and is reflected in all its activity and in each of the decisions taken. Social, environmental, and corporate governance issues are not only the focus of Qualitas Funds, but also of the companies in which the management company invests.

Qualitas Funds manages its clients’ capital in a responsible manner, firmly committed with a philosophy that generates a greater social impact and higher financial returns in the long term.

Qualitas Funds became a signatory to the Principles for Responsible Investment, a United Nations initiative created in 2006 by an international network of institutional investors whose main objective is to implement the six Principles for Responsible Investment and to help signatories integrate these issues into investment and corporate governance decisions. They currently have over 1,400 signatories from more than 50 countries representing assets worth USD 60 billion.

Human Resources

We emphasize promoting an open culture that encourages inclusion, diversity, and personal development, both in our company and in the companies in which we invest. We believe that our activity has an impact on our society, and we want to ensure that this spirit of responsibility impregnates all levels of our business, establishing corporate and individual objectives specifically in the area of professional and personal development.

Sustainability

At Qualitas Funds, we are committed to using our resources responsibly to support the long-term sustainability of our company and our environment. Our sustainability efforts are aimed at reducing energy consumption and carbon footprint, as well as promoting and investing in businesses that help fight against climate change.

Regulation

QUALITAS EQUITY FUNDS, SGEIC, S.A, is a Spanish public limited company governed by these Articles of Association (hereinafter, the “Company”) and, in their absence, by Law 22/2014 of 12 November regulating private equity entities, other closed-end collective investment entities and management companies of closed-end collective investment entities (hereinafter, the “Company”), the “LECR”) and in that which is not provided for by this Law, by Royal Legislative Decree 1/2010 of 2 July, which approves the revised text of the Law on Capital Companies (hereinafter the “LSC”), by Law 35/2003 of 4 November on Collective Investment Institutions and other provisions in force or which replace them in the future.

QUALITAS EQUITY FUNDS, SGEIC, S.A., as a Management Company for Collective Investment Entities, is an entity subject to taxation in Spain, with the Tax Agency overseeing the management, inspection and collection of taxes.

QUALITAS EQUITY FUNDS, SGEIC, S.A., (hereinafter the “Company”), due to its status as a manager of closed-end investment entities, complies with the regulations in force on the prevention of money laundering and the financing of terrorism, which are subject to compliance with Law 10/2010 of 28 April on the prevention of money laundering and the financing of terrorism and Royal Decree 304/2014 of 5 May approving the Regulations of Law 10/2010 of 28 April on the prevention of money laundering and the financing of terrorism.

QUALITAS EQUITY FUNDS, SGEIC, S.A. complies with the provisions of Regulation (EU) 2016/679 of the European Parliament and of the Council of 27 April 2016 on the protection of individuals with regard to the processing of personal data and on the free movement of such data and repealing Directive 95/46/EC (General Data Protection Regulation).

The private equity funds managed by QUALITAS EQUITY FUNDS, SGEIC, S.A. are regulated by “Law 22/2014, of 12 November, which regulates private equity firms, other closed-end collective investment entities and management companies of closed-end collective investment entities”.

In July 2014, the provisions approved by the United States, known as the “Foreign Account Tax Compliance Act” (FATCA), came into force, the purpose of which is to enable U.S. taxpayers to be controlled and taxed to prevent tax evasion outside their borders.

The funds managed by QUALITAS EQUITY FUNDS, SGEIC, S.A. will operate with the following “Global Intermediary Identification Number” (GIIN) for FATCA purposes.

“Managing company GIIN”

The obligations of entities subject to FATCA are set out in the “Agreement between the Kingdom of Spain and the United States of America for the improvement of international tax compliance and the implementation of the Foreign Account Tax Compliance Act – FATCA, made in Madrid on May 14, 2013” and in “Order HAP/1136/2014, of June 30, regulating certain matters relating to the information and due diligence obligations established in the agreement between the Kingdom of Spain and the United States of America for the improvement of international tax compliance and the application of the United States of America law on tax compliance with regard to foreign accounts and approving the annual information return on financial accounts of certain United States persons, form 290”.

Compliance with “Royal Decree 1021/2015 of 13 November, establishing the obligation to identify the tax residence of persons who own or control certain financial accounts and to report on them in the context of mutual assistance”.