Sycomore AM launches a European equity fund to invest in the continent’s strategic sovereignty
13 OCT, 2026
By Joanna Piwko from RankiaPro Europe
Sycomore AM, part of Generali Investments, today announced the launch of Sycomore European Strategic Sovereignty, an equity fund that invests in listed European companies linked to the continent’s strategic autonomy and economic resilience.
The strategy, classified as Article 8 under SFDR, is managed by Hugo Mas and Alban Préaubert, specialists in European small- and mid-cap equities. More than half of the portfolio is expected to be invested in companies with a market capitalization of less than €20 billion.
Sovereignty, a structural investment theme
Geopolitical tensions, the reorganization of global supply chains, reindustrialization needs, and the pursuit of greater energy and technological autonomy have made sovereignty a structural investment theme. The asset manager notes that the Draghi Report had already emphasized that competitiveness, decarbonization, and strategic autonomy cannot be addressed separately.
For Sycomore AM, these three dimensions form the basis of what it calls sustainable sovereignty, which aims to reduce critical dependencies and strengthen the long-term resilience of the European economy.
Sovereignty and sustainability have long been treated as separate agendas. Recent crises have shown the limits of that distinction. A sustainable economy needs reliable energy, resilient infrastructure, critical technologies, and the right skills. For us, sustainable sovereignty means reducing strategic dependencies while preserving Europe’s ability to compete and act over the long term. The strategy invests in companies active in these areas, with the aim of creating long-term value for investors.
Denis Panel, CEO, Sycomore AM
Four themes and a tilt toward small and mid-sized companies
The fund invests primarily in companies of all sizes based in continental Europe, with a particular focus on France, Italy, and Germany. Its portfolio is structured around four investment themes:
- Digital transformation and technological innovation: semiconductors, artificial intelligence, cloud infrastructure, data centers, and cybersecurity.
- Energy independence and critical infrastructure: energy transition, security of supply, and investment in essential infrastructure.
- Critical materials and industrial value chains: technologies, components, and specialized capabilities to strengthen Europe’s industrial base.
- Security, supported by increased European budgets and programs to strengthen space capabilities.
The strategy draws on Sycomore AM’s experience in conviction-led investment in European small- and mid-cap companies. The managers are supported by the firm’s investment platform, which includes sustainability analysts with expertise in areas such as human rights and governance practices.
We believe European sovereignty will be one of the major investment themes of the coming decades. Achieving this ambition will require substantial capital across strategic value chains. The opportunity extends beyond the largest companies to less visible small and mid-sized businesses that are essential to Europe’s economic resilience and strategic autonomy. Our role is to identify those with the strongest long-term investment case.
Pierre-Alexis Dumont, CIO, Sycomore AM
A proprietary framework for assessing security and defense
Sycomore AM considers security a prerequisite for sustainable development and has designed a specific framework for assessing investments in security and defense as part of its responsible investment process. The fund applies the asset manager’s exclusion policies, including its policy on controversial weapons, and its proprietary SPICE model.
Companies in the sector are assessed against strict criteria relating to human rights, governance, sales traceability, and controversy management. When the assessment identifies shortcomings in the management of material risks, the team initiates an active dialogue with the company.
