Our Investment Philosophy
Our approach to investing:
- we take a long-term view
- we are active investors
- we have a disciplined risk management approach
- we do our own research
- we invest in companies that we consider have:
- attractive valuations
- favourable industry characteristics
- a sustainable competitive advantage
- strong management and governance
- a clear strategic plan for growing shareholder wealth
- a robust business model
Guided by this philosophy, we employ a rigorous and proven investment process designed to identify the best opportunities for investment and to generate ‘value add’ in a consistent manner for our clients.
Our investment process involves 3 broad steps: Research, Peer Review and Portfolio Construction.
We filter and identify investment opportunities through detailed industry and company analysis. We use research models to value each company we wish to invest in, subjecting them to rigorous analysis focusing on their earnings, capital structure, free cashflow generation and growth prospects.
2. Peer Review
Our highly experienced investment team then conducts a review of each business to assess its industry structure, management quality, governance structures, competitive position and growth plans. Peer reviews are then conducted to ensure we invest in what we believe are the best possible companies.
3. Portfolio Construction
Those companies identified in the research process are then included in a portfolio of shares. The key factors we take into account in building the portfolio are the company’s valuation, our assessment of the business, its risk characteristics, liquidity, our views on the economy and the identification of a catalyst to boost its performance. The portfolio is then constructed in accordance with its investment guidelines.