We are willing to question and go beyond the standard practice in our search for investment opportunities that results in new ways of approaching and managing risk and return. Without being constrained by orthodox thinking or being slaves to current fashion we see opportunities, across public and private markets, where we seek an innovative approach to recognize the potential of markets before they become the standard.
Traditional managers are usually evaluated on relative performance, a performance that is measured against a selected benchmark return. That is why there is an anomaly where traditional managers are rewarded for losing less than the benchmark, or at best less than their competitors, during a down market. We seek instead to generate an absolute return, independent of the market situation.
By using event-driven situations, distressed opportunities or by investing in inefficient areas and irrational markets we seek investments with low correlation to traditional market indices to decrease volatility and provide diversification to our clients’ overall portfolios.
John Maynard Keynes once said: “The markets can stay irrational longer than you can stay solvent”. That is why we offer the full palette of available investments and why we are focused on active portfolio management within an absolute return framework.