Investment Process

We believe in simplicity over complexity when it comes to the investment process. We adopt the hub-and-spoke model in which the CIO is intimately familiar with all the ideas in the portfolio, interfacing and collaborating with the analysts and ideas directly.

Our robust and proven investment process employs a distinctive combination of rigorous bottom up research overlaid with proprietary top-down macro quantitative models.

We aim to develop a visceral understanding of businesses through vigorous bottom-up research. We like to understand the nuances of a business, and how it would respond to changes in the environment. In almost all instances, the quality of the business, the pricing power, and the ability of the management to deliver our expected earnings sustainably are key to our analysis.

  1. We look for underappreciated emerging and enduring trends in emerging markets. 
  2. We look for good companies that are leveraged to the trend and can deliver on the promise.
  3. Valuation has to be attractive so that it has a decent chance of doubling in 3-5 yrs.

How Our Process Comes Together

BOTTOM-UP

• Team of independent thinkers constantly working to discover new ideas and industry trends

• A visceral understanding of how the business works and which companies could be the long-term winners

• Buy these high-quality compounders when they are attractively priced

RISK MANAGEMENT EDGE

• Our MOAT model reduces noise in forecasting the evolution of economic outcomes

• Our fundamental work reduces individual stock risks

• Diversification reduces correlation risks

CONCENTRATED PORTFOLIO

• Concentrated portfolio in companies that capitalise on the immense structural growth trends in emerging markets

• Protect the downside risk

MOAT (Macro Overlay Aggregate Tracker)

Macro Aggregate Overlay Tracker, our proprietary risk management model, is used to capture excess return and manage risks and stay one step ahead of the crowd. The MOAT guides us in the type and level of risks to be taken. It captures over 1 million data points every month (macro, fundamental and market data) and algorithms distil the signals into potential actionable outputs. The MOAT provides an unbiased, systematic quantification of key sectors, economies and markets. It reduces human biases in decision making. Combined with our experience and discipline, the MOAT helps us to effectively take actions to protect and grow capital.