Aligned Wealth Investors
Overview and Investment Strategy
In this time of incredible market volatility, high net worth individuals and family offices are seeking new and better alternatives for their capital. The intermediate to long term capital appreciation opportunities in public equities are growing, and there are outsized return opportunities available to skilled navigation, extended duration, and investing in different tranches of the capital structure.
Professional managers remark that the most effective way to manage for total returns is to invest as if it were your personal account: In this manner, they would be more willing to swing at the “fat pitch” and allow time to achieve price target and would be more geared towards tax efficiency. Also, they would be willing to stomach short term volatility and add to positions in the face of pressure.
The relationship between duration of capital, the duration of ideas in a hedge fund portfolio and manager compensation versus investor returns is broken. Our model should achieve alignment of all three. We value critical thought above all the noise and distraction that exists in our world today. We believe investor and manager incentives should be aligned on cash realization, not accounting treatment basis. We believe transparency and service are paramount – this is your capital at risk alongside ours.
The Firm has created a fund to invest alongside a portfolio manager with 11 years of principal investment experience. This Fund will take a 360 degree view of markets and utilize fundamental analysis, macroeconomic views, behavioral psychology and technical analysis viewed through a global lens to find the “big ideas.”
The Firm also intends to attract to the platform other asset managers who are like-minded in approach but who target complimentary investment strategies.
Investment Strategy
This fund will focus on opportunistic ideas that are global in nature. Each idea hurdle rate is at least a 50% return within 3 years. The fund intends to hold no more that 40 positions and employ a judicious use of leverage at times. The portfolio will be constructed based upon risk/reward price target methodology (the upside objective versus downside risk across the duration of the investment where more capital is allocated to higher ratio opportunities). The Fund will also be research oriented, but be able to invest based upon macroeconomic, behavioral and technical inputs. Short selling will be employed as a tool to make money and not simply to hedge.
Key Team Member Information