We approach every investment the way a business owner or acquirer approaches a company: by asking how it creates value, what it is worth and what could undermine it.
We begin with the investor: objectives, risk tolerance, investment horizon and applicable eligibility requirements. Research is only useful if it addresses the right questions for the right investor.
We study markets, sectors, managers and potential opportunities, building context from industry data, public information and professional relationships before focusing on any individual case.
We assess business fundamentals, financial quality, valuation, transaction logic and risk, testing the assumptions behind any projected outcome.
We examine the investment structure, investor rights, fees, liquidity terms and potential conflicts of interest, because structure determines how value is shared and how risk is borne.
Within applicable laws and any formal service arrangements, we emphasise clear communication and transparent information, including risks and limitations.
Is the expected value driven by real business improvement and cash generation, or by assumptions about market sentiment and future multiples?
How does the price compare with the business's earnings, cash flow, growth and relevant precedents, and what must go right to justify it?
Which operational, financial, market, structural and liquidity risks could impair value, and how severe could the downside be?
How are the manager, sponsor or company management compensated, how much of their own capital is at risk, and where might conflicts arise?
How and when might the investment be realised, what conditions does that depend on, and what happens if the exit is delayed?
