*0% fees apply to investments up to $25,000.
The Thesis Portfolio strategy has two components, the Thesis and the Core. The Thesis will typically comprise about 85% of AUM and the Core about 15%.
The Thesis strategy uses Crowd Wisdom to identify segments, assumptions, catalysts, and market developments, which the investment manager can monitor, so as to determine that the investment theses remain intact. The Thesis approach targets potential events and expected outcomes for the prices of securities it purchases from said events. It requires the discipline to buy only when prices are consistent with the thesis target return, and to sell when the thesis is determined to be no longer in force. Deviations from “fair value” offer opportunities to derive incremental return from trading these positions.
The Core strategy is not a target return strategy (unlike the Thesis strategy), but rather an outperformance strategy. While the Thesis component may be invested largely in cash from time to time, either while developing investment opportunities or waiting for prices to reach the target zone, the Core component is intended to be always invested, so as to offer a floor on market exposure to the Portfolio. The Core approach is focused on finding attractive risk-adjusted return opportunities.
The Portfolio philosophy is one of conservative independence. Conservative and independent in the sense that the Portfolio is not comparing itself to others, it does not consider opportunity costs, it is wholly focused on capitalising on opportunities, which measured over several years appear to have modest risk, and meet the Thesis return benchmark. This requires patience and the view that opportunities always come along and what’s most important is to avoid material losses.
We believe our Thesis Portfolio product, powered by our Crowd Wisdom system, to be a truly unique proposition and world first.