Business and Equity Analysis

Markets misprice not only because investors act irrationally, but also because of poor management decisions, structural change, political nuance or miscommunication.  This means that at any one time, the market may not have sufficient information to determine the fair value of a potential asset.

We recognise that sector uncertainty or unique situations can often result in incorrect asset valuations. Short term volatility often needs to be looked through for longer term success. Wider market moves are often part of a trend that significantly impacts the valuation of investments in specific sectors creating momentum.  Emotion can take over and asset values can easily be distorted.  We try to eliminate these business misconceptions by applying a rigorous and disciplined approach in analysing businesses and reporting the impact of changes that we see taking place.