Investment Strategy
Medium to Long-Term Focus; Concentrated Investing
Long Term Investments
- Driven by Fundamentals, Lens of an Owner
- Deep and thorough research
- Good returns on equity with healthy balance sheet coupled with earnings growth potential
- Fair business that demonstrates possible improvements in underlying earnings power
- Good business that encounters one-off problem/difficult period that can be resolved
- Perceive risks predominantly as the permanent loss of capital due to deteriorating business fundamentals
Short-Term Trading
Active Trading
- Trading around industries tailwinds/headwinds, Fundamentals, Fund flows, Sentiments, Momentum, etc
- Hedging purpose; Buying insurance
- Such profits then allow us to add more of our existing long-term holdings/and or new investments at attractive prices during broad market declines
- High leverage; Involves many trades and high frequency
- High emphasis on risk management
- Systematic and discretionary risk guidelines
Quant-Driven Multi-Factor Strategy
Quantitative Investments
- Development of strategy based on domain knowledge and experience, rather than data-mining
- Screening framework built upon well-supported investment risk factors
- Tactical adjustment to capitalise on opportunities and limit risk
- Systematic and data-driven approach – Adopt quantitative methods and algorithm to analyse data
- Scalable – Ability to analyse a vast amount of information at low cost
- Enhanced transparency – Clear and objective rules for investment decision making
- Rigorous back-tested results indicate good outperformance over market benchmark (S&P and HSCI Index)