In studying innovative companies across geographies and industries, we asked ourselves - how do we structurally enhance net returns for clients? If we had no knowledge of how things were supposed to be done, how would we redesign the industry afresh? If we apply golden rule thinking, what would be different? How do we solve pain points for investors today? ESG is not just about the underwriting process but how we embody the principles in our fund itself to address common issues within the traditional hedge fund structure.
The FACT Approach
1 Transparency is the T in FACT
Our ethos is to show rather than tell the depth of our work by providing investors full access to our due diligence and research materials. Transparency creates an additional layer of accountability to replicable process.
2 Concentration in micro-themes
We strongly believe that a “rising tide lifts all boats”. We first identify multi-year micro-themes and then find the best stock exposure within the associated value chain
3 Fair alignment structure
Our investor terms are designed with a fair hurdle and a long look back aligns for long-term wealth creation and closing of the big gross to net performance gap that grows over time.
4 Commitment to intellectual honesty
Investment team incentives are structured to enhance collaboration, resource sharing, and intellectually honest competition for capital.