Gritcapital seeks opportunities where it believes the market is inefficient and where temporarily imbalances exist in terms of price. We apply a disciplined, long-term orientated opportunistic value approach to our portfolio selection and are committed to producing attractive positive long-term returns irrespective of market returns. The returns stem from long positions only bought at a discount to their intrinsic value. We fundamentally believe that good businesses make sound investments only at bargain prices.
The funds are currently closed and in ‘soft launch’ for a limited number of investors. We intend to change this once we feel confident that we can fully support our investment activities and when we have drummed up enough investor interest. In the meantime we are preparing ourselves for the day we can invite you in.
This website is not a solicitation for our funds and is only intended for information purposes. We give you information about what we're up to and why we feel so strongly that we have an investment strategy worth considering. read more
This is a great little article by Wesley Grey of Alpha Architect highlighting the benefits and challenges of investing with conviction and staying the course. Basically the article describes the read more
Mark Mobius of Templeton makes a point that within the emerging-markets universe, there are a number of small-cap stocks with shining potential that he thinks shouldn’t be ignored.
Morningstar published an article analysing whether fund managers who 'eat their own cooking' outperform managers who don't. As intuitively expected the article confirms significant out-performance of the investment funds in read more
This is the very eloquent transcript of a presentation by Christopher H. Browne from Tweedy, Browne Company LLC to Columbia Business School Graham and Dodd Value Investing in November 2000. In succinct read more
Systematic decision making across Global markets
Grit's MultiFactor fund is our first investment fund applying a quantitative value strategy to a select group of global markets. We try to eliminate the influence of human biases by using a systematic model to do the stock picking and portfolio selection.
We believe that this strategy will beat traditional indexes over the long run. This fund is an important first step in Grit’s fund structuring plans as the MultiFactor fund will serve as a benchmark for VariantView; an actively managed frontier markets value fund. This benchmark will be the true test of Grit’s active value strategy for if the actively managed frontier markets fund cannot beat an algorithm then spending scarce resources on active management is hard to justify. Admittedly this would be an intellectual defeat but we are prepared to accept this. read more
Active fund management in inefficient markets
The VariantView fund is focused on investing in publicly traded equities in frontier markets. The inefficiencies in these markets favour actively managed portfolios. VariantView applies a disciplined, long-term orientated, opportunistic value driven strategy seeking solid businesses that are trading at attractive prices relative to their intrinsic value.
VariantView is focused on absolute returns whilst minimizing the permanent impairment of capital. We think the only benchmark worth considering is Grit’s multi-factor fund; for if the actively managed VariantView cannot beat an algorithm then why spend scarce resources on active management?