Our approach is simple: we invest proprietary capital in listed businesses with a focus on identifying hidden or unrealised value, often in investment themes that are played out over years.
Legatum’s investment philosophy has been honed over three decades. The permanent nature of our capital provides us with a distinct advantage: we are able to invest patiently with a long-term perspective, often holding through the cycle. Liberated from managing investors and answering to consultants, and freed from benchmarking and the risk of redemptions, we are able to focus solely on finding the best ideas and respond nimbly to opportunities.
While we typically focus on finding listed, liquid, world-class businesses undervalued by the market, we are not prescriptive and remain opportunistic, open to any geography, sector or part of a company’s capital structure.
Our approach is characterised by:
Patience and a long-term perspective
Proprietary capital means patient capital that gives us the flexibility to ride out volatility and wait for our investment theses to unfold. We evaluate performance over years rather than quarters.
Value focus, global mandate
We search globally for the best opportunities and invest with conviction, believing that value emerges over time. The key to success is paying the right price at the right time, so that the risk lies in the time required for value to be realised, rather than the inevitable fluctuations in price.
Concentration rather than diversification
A deep knowledge of the companies in which we invest mitigates our risk and necessitates a highly concentrated portfolio. Leverage is incompatible with our approach to risk management.
Great ideas very often contain a simple elegance. We favour simple big ideas, stories where there is a clear catalyst or value driver that is easily understood by the layperson.