Asset Manager Investing in Global Technology Sector

We're an asset management firm allocating our capital into asset classes benefiting from technological innovation and applications globally. We serve as a family office of a tech professional who has spent over a decade as an entrepreneur, operator, and venture investor across Asia and the US.

Our small team is made up of diverse investment professionals who research, identify, and execute relevant opportunities. We occasionally share some of our investment memos, insights, and analysis here.

Saturday, March 7, 2020

Our Investment Approach

Holdings
Ticker
Name
Primary business
MSFT
Microsoft Corporation
Software
EXPE
Expedia Group Inc
Mobility
ZEN
Zendesk, Inc.
Software
HUBS
HubSpot, Inc.
Software
CRM
Salesforce.com Inc
Software
BABA
Alibaba Group Holding Limited
E-commerce
GOOG
Alphabet Inc.
Online Advertising
INTU
Intuit Inc.
Software
NOW
ServiceNow, Inc.
Software
TEAM
Atlassian Corporation Plc
Software
AMZN
Amazon.com, Inc.
E-commerce
What We Invest in and What We Don’t
In a nutshell, our strategy is to focus on identifying long-term high growth investment opportunities in listed technology companies with global disruptive potentials. To a very broad extent, we seek growth. Technology is most often a means to that end. Moreover, due to our Venture Capitalist background, we know no other way to grow but through leveraging technology. Almost every company today is considered a technology company. The motivation for the use of technology, however, varies from one organization to the next. Some companies leverage technology to simply achieve operational effectiveness, while some do so to innovate. We call the former group digitally-transformed companies (think GE, Astra Zeneca, or Unilever) and the latter technology companies (think Facebook, Google, or Microsoft). In the latter, technology becomes a competitive advantage that allows for creation of innovative products/services with disruptive potentials within the respective industries. These products/services are what drive strong demand due to their capacities to transform economic activity by creating simplicity and accessibility while driving down costs at scale. As a result, a technology company is able to achieve exponential growth as it both disrupts the incumbent and reinvent its industry not only domestically but also globally.
Investment Criteria
In our screening process, we evaluate all opportunities against our key investment criterias. We assign a relative weight to each criterion, based on our subjective judgement on its particular importance in any given situation. All technology growth stocks in our portfolio possess most but not necessarily all of the criterias below: 
  • Massive TAM (>$100 billion)
  • Global presence or globally replicated business model
  • Strong cash flow generating power
  • Founder-led
  • Strong moat relative to peers (e.g. differentiation in user base, product, or team)
Portfolio Management
We frequently assess the performance of our portfolio against the initial investment thesis. We also rebalance our portfolio to optimise the return based on our subjective judgement and insight into the economic situation at any given time. We make the decision on all asset allocations, and have a significant portion of our net worth invested in the portfolio companies.

Portfolio Growth and Performance
Portfolio
Initial Balance
Final Balance
CAGR
Stdev
Best Year
Worst Year
TNG
$10,000
$27,733
27.74%
20.46%
57.81%
-3.20%
Vanguard 500 Index Investor
$10,000
$15,644
11.34%
12.25%
31.33%
-8.29%







Portfolio
Max. Drawdown
Sharpe Ratio
Sortino Ratio
Correlation


TNG
-17.54%
1.25
2.14
0.71


Vanguard 500 Index Investor
-13.55%
0.83
1.2
1


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