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.

Tuesday, June 2, 2020

Q2.2020 - Elastic: Attractive Expansion Around Its Core Competencies


  • Elastic is leveraging its core competence in IaaS search technology to expand into the fast-growing cloud security and APM markets.
  • It also continues to maintain a strong reputation within the open-source community, which has helped in landing high-profile clients.
  • The 70% growth and 130% net retention have been solid and best-in-class, while the valuation offers enough margin of safety for investors.

Elastic (ESTC) presents an attractive investment opportunity in the area of software and IaaS (Infrastructure as a Service) spaces. As Venture Capitalists, we first learned of its open-source Elasticsearch offering maybe a year or two before the incorporation of Elastic. Its open-source search technology has been popular among the engineering teams in and outside Silicon Valley and is well known for its reliability. Having been in the search technology business for almost 10 years, Elastic has also acquired a core competence in building SaaS and scalable IaaS-based offerings. As the company scales its business and monetizes around this core competence, we maintain our long-term bullish stance on the stock.

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