Kingdom Capital employs a value-oriented, research-driven investment strategy focused on global public equity across all market caps, industries, and geographies. The firm generally maintains a concentrated equity-centric portfolio with a long-term hold strategy. Our investment objective is to preserve capital and seek superior risk-adjusted returns commensurate with reasonable risk.
Below are examples of the criteria (not intended to be exhaustive) we generally use to evaluate the characteristics of prospective investments.
Simple and Easy to Understand
We will seek investment in companies that fall within our circle of competence to evaluate, meaning we can reasonably predict the company's long-term earnings potential with a strong degree of confidence.
Limited Exposure to Extrinsic Risk
We will seek investment in companies where extrinsic risk factors we cannot control does not materially impact the company's long-term earnings potential; this includes, for example, currency, and interest rate risk.
We will generally seek investment in companies with sustainable business economics, proven track records, and whose products and services are virtually resilient and favorably positioned in relation to their competitors.
We will seek investment in companies with compelling risk/reward characteristics that provide a large margin of safety relative to our view of fair value and our estimation of the company's future growth potential.
Long Term Focused
We always think and invest for the long term. We generally hold positions for 2-5 years and, occasionally, more prolonged. Over time, we have studied that investing in this fashion is the most effective and financially rewarding way to generate high returns for our investors.