Daniel Malan Rejects Safety-In-Quality Mantra Of Most Fund Managers

Daniel Malan Rejects Safety-In-Quality Mantra Of Most Fund Managers

Daniel Malan of South African Regarding Capital Management (RECM) sat down for an interview with Value Investor Insight earlier this month. RECM manages around $2.2 billion in assets and searches for “cheap entry points into sustainable businesses managed by ethical, sensible people who understand how to allocate capital in the pursuit of long-term shareholder value creation on a per-share basis and are appropriately incentivized to do so.”

Also see David Herro’s recent interview with VII

Daniel Malan avoiding “franchise businesses” right now

Daniel Malan emphasizes that RECM’s “goal is to invest in absolutely cheap assets anywhere in the world offering the best prospective returns to our clients.” He admits that this has sometimes led to a “heavier concentration in “franchise” businesses like Estee Lauder, Nestle, Coca-Cola, Swatch and Johnson & Johnson, because that’s where we were finding the best values.” He continues to say, however, that such franchise businesses are not always the best values.

Massif Capital’s Top Short Bets In The Real Asset Space [Exclisuve]

Screenshot 2022 08 10 18.57.51 1Since its founding by Will Thomson and Chip Russell in June 2016, the Massif Capital Real Asset Strategy has outperformed all of its real asset benchmarks. Since its inception, the long/short equity fund has returned 9% per annum net, compared to 6% for the Bloomberg Commodity Index, 3% for the 3 MSCI USA Infrastructure index