Greenhaven Road Capital 3Q15 Letter To Partners – A Tale Of Two Companies

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Greenhaven Road Capital 3Q15 Letter To Partners –  A Tale Of Two Companies

Greenhaven Road Capital letter to partners for the third quarter ended September 30, 2015.

Dear Limited Partners,

The fund endured its first “down” quarter in over two years, but is up just over 4% for the year through September 30 after all fees and expenses. This compares favorably to the S&P 500 that is down more than 5% over the same period. When considering our fund’s performance year to date, I would like to highlight two items of note. First, with the fund’s six percent hurdle rate, as of September 30 investors have not accrued any performance fees in 2015. Second, as the largest investor in the fund, my family took the same losses in the quarter as you did; we are in this together. This will not be the last down quarter. We will have more down quarters and years and sustained periods of under-performance in the future. However, as long-term investors, we view the volatility as a creator of opportunities which we try to seize. Nothing happened this quarter to make me believe that markets are efficient. I continue to believe that our small size and broad investing universe provide ample opportunity to generate substantial returns over the long term, even with down quarters and years along the way.

RV Capital 1H22 Letter to Co-Investors in Business Owner