Our primary investment objective is to reduce the potential for loss of capital by carefully selecting investments based on in-depth market analysis that demonstrates a high probability of meeting performance expectations. We aim to meet expectations using conservative levels of leverage, diversification of our portfolio of investments, and maintaining adequate levels of reserves.
We seek investment opportunities offering superior risk adjusted returns. We target investment prospects in demand driven markets, with limited price elasticity of demand and barriers to entry.
To achieve our superior risk adjusted return objective, we implement an active and dynamic risk management system incorporating mathematical optimization and financial control processes. Our risk management system identifies exposures and calculates potential consequences of systematic and unsystematic risk events. Once the probability of a risk event is assessed and the magnitude of its impact calculated, management can act to reduce or avert its negative impact, or capitalize on positive opportunities.
We believe in the investment philosophy of Graham and Dodd’s Intelligent Investor and recognize that from time to time “Mr. Market” is willing to pay a significantly higher price for a property than our estimate of its Net Present Value. In such cases, we aim to sell the property and redeploy the equity.