Platts Lane VCC – Global Select Equity SF (Sub Fund) is a long only equity strategy with the objective to compound our investors capital at above average rates of return over a medium to long term horizon.
We look for like-minded investors who seek above average returns, share our common sense approach to patient, long term investing & would like to invest alongside our personal capital.
Our Investment Approach
Our investment philosophy is based on three core beliefs / insights :
Firstly, in the long term, the best Investments in the stock market will come from owning the best / high quality businesses.
Secondly , business owners generate / create significant wealth through a differentiated perspective on the underlying businesses & hence we aim to cultivate that mindset in our investing.
And thirdly, good businesses are rare and the key to generate above average wealth from public markets is to build a concentrated portfolio of your best ideas.
Portfolio Construction
We consider our portfolio as a holding company of ownership stakes in high quality businesses and we construct it one business at a time without constraints of geography, sector or theme.
Our positions are conviction weighted and usually grow over a period of time as our confidence in the business increases. Our core holdings are in mature growth established compounding machines while we own smaller stakes in businesses where the opportunity and the competitive advantages are evolving.
We believe this two pronged approach provides an adequate margin of safety for our capital and positions us to grow our capital by investing earlier in tomorrow’s winners.
What is a high quality business ?
It’s obvious that if a company generates high returns on capital and reinvests at high returns, it will do well. But this would not sell books, so there is a lot of twaddle and fuzzy concepts that have been introduced that don’t add to much / Charlie Munger
Thinking like a business owner
Stock Certificates are deeds of ownership in business enterprises and not betting slips / J Paul Getty
The big money is not in the buying or selling, but in the waiting / Charlie Munger
Portfolio Concentration
Wide diversification is only required when investors do not understand what they are doing / Warren Buffett
I think diversification and all that stuff they’re teaching at business school today is probably the most misguided concept anywhere / Stanley Druckenmiller