Our Investment Philosophy at Peregrine Capital

Investment Philosophy

At Peregrine Capital, our philosophy is anchored in a fundamental, bottom-up, valuation-focused approach. We continually refine our investment process, although the guiding principles never change. Diligent application of our investment process and industry-leading alignment of interests ensures we remain true to our mission, which is to create wealth for our clients.

video
5 min watch
17 July 2023

Our investment philosophy

Fundamental, bottom up approach

We only invest in assets we understand and where we believe we have an edge.

Valuation as our guide

We buy and sell assets where today's market price differs materially from our assessment of intrinsic value.

Only invest in our best ideas

We only invest in high conviction investment ideas. Where we have little or no conviction, it is better to sit patiently in cash.

We pay no attention to benchmarks

We are not benchmark cognisant investors and pay no attention to an asset's weight in a particular index.

Embracing complexity to gain advantage

We pride ourselves on identifying opportunities that are difficult to analyse or require considerable work to understand. Hidden gems considered "uninvestable" by the crowd often provide the best returns.

Avoiding uncontrollable inputs

We typically steer clear of businesses or instruments where valuation is dependent on uncontrollable macroeconomic inputs where forecast risks are high.

Continually refining our process

We interrogate our errors to learn from mistakes of the past, and endeavour to remain open minded to new concepts and opportunities that may provide opportunities in future.

Conversations with the Leaders Behind Businesses that Endure

Conviction is built long before capital is committed. Our job is to identify businesses led by people with genuine long-term conviction and develop a deep understanding of those businesses - so that we are ready to invest when the right opportunity presents itself.

Building Conviction pulls back the curtain on part of that process. Jacques Conradie in conversation with the leaders who have built and run these businesses.

Steven Brown

CEO, Fortress Real Estate

"Rebuilding the Fortress"

59 min · Ep. 2

Marthinus Visser

Group CEO, OUTsurance

"Long-term Thinking for Short-term Insurance"

56 min · Ep. 1

Most importantly, we partner with our clients by investing in our funds

We are cumulatively a top 5 investor in our funds and staff own 100% of our business. The manner in which we reward and promote our staff is designed to foster excellence, long-term focus and commitment to our clients. We hope to attract clients who have like-minded, long-term investment horizons. Times of market panic often present the best investment opportunities, and it is only with the confidence of our clients that we can meaningfully engage these rewarding opportunities.

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"Rebuilding the Fortress"

Steven Brown

Marthinus Visser2 episodes