search toggler

High conviction growth potential

Our rigorous due diligence process that draws upon a qualified network of experts combined with bottom-up fundamental analysis and insight, drives high conviction in the growth potential of each investment in our portfolio. 

This consistent and repeatable process built over 20 years and leveraging our private equity heritage, is designed specifically to mitigate risk and identify the core attributes that drive long-term growth and value.

 

A disciplined process

Our rigorous approach includes the team interrogating every potential stock utilising proprietary research to evaluate the case for investment.

 

A Conviction Score - quantitative outputs from our appraisal process - is awarded to each stock based on six key fundamental components and helps determine optimal weightings within the fund with the aim of delivering strong, risk-adjusted returns:

 

1. Management and shareholder structure

We focus on entrepreneurial, high-quality management teams as a key drive of business growth and shareholder value creation. We also analyse shareholder structure, management ownership and incentives, and alignment of interest with our objectives as investors.

 

2. Strategy

We assess the company’s strategic positioning and how management are looking to enhance strategic value. We assess the clarity, simplicity and deliverability of the business strategy and how it links to long-term value creation.

 

3. Market opportunity

We seek to understand the size of the company’s realistic addressable market and the trends and sector dynamics likely to affect this over the life of our investment. We also look for a company’s management to be able to clearly define their opportunity, including ways to expand their addressable market through international expansion, new product development and/or acquisition.

 

4. Market position and business model

We seek to assess the market position of the company, its customer value proposition and its sustainable competitive advantages. We also evaluate the key levers of the business model and how the company generates its returns.

 

5. Financials

Our evaluation focuses on operational and financial performance, considering the profit and cash flow growth potential over the anticipated life of the investment. We also consider visibility of revenues and earnings, concentration risks, vulnerability to external shocks outside the control of management as well as the key value drivers of the business.

 

6.  Valuation and liquidity

We use an earnings-based approach to valuation analysis with each investment assessed based on absolute and relative metrics applicable to the individual characteristics of the company. Valuations are benchmarked against selected listed peers, long-term average sector multiples, appropriate situational comparators, and public and private company M&A multiples.

Our funds

Our people

We strive to get the best results for our clients by challenging accepted wisdom, sharing information and creating a naturally collaborative environment. 

Our equity investment team incorporates the added expertise of over 50 investment and research professionals from the wider Livingbridge business into their investment analysis. This powerful platform of research includes a wide network of relationships built with entrepreneurs, business leaders and influential thinkers – providing insight beyond the traditional methods of company evaluation. 

 

Meet the whole Livingbridge team

Filter people

James Bagnall

Analyst

More

Graeme Bencke

Investment Team

More

Heather Duncan

Client relations and distribution

More

Brendan Gulston

Investment team

More

Tania Hayes

Finance

More

Adam Hughes

Client relations and distribution

More

David Leahy

Investment team

More

Cate Morgan

Team personal assistant

More

Jessica Orford

Middle office manager

More

Masrur Rahman

Finance executive

More

Rupert Robinson

Managing Director

More

Tony Wells

Finance Manager

More

Ken Wotton

Investment team

More