We want to invest in management teams that are outstanding capital allocators. When we find CEOs who are highly competent in human and cultural aspects as well as capital allocation, we pay close attention to them. Capital allocation has a big impact on the value creation of a company and therefore on the stock return.
REQ Capital manages two ultra-long-term, unconstrained, concentrated equity funds, which invest in listed companies that repeatedly generate high free cashflows; have a proven skillset in capital allocation; and a track record of creating strong shareholder value. The portfolios are represented by acquisition-driven compounders, businesses that have the acquisition of small private companies at the heart of their strategy. These companies are excellent at sourcing and closing acquistions in the private markets at highly attractive multiples.
Our investment philosophy is deeply described in our book «Investing in Value Creators» written by investment director, Oddbjørn Dybvad. Our investing experience and our investment principles are described in our investor manual.