The Altor Alpha Fund invests capital via a flexible special opportunities mandate across a broad range of sectors.
Mandate & investment strategy
The Fund seeks investment opportunities which offer commensurate returns for the risks involved. Investment opportunities are based on a broad set of principles:
- Investing in micro, small and mid-capitalisation companies;
- Asymmetric risk/return profile and catalyst driven investment;
- Investing in companies where securities are being issued or sold below assessed intrinsic valuation;
- Investment based on large macro-thematics;
- Investing in a range of structures including equity, hybrids, options and term debt;
- Going short indices or specific companies; and
- Pre-IPO unlisted opportunities (within portfolio limits).
Open-ended, unlisted unit trust
Style and risk profile
Multi strategy mandate with high risk profile
We have a proven track record in micro-cap and small cap investing and nurture strong relationships while securing access to exclusive opportunities
Value add to core investments
Strong and proven track record
Altor use a proprietary investment process covering 4 core investment pillars
1. Idea Generation
- Company and industry contacts – stockbrokers, directors, boutique corporate advisers, etc.
- Proprietary Scan on the market.
- Top-down approach looking at key market thematics.
- Daily meetings to discuss findings.
2. Research and Due Diligence
- Company-wide analysis
- Company checked against Altor’s phase 1 and phase 2 investment criteria.
- In-depth discussions with management.
- Comprehensive valuation (DCF, Comparable and Precedents).
- Understanding the market opportunity and the realistic upside case.
3. Portfolio Construction
- Recommended stocks considered given:
- Stock and sector correlation analysis.
- Top-down considerations.
- Portfolio characteristics impacts.
4. Portfolio Management
- Conclusions constantly retested.
- Sell decisions based on: Reaching target valuation, deterioration of quality, characteristics and investment thesis.
- Poor management execution.
Invest with us today
We’re employee owned, alternative asset specialists and invest alongside our clients.