Dhyana Capital

The firm values companies based on what it expects to earn if it held them forever, not trying to predict what others might pay for them a few months or a couple of years down the road. The firm sees the public markets as a wonderful conduit that allows it, every now and then, to partner with special companies at favourable prices for the very long term. It finds it peculiar that equity is a permanent form of capital, yet most public market investors hold on to shares for barely a year or two. Given the returns it seeks, the portfolio is biased towards smaller sized companies, oftentimes companies that are misunderstood or obscure at the time the firm invests. However, the firm does not impose artificial constraints on itself relating to size, sector, or liquidity. The firm does not try to beat the index in the short term, and it sees market volatility as a friend. Its structure reinforces this mindset: no fixed fee, incentives over a compounding high water mark, reinvestment of such incentives in the fund, and majority of the manager's net worth in the fund.