At Silver Heights Capital Management Inc., we manage money differently. Three crucial factors set us apart:
Founders and senior employees have the majority of their investment portfolios invested in the same assets that clients hold. It strikes us as odd that there are firms where the investment managers are prohibited from investing in the securities they select for their clients. Quite frankly, we don't think this arrangement best serves clients' interests. We believe that clients benefit the most when their interests and ours are strongly aligned. In simpler terms, "we eat our own cooking".
That may sound like a strange declaration, but it is a very important point. You may say to yourself, "Aren't all investment managers focused on delivering good investment returns, first and foremost?" Unfortunately for the investing public, this may not always be the case. At Silver Heights, we promise that our primary focus will always be on investment excellence.
Investing is our passion - and we devote countless hours to researching, learning about, and selecting businesses that we believe will deliver the best risk-adjusted absolute returns. From the outset, our aim was to be the best investment firm, not the biggest.
At Silver Heights, we offer segregated accounts, enabling us to deploy a client's capital into only those opportunities that are the most attractive. We call this our "fresh money™" approach to deploying a client's capital. By having the ability to cherry-pick the most attractive opportunities, we increase our margin of safety, while enhancing the likelihood of generating more attractive risk-adjusted returns. This is a far more time-consuming approach, but we do it this way because this is how we would want our money to be managed.