Ouray Select (coming soon)

About

The strategy focuses on investing in shares of small, growing companies with high potential for future success. These companies are often undervalued by the market due to their limited coverage by analysts and their small size. The portfolio is composed of approximately 15-25 actively managed securities, which allows for a high level of quality selection and evaluation while also controlling risks. The approach used in this strategy is based on a combination of fundamental and technical analysis. This includes assessing upcoming catalysts that could drive the company's growth, as well as finding optimal entry points for investment. The goal is to achieve a balance between risk and potential return, with the aim of achieving long-term success for the investor

Recommended investment horizon: from 3 years

Who Is It For

The strategy is designed for long-term investors who are seeking a significant increase in their capital value. It involves accepting higher volatility and occasional illiquidity in small-cap investments in exchange for the potential of higher returns

How It Works

  • Formation of ideas. An investment universe of approximately 300 companies, multi-level filters, and meetings with management and industry experts to validate hypotheses and catalysts

  • Analytics and input. Fundamental assessment of intrinsic value, scenario modeling over a two-year horizon, technical analysis for timing, aiming for a potential-to-decrease ratio of at least 5:1 and expected growth of at least 60%, according to ideas

  • Investment philosophy and criteria. Large total addressable market (TAM), consistently high return on invested capital (ROIC), growing gross and operating margin potential, management's pricing power, and equity stake, as well as a conservative debt burden

  • Portfolio design. We aim to have 10-20 long positions with an average size of around 7% and a maximum of 20% per position. Up to 6 short positions are allowed, with an average size of about 5% and a maximum limit of 10%

  • Risk management. Maximum stop loss per position is 10%, typical gross exposure is 100-130%, and net exposure is 50-80%. In case of violating limits or if the thesis deteriorates, we will rebalance the portfolio

  • Exit Strategy. Continuous monitoring of specific industry factors, timely adjustment of investment hypotheses, and exit from investments with a deteriorating risk-to-return profile

Fees

Management Fee
Performance Fee
Early Withdrawal
Activation

1.5%

20%

No fee. There is a 7-day lock-up period

No fee

Other fees - for converting USDT or USDC to fiat currencies and back, transferring funds, and conducting other transactions with banks, brokers, and exchanges, we pay various fees to counterparties. Unfortunately, we cannot predict these fees in advance, but we always strive to minimize them

Asset Withdrawal

Process. A withdrawal request is submitted to the manager via the investor’s account

Timing. Funds are usually withdrawn within up to 10 days

Features. Partial or full withdrawal of assets is possible without loss of accrued income, unless otherwise specified in the contract

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