Macoma Capital Group | Philosophy
Macoma capital is an opportunistic private equity firm that uses a disciplined, nimble approach to investing. Through a rigorous and consistent process that spans asset classes, sectors, and investment types, we identify private investment opportunities with potential for attractive risk-adjusted returns in less-efficient markets that are often overlooked by institutional investors.
Macoma Capital Group, investing, Investment, risk-adjusted returns, capital market dislocations, macroeconomic volatility, technological disruptions, Downside Protection, Clear Return Drivers, Attractive Assets,
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Philosophy

How we identify, evaluate, and pursue opportunity

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Macoma’s Approach to Investing

[/vc_column_text][vc_column_text css=”.vc_custom_1423248521929{padding-top: 4px !important;}”]We do not believe there is a secret formula to successful investing. Rather, we believe that success comes from having the flexibility to explore opportunities wherever they exist, the discipline to focus on what really matters, and the patience to wait for the right opportunity.[/vc_column_text][vc_separator type=”transparent” position=”center” up=”20″ down=”0″][vc_column_text]

Flexibility:

Attractive investment opportunities are not confined to specific asset classes, sectors, or time frames. That is why our pursuit of superior risk-adjusted returns is not constrained by rigid mandates or timelines. Our streamlined structure and flexible approach allow us to nimbly move in and out of less-efficient corners of the market that are being ignored by larger institutional investors. As economic, financial, and technological forces create temporary dislocations between price and value, we are able to explore and pursue these opportunities on behalf of our clients.

 

Discipline:

We do not pride ourselves on being economic visionaries. We do not pride ourselves on being contrarians. Rather, we pride ourselves on being disciplined investors. We use a meticulous, consistent process for evaluating the fundamental risk and return characteristics of each investment opportunity we encounter. This approach allows us to cut through the fear, greed, and other distractions that ultimately create opportunities for astute investors.

 

Patience:

Our investors do not pay us to take shots; our investors pay us to make shots. That is why we do not think about putting capital to work until we encounter an opportunity that meets our strict criteria for attractive return potential and limited downside risk. We know these opportunities will eventually present themselves, but we do not claim to know when or where. There have been 12-month periods when we did not make a single investment. We believe our willingness—and ability—to wait until the right opportunity arises is one of our greatest strengths.

 

Alignment of interests:

Our belief in the validity of this investment approach is backed by our personal capital. With each investment, we invest our own capital alongside our clients and operating partners to ensure a complete alignment of interests.[/vc_column_text][vc_separator type=”transparent” position=”center” up=”35″ down=”0″]SEE MORE[vc_separator type=”transparent” position=”center” up=”40″ down=”0″][/vc_column_inner][/vc_row_inner][/vc_column][/vc_row][vc_row row_type=”row” type=”full_width” icon_pack=”font_awesome” content_menu_fe_icon=”arrow_back” text_align=”left” background_color=”#f5f5f5″ use_row_as_full_screen_section=”no”][vc_column width=”1/1″ offset=”vc_hidden-lg vc_hidden-md vc_hidden-sm vc_hidden-xs”][vc_row_inner row_type=”row” type=”grid” text_align=”right”][vc_column_inner width=”1/2″][vc_column_text]

Investment Sourcing – How We Uncover Opportunity

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Opportunities for superior risk-adjusted returns can be generated by capital market dislocations, macroeconomic volatility, technological disruptions, and a host of other external forces. The most attractive opportunities do not knock on your door; you have to be aggressive, proactive, and resourceful in finding them.

 

Our ability to locate the rare investment opportunity that meets our strict criteria is predicated on leveraging our extensive network to generate a robust and diverse pipeline of ideas. We work tirelessly to put ourselves in front of as many different ideas as possible, and then rigorously apply our criteria to identify the select few that merit deeper diligence.

[/vc_column_text][vc_separator type=”transparent” position=”center” up=”20″ down=”0″]SEE MORE[vc_separator type=”transparent” position=”center” up=”40″ down=”0″][/vc_column_inner][vc_column_inner width=”1/2″][vc_single_image image=”21043″ border_color=”grey” img_link_target=”_self” img_size=”full” alignment=”right”][vc_separator type=”transparent” position=”center” up=”40″ down=”0″][/vc_column_inner][/vc_row_inner][/vc_column][/vc_row][vc_row row_type=”row” type=”full_width” icon_pack=”font_awesome” content_menu_fe_icon=”arrow_back” text_align=”left” background_color=”#ffffff” use_row_as_full_screen_section=”no”][vc_column width=”1/1″ offset=”vc_hidden-lg vc_hidden-md vc_hidden-sm vc_hidden-xs”][vc_row_inner row_type=”row” type=”grid” text_align=”left”][vc_column_inner width=”1/2″][vc_single_image image=”21042″ border_color=”grey” img_link_target=”_self” img_size=”full”][vc_separator type=”transparent” position=”center” up=”40″ down=”0″][/vc_column_inner][vc_column_inner width=”1/2″][vc_column_text]

Our Criteria – What We Look for in Each Investment

[/vc_column_text][vc_column_text css=”.vc_custom_1423254359627{padding-top: 4px !important;}”]We rigorously evaluate each investment opportunity according to six criteria. Strict adherence to these criteria results in a disciplined approach to uncovering attractive risk-adjusted returns across disparate asset classes, sectors, investment types, and market conditions.[/vc_column_text][vc_separator type=”transparent” position=”center” up=”20″ down=”0″][vc_column_text]

Downside Protection:

Our first priority is understanding and managing the downside risk of any investment. We do this by identifying an investment’s total loss exposure across the spectrum of possible outcomes and stringently assessing the return potential in the context of this risk.

 

Clear Return Drivers:

Each investment in our portfolio contains clearly defined, tangible return drivers that do not rely on market speculation. We aim to generate returns based on the mechanics of each individual investment, not predictions about broad market forces that are beyond anyone’s control.

 

Proven People:

An investment idea is only as good as your ability to execute on it, and execution is largely a function of the quality, expertise, and integrity of your operating partners at the frontlines. We partner with top-tier operators in our target industries.

 

Attractive Assets:

In a world filled with complex investment structures, it is vital to understand the nuances of the specific assets you are analyzing.

 

Aligned Interests:

Having operating partners with skin in the game is not a luxury for us; it’s a necessity. We make sure that our operating partners are proportionally invested in the outcome of the venture.

 

Path to Monetization:

Each investment opportunity must have a clear path to unlocking value and redeploying assets at a predetermined point in time. [/vc_column_text][vc_separator type=”transparent” position=”center” up=”35″ down=”0″]SEE MORE[vc_separator type=”transparent” position=”center” up=”40″ down=”0″][/vc_column_inner][/vc_row_inner][/vc_column][/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”grid” icon_pack=”font_awesome” content_menu_fe_icon=”arrow_back” text_align=”left” background_color=”#ffffff” border_color=”#ffffff”][vc_column width=”1/1″ offset=”vc_hidden-lg vc_hidden-md vc_hidden-sm vc_hidden-xs”][vc_column_text]

In 2010, we formed an illiquid special opportunities investment firm, Macoma Capital Partners, to invest our own money and our partners’ money to generate the best risk-adjusted returns over the long run.

 

In addition to this strong alignment of interests with our investors, we apply the following principles to each investment that is selected for our portfolio:

[/vc_column_text][/vc_column][/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”grid” icon_pack=”font_awesome” content_menu_fe_icon=”arrow_back” text_align=”left” background_color=”#ffffff”][vc_column width=”1/1″ offset=”vc_hidden-lg vc_hidden-md vc_hidden-sm vc_hidden-xs”][vc_tabs style=”vertical_left”][vc_tab title=”Rigorous Risk Mitigation” tab_id=”1421858211-1-15″][vc_row_inner][vc_column_inner width=”1/1″][vc_column_text]Our first priority is understanding and managing the downside risk of any investment. We do this by identifying an investment’s total loss exposure across the spectrum of possible outcomes and stringently assessing the return potential in the context of this risk.[/vc_column_text][/vc_column_inner][/vc_row_inner][/vc_tab][vc_tab title=”Non-Speculative Return Drivers” tab_id=”1421858211-2-13″][vc_row_inner][vc_column_inner width=”1/1″][vc_column_text]Each investment in our portfolio contains clearly defined, tangible return drivers that do not rely on market speculation. We aim to generate alpha based on the mechanics of each individual investment, not predictions about broad market trends that are beyond anyone’s control.[/vc_column_text][/vc_column_inner][/vc_row_inner][/vc_tab][vc_tab title=”Nimble, Opportunistic Investing” tab_id=”1421859617530-2-2″][vc_row_inner][vc_column_inner width=”1/1″][vc_column_text]Our size and broad mandate allow us to be opportunistic in identifying investments that fall beyond the scope of larger, institutional investors. As a result, our portfolio is able to generate excellent risk-adjusted returns that are likely to display low correlation to traditional hedge funds, private equity funds, and other alternative investments.[/vc_column_text][/vc_column_inner][/vc_row_inner][/vc_tab][/vc_tabs][/vc_column][/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”grid” icon_pack=”font_awesome” content_menu_fe_icon=”arrow_back” text_align=”left” padding_top=”50″ padding_bottom=”0″ background_color=”#ffffff”][vc_column width=”1/2″][vc_column_text css=”.vc_custom_1423844399248{padding-top: 30px !important;padding-bottom: 45px !important;}”]

Investment Approach – What Sets Us Apart

 

We do not believe there is a secret formula to successful investing. Rather, we believe that success comes from having the flexibility to explore opportunities wherever they exist, the discipline to focus on what really matters, and the patience to wait for the right opportunity.

[/vc_column_text][vc_accordion style=”toggle”][vc_accordion_tab title=”Flexibility” title_color=”#005581″][vc_column_text]Attractive investment opportunities are not confined to specific asset classes, sectors, or time frames. That is why our pursuit of superior risk-adjusted returns is not constrained by rigid mandates or timelines. Our streamlined structure and flexible approach allow us to nimbly move in and out of less-efficient corners of the market that are being ignored by larger institutional investors. As economic, financial, and technological forces create temporary dislocations between price and value, we are able to explore and pursue these opportunities on behalf of our clients.[/vc_column_text][/vc_accordion_tab][vc_accordion_tab title=”Discipline” title_color=”#005581″][vc_column_text]We do not pride ourselves on being economic visionaries. We do not pride ourselves on being contrarians. Rather, we pride ourselves on being disciplined investors. We use a meticulous, consistent process for evaluating the fundamental risk and return characteristics of each investment opportunity we encounter. This approach allows us to cut through the fear, greed, and other distractions that ultimately create opportunities for astute investors.[/vc_column_text][/vc_accordion_tab][vc_accordion_tab title=”Patience” title_color=”#005581″][vc_column_text]Our investors do not pay us to take shots; our investors pay us to make shots. That is why we do not think about putting capital to work until we encounter an opportunity that meets our strict criteria for attractive return potential and limited downside risk. We know these opportunities will eventually present themselves, but we do not claim to know when or where. There have been 12-month periods when we did not make a single investment. We believe our willingness—and ability—to wait until the right opportunity arises is one of our greatest strengths.[/vc_column_text][/vc_accordion_tab][vc_accordion_tab title=”Alignment of Interests” title_color=”#005581″][vc_column_text]Our belief in the validity of this investment approach is backed by our personal capital. With each investment, we invest our own capital alongside our clients and operating partners to ensure a complete alignment of interests.[/vc_column_text][/vc_accordion_tab][/vc_accordion][vc_separator type=”transparent” position=”center” up=”40″ down=”40″][/vc_column][vc_column width=”1/2″ css=”.vc_custom_1423259656944{padding-left: 10px !important;}”][vc_single_image image=”22021″ border_color=”grey” img_link_target=”_self” img_size=”full” alignment=”right” css=”.vc_custom_1424182944953{padding-top: 30px !important;}”][vc_row_inner row_type=”row” type=”full_width” use_row_as_full_screen_section_slide=”no” text_align=”left” padding_top=”30″ css=”.vc_custom_1424120437049{padding-left: 70px !important;}”][vc_column_inner width=”1/1″]

Our only mandate is to deliver superior risk-adjusted returns.

[/vc_column_inner][/vc_row_inner][/vc_column][/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”grid” icon_pack=”font_awesome” content_menu_fe_icon=”arrow_back” text_align=”left” padding_top=”40″ padding_bottom=”40″ background_color=”#f2f2f2″][vc_column width=”1/2″ css=”.vc_custom_1423259656944{padding-left: 10px !important;}”][vc_single_image image=”22022″ border_color=”grey” img_link_target=”_self” css=”.vc_custom_1424182956957{margin-left: 12px !important;padding-top: 30px !important;}” img_size=”full”][vc_row_inner row_type=”row” type=”full_width” use_row_as_full_screen_section_slide=”no” text_align=”left” padding_top=”30″ css=”.vc_custom_1423776753510{margin-left: 0px !important;}”][vc_column_inner width=”1/1″]

The most attractive opportunities do not knock on your door; you have to be aggressive, proactive, and resourceful in finding them—and then disciplined in evaluating them.

[/vc_column_inner][/vc_row_inner][/vc_column][vc_column width=”1/2″][vc_column_text css=”.vc_custom_1423844423452{padding-top: 30px !important;padding-bottom: 30px !important;}”]

Investment Sourcing – How We Uncover Opportunity

 

Opportunities for superior risk-adjusted returns can be generated by capital market dislocations, macroeconomic volatility, technological disruptions, and a host of other external forces.

 

Our ability to locate the rare investment opportunity that meets our strict criteria is predicated on leveraging our extensive network to generate a robust and diverse pipeline of ideas. We work tirelessly to put ourselves in front of as many different ideas as possible, and then rigorously apply our criteria to identify the select few that merit deeper diligence.

[/vc_column_text][vc_separator type=”transparent” position=”center” up=”40″ down=”40″][/vc_column][/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”grid” icon_pack=”font_awesome” content_menu_fe_icon=”arrow_back” text_align=”left” padding_top=”60″ padding_bottom=”10″ background_color=”#ffffff”][vc_column width=”1/2″][vc_column_text css=”.vc_custom_1423844437080{padding-top: 30px !important;padding-bottom: 45px !important;}”]

Our Criteria – What We Look for in Each Investment

 

We rigorously evaluate each investment opportunity according to six criteria. Strict adherence to these criteria results in a disciplined approach to uncovering attractive risk-adjusted returns across disparate asset classes, sectors, investment types, and market conditions.

[/vc_column_text][vc_accordion style=”toggle”][vc_accordion_tab title=”Downside Protection” title_color=”#005581″][vc_column_text]Our first priority is understanding and managing the downside risk of any investment. We do this by identifying an investment’s total loss exposure across the spectrum of possible outcomes and stringently assessing the return potential in the context of this risk.[/vc_column_text][/vc_accordion_tab][vc_accordion_tab title=”Clear Return Drivers” title_color=”#005581″][vc_column_text]Each investment in our portfolio contains clearly defined, tangible return drivers that do not rely on market speculation. We aim to generate returns based on the mechanics of each individual investment, not predictions about broad market forces that are beyond anyone’s control.[/vc_column_text][/vc_accordion_tab][vc_accordion_tab title=”Proven People” title_color=”#005581″][vc_column_text]An investment idea is only as good as your ability to execute on it, and execution is largely a function of the quality, expertise, and integrity of your operating partners at the frontlines. We partner with top-tier operators in our target industries.[/vc_column_text][/vc_accordion_tab][vc_accordion_tab title=”Attractive Assets” title_color=”#005581″][vc_column_text]In a world filled with complex investment structures, it is vital to understand the nuances of the specific assets you are analyzing.[/vc_column_text][/vc_accordion_tab][vc_accordion_tab title=”Aligned Interests” title_color=”#005581″][vc_column_text]Having operating partners with skin in the game is not a luxury for us; it’s a necessity. We make sure that our operating partners are proportionally invested in the outcome of the venture.[/vc_column_text][/vc_accordion_tab][vc_accordion_tab title=”Path to Monetization” title_color=”#005581″][vc_column_text]Each investment opportunity must have a clear path to unlocking value and redeploying assets at a predetermined point in time.[/vc_column_text][/vc_accordion_tab][/vc_accordion][vc_separator type=”transparent” position=”center” up=”40″ down=”40″][/vc_column][vc_column width=”1/2″ css=”.vc_custom_1423259656944{padding-left: 10px !important;}”][vc_single_image image=”22023″ border_color=”grey” img_link_target=”_self” css=”.vc_custom_1424182997828{padding-top: 30px !important;}” img_size=”full” alignment=”right”][vc_row_inner row_type=”row” type=”full_width” use_row_as_full_screen_section_slide=”no” text_align=”left” padding_top=”30″ css=”.vc_custom_1424120272581{margin-left: 80px !important;}”][vc_column_inner width=”1/1″]

We do not pride ourselves on being economic visionaries or contrarians. Rather, we pride ourselves on being disciplined investors.

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