Blended Value Investing

hr5The universe of international blended value private equity investments is enormous, ranging from informal micro-capital investments by individuals all the way to professional private equity funds investing hundreds of millions of dollars in developing economies. Investment strategies range from social-value maximizing approaches to blended-value investment methodologies to strictly profit-maximizing investing. Given the broad range of investors, funds and deals in this realm, this section cannot be exhaustively comprehensive. We adopt very different international investment approaches, each deliberately adapting standard private equity practices to generate blended value returns.

Our value system deploy processes to minimize some of these potential hazards, but many of them cannot be eliminated; all of them can challenge the likelihood of fully risk-adjusted market returns. The following are the risks as identified by our investment philosophy, and we seek to mitigate such risks prior to accepting engagements:

  • Corporate Governance
  • Management Competence
  • Value Seepage
  • Corruption and graft
  • Bureaucracy
  • Rule of law, intellectual property protection, and enforcement of contracts
  • Country risk – political and macroeconomic volatility
  • Exits