Our Approach

Committed to excellence in everything we do

Focus & Diligence

Drake Capital’s approach is defined by our commitment to effective stewardship and our peerless network of exceptional fund managers across the globe. Our objective is to compound capital over the long term while taking prudent risks.

Investment Discipline

Integrity

We develop deep, active relationships with our clients and our managers. As trusted fiduciaries, we strive to communicate our philosophy, our investment framework and our outlook to clients with clarity and insight.

Rigor

Each of our investments is based on a clearly articulated thesis and supported by investment research, market analysis, extensive referencing and deep experience.

We continuously search for managers with a differentiated and sustainable investment edge — managers with the intensity, commitment, experience and investment flexibility required to generate exceptional performance — often favoring smaller, single-strategy managers with strong alignment of interests.

Results

For nearly 20 years, we have demonstrated our ability to deliver attractive long-term performance with low overall market sensitivity. Our decades-long relationships with many of our clients bear this out.

Business culture Lead with integrity and trust

The best interests of our clients always come first.

Our vibrant, stimulating environment encourages investment creativity and honest long-term relationships.

Investment approach Identify the best

We believe there are a small number of exceptional investment managers across the globe. It is our job to find and access them for investment. We uncover these opportunities by applying a proven, repeatable process.

Risk management Anticipate the unexpected

We evaluate, monitor and manage investment, operational and business risks.

Portfolio
Construction

We integrate strategy selection, manager diligence and risk analytics to construct a portfolio with multiple pistons to drive performance.
Strategy Selection

We seek to identify strategies with risk factors, time horizons and sources of return that are differentiated and have limited correlation. Strategy opportunities often arise from market dislocations.

  • Sector-focused
  • Macro / Systematic
  • Global
  • Emerging Markets
  • Idiosyncratic Credit
  • Small-cap
Manager Selection

In a global investment mandate, specialists drive alpha. We prefer managers in well-defined strategies where flexibility of thought is complemented by experience, conviction and organizational depth. We also seek to partner with managers early in their life cycle.

  • Size
  • Differentiation
  • Experience
  • Versatility
  • Operations
Risk Assessment

We apply multiple lenses to triangulate historical experience, the repeatability of processes and operational rigor.

  • Correlation
  • Volatility
  • Factor Risk
  • Alpha
  • Time Horizon
  • Liquidity

Leveraging Technology

Drake Capital prioritizes deep experience applied directly to the investment process. Our investment and operations teams leverage technology and information systems to enable us to operate with exceptional speed, efficiency and accuracy.

Our library of proprietary tools allows us to synthesize our research, risk management and operational due-diligence processes while actively monitoring underlying positions. In this way, we work to extend our interactions with prospective and existing investment managers, collect and analyze a wide range of data from many sources and make informed, timely investment decisions as markets and managers adjust to changing conditions.