Compounders Podcast

Founder of Right Tail Capital discusses his investment strategy, position sizing, lessons learned from certain stocks, and the importance of owning high quality businesses. They focus on companies with long reinvestment runways and discuss the markers of a business with such runway, emphasizing market expansion and reinvestment potential. They also delve into position sizing strategies and the considerations involved in trimming or reallocating positions. Additionally, they share their approach to balancing maintenance and generating new ideas in investing, and the characteristics that pique their interest in potential new positions.

My guest on the show today is Tyler Hardt, the Senior Portfolio Manager at Seagate Capital Management. After spending about 9 years at Artisan Partners, Tyler decided to go out on his own and start his own firm in 2018. Tyler is an unabashed value investor who even wrote a book called, Value Investing: A Disciplined Framework. In this insightful conversation, we discussed: The founding story of Seagate Capital and why Tyler felt like he was ready to be an entrepreneur; How Tyler finds companies that both have sustainable competitive advantages and trade at reasonable valuations; Why he decided to write a book about value investing; What he learned about himself as an investor during a very difficult environment in 2020; and The guardrails he has put in place to help prevent his strategy from losing money. For more information about Seagate Capital Management (formerly Pelican Bay Capital Management), please visit: https://pelicanbaycap.com/ Listen to all Compounders Podcast episodes on either Apple or Spotify iTunes: https://apple.co/3xlUvPY Spotify: https://spoti.fi/3jxkxLl All opinions expressed by your hosts and the podcast guests are solely their own opinions and do not reflect the opinion of SNN or its affiliates. This podcast is for informational purposes only, it is not investment advice, and should not be relied upon for any investment decisions. We are not recommending the purchase or sale of any securities. The hosts and guests may be beneficial owners of the securities discussed. You should not assume that the securities discussed are or will be profitable.

My guest on the show today is Heather Brilliant, the CEO of publicly traded company, Diamond Hill Investment Group, Inc. (NASDAQ: DHIL). Heather became CEO in 2019 after putting together an enviable resume of experiences at other investment firms. As of the most recent quarter, Diamond Hill had about $26 billion of assets under management, but still considers itself a boutique firm. In this holistic conversation, we discussed: Heather’s experience becoming CEO right before the world shut down due to COVID; Diamond Hill’s unique capital allocation strategy as relates to returning cash to shareholders; How the firm differentiates its strategies despite lots of competitors offering similar products; The avenues available for the company to continue to build is AUM base; and The concept of building a brand within investment management. For full disclosure, I am not a Diamond Hill shareholder. For more information about Diamond Hill Investment Group, Inc., please visit: https://www.diamond-hill.com/ Listen to all Compounders Podcast episodes on either Apple or Spotify iTunes: https://apple.co/3xlUvPY Spotify: https://spoti.fi/3jxkxLl All opinions expressed by your hosts and the podcast guests are solely their own opinions and do not reflect the opinion of SNN or its affiliates. This podcast is for informational purposes only, it is not investment advice, and should not be relied upon for any investment decisions. We are not recommending the purchase or sale of any securities. The hosts and guests may be beneficial owners of the securities discussed. You should not assume that the securities discussed are or will be profitable.

My guest on the show today is Jake Wood, the founder and CEO of Groundswell. Jake is a former Marine who founded a non-profit organization called Team Rubicon, which has over 100,000 volunteers located around the world. Jake stepped back from being Team Rubicon’s CEO in 2021 to start Groundswell, a company that is attempting to transform employee giving through the use of technology. My guess is that most people haven’t thought deeply about the nuances of employee giving or are familiar with what are known as Donor Advised Funds. But, when I had a chance to use the Groundswell product, I immediately wanted to have Jake on the podcast to discuss what he and his team are building. Specifically, we covered: The founding story of Groundswell; Donor Advised Funds and some of the issues associated with legacy offerings; The idea of everyone having their own personal foundation; The ways in which Groundswell makes money; and What Jake hopes the business will look like in 5 years. For more information about Groundswell, please visit: https://groundswell.io/ Listen to all Compounders Podcast episodes on either Apple or Spotify iTunes: https://apple.co/3xlUvPY Spotify: https://spoti.fi/3jxkxLl All opinions expressed by your hosts and the podcast guests are solely their own opinions and do not reflect the opinion of SNN or its affiliates. This podcast is for informational purposes only, it is not investment advice, and should not be relied upon for any investment decisions. We are not recommending the purchase or sale of any securities. The hosts and guests may be beneficial owners of the securities discussed. You should not assume that the securities discussed are or will be profitable.

Exploring the importance of predictability in cash flows, heavy weighting in Constellation Software, assessing management through relationships with CEOs, differentiating recurring revenue businesses, and why companies like Meta don't make the cut in the portfolio.

In this episode, Aaron Wasserman, Partner at Third Period Capital, shares insights on analyzing company cultures and determining if they contribute to growth. He discusses his experience at Baron Capital, collaboration with Adam Grant, and his strategy of focusing on companies with exceptional cultures. They also explore the parallels between hockey and investing, the role of culture as a competitive advantage, and investing in global growth companies.

Sean Stannard-Stockton, President and CIO of Ensemble Capital, discusses the firm's competitive advantage framework, the benefits of having a wealth management arm, and the rationale behind their content creation. They explore the concept of compounders, the unique business of Perimeter Solutions, and lessons learned from MasterCard. They also talk about Ensemble Capital's vision for the future and the significance of making forecasts when investing.

Greg Dean, Founder and Lead of Investor at Langdon Equity Partners, discusses the challenges of managing compounder companies within small-cap strategies. He shares insights on building a new investment firm and the cultural elements that are important. The podcast also explores the evolution of compounders in investing and analyzes the success story of Royal Unibrew in Denmark.

My guests on the show to today are Heather Beatty and Robin Kollannur, the respective founder and Portfolio Manager of ScopeFour Capital. After a number of years working in business development at large investment firms, Heather started ScopeFour, a climate impact-focused firm, to take advantage of the investment opportunities associated with companies that are building impactful climate solutions. Robin has 30 years of experience in money management and has recently joined the firm to implement the ScopeFour process and vision. In this extensive conversation, we discussed: The founding of ScopeFour and the investing opportunity set; The difference between investing for impact versus what has come to be known ESG; The intersection between a company that compounds over time and one that is making a positive impact on the climate; How Robin and Heather narrow down the universe of companies; and How to avoid paying too high a price for the companies that are likely to have the most positive impact. Without any further ado, here is my conversation with Heather Beatty and Robin Kollannur of ScopeFour Capital. For more information about ScopeFour Capital, please visit: https://www.scopefourcapital.com/ Listen to all Compounders Podcast episodes on either Apple or Spotify iTunes: https://apple.co/3xlUvPY Spotify: https://spoti.fi/3jxkxLl All opinions expressed by your hosts and the podcast guests are solely their own opinions and do not reflect the opinion of SNN or its affiliates. This podcast is for informational purposes only, it is not investment advice, and should not be relied upon for any investment decisions. We are not recommending the purchase or sale of any securities. The hosts and guests may be beneficial owners of the securities discussed. You should not assume that the securities discussed are or will be profitable.

My guest on the show today is Thomas Li, the co-founder and CEO of financial data company Daloopa. Daloopa is a private company that was founded by a group of former buy-side investment analysts who saw the opportunity to use technology to upgrade the research process at just about any type of investment firm; but with a specific focus on saving analysts and portfolio managers time. Just a few years into its journey, the company already has over 200 employees and has multiple offices around the world. In this wide-ranging interview, Thomas and I discussed: Where the original idea for Daloopa came from; How he views the legacy data providers such as CapitalIQ and Bloomberg; What Daloopa is doing to make the product a must-have versus a nice-to-have; What AI means within the context of Daloopa; and The importance of building a company that naturally generates a lot of cash As a disclaimer, Daloopa is a sponsor of the Compounders podcast. Cove Street nor Ben Claremon are shareholders of Daloopa. Without any further ado, here is my conversation with Daloopa CEO Thomas Li. For more information about Daloopa, please visit: https://daloopa.com/ This episode of Compounders: The Anatomy of a Multibagger is sponsored by Daloopa. Daloopa was founded by a former hedge fund analyst to bring simplicity to the investment process. Daloopa offers an AI-driven, single source for all company reported data, and allows for investment teams to make the most informed decisions in the shortest amount of time. For more information, please visit: https://daloopa.com/ To get all the latest updates about the podcast, see who we’ll have on next, as well as watch the video version of the pod, please follow us on twitter at @BenClaremon and subscribe to the SNN Network YouTube Channel at www.youtube.com/snnwire. For more information about Cove Street Capital, please visit: https://covestreetcapital.com/ iTunes: https://apple.co/3xlUvPY Spotify: https://spoti.fi/3jxkxLl Each new episode will be available every Tuesday morning on Apple, Spotify and all podcast streaming platforms. All opinions expressed by your hosts and the podcast guests are solely their own opinions and do not reflect the opinion of Cove Street Capital or any affiliates. This podcast is for informational purposes only, it is not investment advice, and should not be relied upon for any investment decisions. We are not recommending the purchase or sale of any securities. The hosts and guests may be beneficial owners of the securities discussed. You should not assume that the securities discussed are or will be profitable.