Welcome to the blog of Starvine Capital
Welcome to the blog of Starvine Capital. Whether you are just perusing through the site out of curiosity, interested in getting a more personal account of Starvine’s inner-workings, or a do-it-yourself (DIY) investing enthusiast, the content laid out here is meant to be informal relative to my quarterly commentaries or client memos.
Back to the topic of the day – New Beginnings. Having signed the first client accounts in February of this year, Starvine is a new company. As it currently stands, what I operate is a one-man investment practice out of the intergalactic headquarters of my home office.
What made me decide to start the business?
What made me decide to start the business? The truth is that I owed myself the chance to be an entrepreneur. The timing was right in many ways, save the fact that I had an eight-month old baby (photo above) at the time the decision was made. I’m not one of these entrepreneurs that is trying to proliferate an entirely new concept, but rather history is being repeated by taking a time tested business model (asset management) and applying my own nuances. As a disclaimer, were it not for the experience gained with some excellent companies in the investment management business, I would not be ready for this opportunity. That said, I have never been particularly talented in self-promotion or office politics. As an employee, my destiny was always going to be formed by somebody else’s perceptions of me. To be able to create my own platform from scratch, and lay bare my investment ability directly to clients, is truly a special thing.
On the most basic level, Starvine’s raison d’être is to make a positive difference in people’s lives.
On the most basic level, Starvine’s raison d’être is to make a positive difference in people’s lives. I have been passionate for many years, almost obsessive, about investing, particularly what is termed as value investing. Before branching off on my own last year to begin the several-month process required to achieve regulatory approval, I spent a cumulative nine years working for various Bay Street firms in positions related to investment research. During that time, I gained invaluable investing know-how, attributable to the fact that I had the fortune of working for outstanding individuals and firms.
The learning never, ever ends
My mind never turns off of investing. For me, it really is a way of life and so I do not separate life and work. If value investing can be thought of as a discipline in the same vein as a martial art, there is always something you can be doing to improve yourself as a practitioner. The learning never, ever ends. And it’s because of this insatiable appetite I have for learning that I considered my self-education (e.g. reading on my own time and investing in my own accounts) to be of paramount importance for professional development while working for employers.
Having set up Starvine’s systems over the past year, I now have a vehicle through which I can help individuals compound their hard-earned savings in an actively managed strategy that focuses on special opportunities in the marketplace. Thus far, all clients are friends and family – people that have known me for a minimum of ten years. As the firm grows through the next few decades, I will see to it that the environment for independent thinking and long-term performance is prized above all else.
Complete control over how success is defined
The beauty of setting up your own organization is that you have complete control over how success is defined. At Starvine, success equates to clients’ long term risk-adjusted returns and the firm’s ability to deliver a personalized level of service. Designed to be small, clients have direct access to the portfolio manager when desired, versus interacting with a client relations employee. Beyond providing a good quality of life for my immediate family and those I care about, I do not see Starvine as a vehicle to accumulate vast personal wealth. If that were the case, my sights would probably be set on managing $X billion so as to collect lots of management fees. I have complete conviction that a sufficient living will be earned so long as value is created for clients.
I have not the slightest intention to employ or partner with dedicated sales professionals to gather assets. As explained in my first quarterly commentary (here), a high level of assets under management effectively shrinks an investor’s universe of potential ideas, and thus future performance. If my long-term track record proves successful, the compounding alone should graduate me eventually onto a different playing field where it becomes necessary to invest in bigger, more mainstream companies. Although that scenario is far away, why be in a hurry?
Readers are advised that the material herein should be used solely for informational purposes. Starvine Capital Corporation (“SCC”) does not purport to tell or suggest which investment securities members or readers should buy or sell for themselves. Readers should always conduct their own research and due diligence and obtain professional advice before making any investment decision. SCC will not be liable for any loss or damage caused by a reader’s reliance on information obtained in any of our newsletters, presentations, special reports, email correspondence, or on our website. Readers are solely responsible for their own investment decisions. The information contained herein does not constitute a representation by the publisher or a solicitation for the purchase or sale of securities. Our opinions and analyses are based on sources believed to be reliable and are written in good faith, but no representation or warranty, expressed or implied, is made as to their accuracy or completeness. All information contained in our newsletters, presentations or on our website should be independently verified with the companies mentioned. The editor and publisher are not responsible for errors or omissions. Past performance does not guarantee future results. Investment returns will fluctuate and there is no assurance that a client’s account can maintain a specific net liquidation value. The S&P 500 Total Return Index and the S&P/TSX Composite Total Return Index (“the indexes”) are similar to Starvine’s investment strategy in that all include publicly traded equities of various market capitalizations across several industries, and reflect both movements in the stock prices as well as reinvestment of dividend income. However, there are several differences between Starvine’s investment strategy and the indexes, as Starvine can take concentrated positions in single equities, and may invest in companies that have smaller market capitalizations than those that are included in the indexes. In addition, the indexes do not include any fees or expenses whereas the return data presented is net of all fees and expenses. SCC receives no compensation of any kind from any companies that are mentioned in our newsletters or on our website. Any opinions expressed are subject to change without notice. The Starvine investment strategy and other related parties may hold positions in the securities that are discussed in the newsletters, presentations or on the company website.