The Ten Capital D2 Process TM was born out of years of investing experience in the industry. We are independent thinkers who are not afraid of asking challenging questions and not “box checkers”. Our process allows us to source talented emerging managers before they appear on other investors' radars. Our due diligence process is divided into two parts: pre-investment and post-investment.
I. Pre-investment – in this part we screen out most of the managers; For those who pass our initial screening process we will get to know very well. Our due diligence process includes 3 main components
1. Quantitative analysis
2. Investment due diligence
3. Operational due diligence
Only when a manager passed all critiria then we will recommend him to our clients
II. Post-investment - we realize that once an allocation is made our work of monitoring the manager continues. We will meet and interact with the managers in the portfolio to make sure we understand how they generate alpha, what positions are driving their performance and how their business is evolving. This helps us to provide better advice to our clients regarding the management of their portfolio of hedge funds
Our Points of Differentiation
Ten Capital Advisors is an independent Hedge Fund Advisory (HFA) company. The HFA model has evolved from the "Fund of Funds" model, which delivers direct client involvement and has a lower fee structure. But more importantly, it permits the client to easily access smaller and newer funds which tend to outperform many large funds.
Our investment advisory plan is based on the following 10 steps that help us create a complete set of work for our clients:
1. Asset allocation
3. Manager Selection
4. Complete Investment Due Diligence
5. Operational Due Diligence
7. Implementation of Investment Ideas
8. Risk Management
We put a strong emphasis on diversification in the portfolios of our clients. We achieve that by recommending managers that are diverse by strategy, investment style and geography.
We are advisors to our clients who retain complete discretion regarding investment decisions.
Our focus is on finding managers that provide absolute returns but also preserve capital. As such, we tend to avoid highly levered and very directional managers.
A unique perspective evaluating hedge funds based on the founder's 12 years of experience in the capital markets and years of service in the military as a special ops intelligence officer.
We have well established and integrated networks in New York, London and Sao Paulo that allow us to find talented managers from all over the world.
We work with a select number of clients who we get to know in a confidential and close way.