An entrepreneur's 
approach to listed
investments.

Launched in response to investor demand as a product of Conviction Equities Ltd, the Conviction Equity Fund replicates the successful strategy of Middleton Enterprises, the family office of Conviction’s co-founder, Jeremy Middleton. 

We believe that:

  • The stock market is a conduit to buy some of the world's best businesses.

  • Only a great business at a fair price, makes for a great investment.

  • Such investments are rare. We only invest in businesses which we believe in, resulting in a concentrated portfolio.

  • Our mindset is that of business owners - we are not traders.

Core Principles

Invest in great businesses.

Invest at a reasonable price.

Hold for the

long term.

Performance

Performance of Middleton Enterprises (MEL) Investment Strategy

Having run the portfolio as a segregated mandate at Middleton Enterprises since 2014, the strategy has delivered an annualised return of 17% net of all fees for almost seven years, before launching the Conviction Equity Fund in October of 2020. It is this same strategy, decision makers and businesses that you can buy into via the Conviction Equity Fund. Seeded with $10m from our General Partners, the Conviction Equity Fund has continued to deliver strong performance since launch.

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Source: Middleton Enterprises, Conviction Investment Partners, All performance statistics are net of all expenses and performance fees

White Room

We take a high conviction approach, only investing in a select few global best ideas. This allows us to focus our research efforts, looking an inch wide and a mile deep.

,

,

Brett Rogers, Conviction Equities Ltd

Rare opportunities require a rare strategy.

We feel most funds own too many stocks, some choosing to buy over 200 positions. Our view is that this is an attempt to “not make a mistake” rather than aim to generate outperformance for investors.

#1

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We invest with conviction

We feel our fee structure aligns investor interests with ours, choosing a low annual management charge with a performance fee above a healthy hurdle rate. Additionally, both Conviction Founders have substantial portions of their net worth invested in this strategy.

#2

We have aligned incentives with our investors

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We instead view bouts of volatility as an opportunity to buy great businesses at reasonable prices. We decide to focus on analysing business models, competitive landscapes, balance sheets and cash flow statements of the businesses we own, to evaluate risk.

#3

We do not view
volatility as a risk

read more

We believe that it is difficult to call short term market movements. We prefer to invest into great businesses, with a long-term perspective and benefit from compounding growth.

#4

We do not indulge in market timing

read more

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Source: Willis Tower Watson – Better Equities – May 2018

Number of Stocks in Portfolio

Just 2% of global equity funds hold <20 positions

Defining a Great Business

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Simple &
Transparent

Simple, predictable businesses which provide operational transparency to investors.

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Capital

Light

Capital light businesses with low reinvestment requirements, enabling high cash generation. 

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High Barriers
To Entry

High barriers to entry allowing management long term growth opportunities. 

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Limited
Exposure

Limited exposure to external uncontrollable factors (interest rate moves, commodity prices etc). 

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Long Term
Potential

A long-term investment case where we have visibility over the structural drivers.  

Compounding Returns

Competitive edge via a superior service or product 

Growing & sustainable revenues

High or
expanding margins

Reinvestment

of cashflow into further growth

Capital light reinvestment requirements

Equity Fund
Investment Team

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Brett Rogers
Investment Director, Conviction Equities Ltd
Fund Manager & Head of Research

Contact

Interested?

For all the latest information including webinars
and factsheets access our content portal:

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© 2021 Conviction Equities Ltd.
Company No. 12294301. Registered Office: 11 Golden Square, London, W1F 9JB

In the United Kingdom, this communication is issued by Conviction Equities Limited and approved by Robert Quinn Advisory LLP, which is authorised and regulated by the UK Financial Conduct Authority (“FCA”). Conviction Equities Limited is an Appointed Representative of Robert Quinn Advisory LLP. This material may constitute a financial promotion for the purposes of the Financial Services and Markets Act 2000 (the “Act”) and the handbook of rules and guidance issued from time to time by the FCA (the “FCA Rules”). This material is for information purposes only and does not constitute an offer to subscribe for or purchase of any financial instrument. Conviction Equities Limited neither provides investment advice to, nor receives and transmits orders from, persons to whom this material is communicated nor does it carry on any other activities with or for such persons that constitute “MiFID or equivalent third country business” for the purposes of the FCA Rules. All information provided is not warranted as to completeness or accuracy and is subject to change without notice. This communication and any investment or service to which this material may relate is exclusively intended for persons who are Professional Clients or Eligible Counterparties for the purposes of the FCA Rules, or fall into a relevant category under COBS 4.12 in the FCA Rules and other persons should not act or rely on it. This communication is not intended for use by any person or entity in any jurisdiction or country where such distribution or use would be contrary to local law or regulation.