Palm Harbour Capital LLP is a London based investment manager founded by Peter Smith with the support of Santa Comba Gestión SL, the holding company of renowned Spanish investor Francisco García Paramés. Palm Harbour Capital manages the Cobas Lux SICAV Palm Harbour Global Value Fund.
Palm Harbour follows a value philosophy focused on investing in competitively advantaged businesses when they trade at a significant discount to their growing intrinsic value. The investment thus benefits from the compounding value of the company as well as the closing of the discount while protecting on the downside. The team seek companies off the beaten track, often in unloved geographies or industries, or going through some sort of short-term issue or strategic change and takes a longer-term business orientated view. The team believes that patience and deep fundamental analysis will lead to exceptional long-term returns. The fund’s objective is to provide superior, absolute, long-term capital appreciation by unconstrained investing in a portfolio of global small and mid-sized companies with an emphasis on Europe.
- Focused on long-term performance – not asset gathering
- Aim for absolute returns (mid-term goal of mid-teens CAGR) – Benchmark agnostic
- Take advantage of the short-term nature of most market participants and avoid speculative and overhyped market darlings
- Low management fees knowing that they detract from long-term gains
- Aligned interest since all employees are invested – Peter and Francisco Garcia Paramés have significant investments in the fund.
The fund is intended for investors who share the Value philosophy and want to invest like long-term business owners, with the aim of significant outperformance over the mid-term. Similar to shopping, the team believes that buying high quality goods at a large discount is superior to overpaying for hype for a future that is unknown.
