For the past 5-years, Hayden Beamish has been a portfolio manager and director at Endeavor Asset Management—a hedge fund based in Melbourne, with ~$300m AUM.
The Hedge portfolio that Hayden manages ended the 2020 financial year up 28% after fees—in comparison, the benchmark Australian All Ordinaries ended down 7%.
The main purpose of speaking with Hayden was to gain insight to his institutional investment process. This includes talk of; researching companies and prerequisites for investing, the role of analysts and brokers in providing information and flow, and managing investments.
It also includes a detailed discussion about the various types of execution algorithms he’ll use for buying and selling large volumes of stock.
Topics:
- Financial market experience prior to becoming a portfolio manager.
- Key objectives of the portfolios managed by Hayden.
- Investment process, identifying opportunities and performing research.
- Why return on invested capital is a valuable metric for analysis.
- Getting to understand a company when unfamiliar with the industry.
- Quick fundamental metrics and values for determining valuations.
- Reacting to earnings announcements from held companies.
- Algorithmic execution and commission sharing arrangements.
- An overview of how risk is assessed and monitored on a portfolio level.
- Suggestions for aspiring fund managers.
Hayden Beamish: Director and Portfolio Manager, Endeavor Asset Management.
Links and resources mentioned:
- APT, KGN, MVP, PNV [ASX Symbols]
- @HaydenBeamish [Twitter]
- Market Wizards [Amazon]
- EndeavorAM.com.au