Latitude was founded by Freddie Lait in 2016 to provide a long only investment strategy building on a successful long term track record.
The objective of the Latitude Horizon Fund is to deliver capital appreciation over the long-term by holding a concentrated portfolio of stocks whilst lowering the equity risk- and enhancing return through a selection of non equity investments.
We employ a long-term approach to investing in listed equities. We invest on a high conviction basis with a focus on qualitative idea generation and intensive due diligence.
Through our absolute return and long-only equity strategies, we seek to deliver attractive risk adjusted returns to our investors throughout the economic cycle with a view to minimising correlation with market indices.
The absolute return strategy, the Horizon Fund, invests a portion of the portfolio in non-equity instruments to diversify risk.We invest for the long term and do not employ short strategies or derivatives.
We formed Latitude in 2016 to offer investors a straightforward and consistent investment experience. Investment solutions are increasingly complex and, while some of this complexity has merits, we believe the greatest ideas are often the simplest.
We invest with high conviction, focussing on qualitative idea generation and intensive due diligence.
Both our Horizon Fund Strategy and our Global Fund Strategy seek to deliver attractive risk-adjusted returns to our investors throughout the economic cycle by following rigorous investment processes, without reference to market benchmarks.
A simple and consistent strategy is the single most important feature of an investment process.
Managing that process within a boutique, partner owned and managed business creates strong alignment of interest and focus on long-term results.
We have an established framework and philosophy for our investment process, which incorporates the optimal aspects of fund management in a consistent manner. We believe this will best serve clients throughout an investing cycle.
Our fund is centred on a portfolio of single stock equity investments, with cash and non-equity investments alongside which are intended to produce ample returns while reducing downside risks.
We embrace volatility at the individual investment level, while continuously endeavouring to reduce it at the portfolio level. This can be done without the need for short strategies or leverage by using the primary findings of diversification theory, behavioural finance, and by taking a genuinely long term approach to every investment we make.
At Latitude we only invest in very liquid instruments. Our stocks are generally larger than £10bn in market cap and our non-equities include government bonds, FX and gold.
The current daily liquidity of the Latitude Horizon Fund is at least 97%. The issue with illiquidity premiums rising will affect larger groups more starkly than boutiques, another reason in our opinion to invest in the latter!
Freddie Lait is the founder and CIO at Latitude Investment Management. We cover the ways in which AutoZone's customer focus echoes the best of Walmart and Costco, how the business generates some of the highest returns on capital in retail, and dive into their share buyback program.