Company Profile
Caldwell Asset Management Inc. takes a team approach to investing. We focus on conservative investments and asset allocation is achieved through economic and political risk analysis. Equity investments are restricted to major, industry-leading corporations for risk containment. Fixed income management primarily uses U.S. treasury bonds with mid-term maturities for individual accounts, and ten years for corporate clients.
"Value" and "Growth" are the primary investment disciplines. Each portfolio is designed to achieve this through account segregation and custom management according to specific client goals. A fixed management fee is based on the total account size rather than performance bonuses, which often increase client risk exposure.
Operations
Each Account is reviewed on a daily basis. CAM Portfolio Managers meet regularly to review holdings, evaluate results, fine tune strategy and adjust asset mix. Communication among our Portfolio Managers is constant.
Our Managers' tremendous expertise in both fixed income and equity markets sets CAM apart from other firms.
Strategic Views
Discerning the key factors affecting the political landscape, the world economy and international financial markets is critical to long term investment success. Market views derived from this process provide the framework for a portfolio's asset mix as well as for specific purchases and sales.
Caldwell Growth Opportunity, LP
"The Caldwell Growth Opportunity, LP will make investments with one objective in mind: Wherever a functional advantage exists, we shall seek to capitalize upon it."
-Thomas S. Caldwell
September 2005
Securities exchanges (stock, options and futures) are an under-owned and under-researched asset class. Exchanges around the world are demutualizing, becoming publicly owned, and consolidating into regional power blocks. A great deal of money is being made from these processes.
With experience in New York, Vancouver, London, Toronto, Chicago, Johannesburg and Hong Kong, the Managers of the Caldwell Growth Opportunity, LP are able to invest in exchanges that are members-only or otherwise hard for the general public to access.
There remain significant opportunities worldwide to participate in exchanges' demutualization/public listing processes. Many of these exchanges are in the fastest growing parts of the world, including Asia and the best economies in Europe.
No matter how well an economy is doing, the shares of securities exchanges tend to outperform the stocks listed on them. Over time, there is no better way to participate in the growth of a nation or a region's economy than by owning the local stock exchange.
With our hands-on involvement in the process that an exchange must go through to become publicly listed and what it must do thereafter to succeed in a competitive environment, we have gained knowledge that no one else has. We use this advantage as a form of intellectual arbitrage to identify opportunities in this sector, both in North America and overseas, that others often do not see.
For example, there is much that can go right in China, but will mining, manufacturing or technology prove to be the best investment? Regardless, almost everything that goes right in China will be listed on the Hong Kong Stock Exchange ("HKSE").
The HKSE combines stocks, options, commodities and clearing operations and uses North American-based trading regulations. It is the model for what our domestic exchanges want to become. Closer to home, our investments in the New York Stock Exchange and the Chicago Board Options Exchange have brought about significant gains.
The New York Stock Exchange is now public, the Chicago Board Options Exchange is in progress, but both are just at an intermediate stage. There will be industry consolidation to create the kind of structure that will enable comprehensive securities trading and settlements, just as the HKSE does now. The mergers that will be necessary for this to happen are also opportunities.
That the world is becoming more globalized is an axiom. Most investors do not realize that the best way to profit from this is to own the engines through which the money to make globalization possible will flow: the world's securities exchanges.
Our team is extremely knowledgeable about the exchange sector, and this has been very profitable for our investors. This is the current focus of the Caldwell Growth Opportunity, LP, and we continue to identify opportunities where we can make the most of our natural advantages.