WPW - Believe in Good Governance

Leadership is a business fundamental. Knowing how to invest in it can drive higher returns.

Believe in Good Governance

Modern financial markets require a new type of asset management. Companies with sound corporate governance outperform the market significantly in the long run. Historically, investors have paid only marginal attention to this factor.

By rigorously examining the governance practices of companies to determine both the best run companies in the US and those most fraught, we unlock excess value.

We select a portfolio of undervalued or overvalued assets, consistently offering focused investments on both the long and short sides of the market, to deliver value regardless of market configuration.

WPW is on a mission to bring accountability and transparency back to investing.

Brad, Toby + Ben
  • Brad Willauer
    Brad Willauer Using discerning filters, we assemble a highly focused, top-caliber portfolio.
  • Ben Willauer
    Ben Willauer Sound corporate governance is a critical element of long-term prosperity.

Introduction to the Management Fund I, L.P.

Born from our belief that corporate governance is a crucial yet underpriced predictor of returns and corporate outcomes, we launched The Management Fund I, L.P. in October of 2012. By allocating capital away from the worst corporate actors and towards the best, we aim to reward the most exceptionally governed companies while punishing those who would use shareholder capital for selfish or unsustainable means.

Governance Spotlight - An Inflection Point

While attending the Intentionally Designed Endowment Conference in Cambridge, MA earlier this quarter, our team was struck by the interest shown amongst endowment managers for ‘ESG’ or ‘SRI’ investing. However, we were also struck with the revelation that these endowment managers often find it difficult to articulate the effectiveness of ESG strategies to their board, investment committees and consultants.

Activism or Arbitrage

Recent articles in the Wall Street Journal and New York Times have highlighted the increased use of appraisal pricing to combat cash offers of management buyouts at depressed valuations. The New York Times called the technique ‘A New Form of Shareholder Activism’ while the Wall Street Journal penned an article titled ‘Hedge Funds Wield Risky Legal Ploy to Milk Buyouts’. Although it is humorous for us to see such divergent descriptions of the same subject, not surprisingly, both venerable institutions got it wrong.