Vestact was established by Paul Theron and Sasha Naryshkine in 2003.
We look after money for private clients, not institutions. We manage your investments in Rands in Johannesburg and in US Dollars in New York. We offer individualised investment accounts, which means that you get your own portfolio, not a slice of some fund.
We offer a high level of personalised service. Put us to the test – send an email now to firstname.lastname@example.org and see how long it takes before you get a personalised reply!
Since 2003, the compound annual return of our model Johannesburg portfolio is 21.2 percent. This is well above the return on the JSE Alsi 40 over the same period of 15.8 percent (as of May 2016).
The compound annual return of our model New York portfolio since 2006 is 9.3 percent. This is also well above the return of the S&P 500 over the same period of 4.8 percent (also as of May 2016).
This kind of long term index outperformance is very rare in the investment industry. So what is our investment approach?
We know that the future is uncertain – almost anything can happen, good and bad. Stocks are risky assets, and have the potential to trade at very distressed levels. Companies can fall from favour, suffer business collapses and lose market share. And their share prices can go to zero.
So firstly it is our job to keep you out of trouble! The good news is that break-out company success stories do exist. Stock market ten-baggers are real. The trick is to find them.
Winners can emerge from established industries, but they are much more likely to arise in winning industries. They very rarely occur in industries which are in terminal decline.
Our favourite sectors are technology, healthcare and consumer.
We are looking for what we call transformative investments. Well-run companies which are set to change the world, or benefit from a decisive, permanent shift in the structure of the economy, or the spending patterns of consumers. Companies which have the ability to double, and redouble their output and profits in the decades ahead.
As Andy Kessler has written: “The only way to truly beat the market long term is to use your head, think out long-term trends, figure out where productivity and therefore wealth is being created in the economy, and invest alongside it. Focusing on the next mountain to be climbed, and not the foothills directly in front of us, is the surest way to make money over the long run”.
As a result, we don’t trade in and out of our selected holdings, just because their share prices go up and down. Do not misinterpret our patience as inaction. We follow the market news very closely. We are patient because that is how we make you money in the markets.
As Warren Buffett said in his letter to Berkshire Hathaway shareholders in 1988: “When we own portions of outstanding businesses.., our favourite holding period is forever.”
Recommend us to your friends. We need new accounts, to build our business and to offer you an even better service.
Come and visit us at our offices at Melrose Arch. We have been here for six years. See the picture of the team below.
In addition to Paul and Sasha, the other portfolio managers are Byron Lotter, Michael Treherne and Bright Khumalo. Byron joined Vestact in 2009, Michael in 2013 and Bright in 2015.
Our support staff are Howard Mashego and Mavis Bande.
Give us a call: +27 78 533 1063
Invest with us: www.vestact.com/