PH Hession Enterprise makes a point of keeping our investment teams lean because this makes it possible to extract the best out of each individual’s talent and means that we can comfortably forego the cumbersome investment committees and excessively bureaucratic processes so prevalent at many of our competitors.
In much the same vein, PH Hession Enterprise prefers to discourage the “star performer” culture that can often bestow near celebrity-like status on an individual and, worse, encourage maverick-type behavior from his or her colleagues. Instead, our small teams are efficient, streamlined and focused on their mission to generate performance while effectively managing risk.
Absolute return investment managers like PH Hession Enterprise will always attract the brightest people in the investment community. As our industry has flourished, the disparity between returns realized by superior managers and those by “run-of-the-mill” managers has widened considerably, highlighting the need for scrupulous manager selection.
In our view, it is managers who are freed from the all-too-common requirement to closely reflect the performance of investments or assets held on the recognized indices that tend to have far greater focus on investment disciplines, portfolio construction and performance since they are free to follow their 'best research ideas'.