Based in Rio de Janeiro, DXA Investments sees great opportunities in Latin American small and medium-sized enterprises, which are often overlooked by larger international funds. In this installment of Member Focus, we take a look at DXA and how the firm’s strategy paid off with its first exit – to the tune of a 12.4X return on invested capital.
Acquiring Representations and Warranties Insurance is an often-overlooked strategic tool in the M&A toolbox, but one that can potentially benefit both those on the buy and sell side of a deal.
Diverse managers who have succeeded at world-renowned firms have done so by consistently delivering superior returns over many years in both good and bad economic environments. After building reputations as skillful investors, a growing number of these professionals are using their stellar performance records and gold-plated resumes to establish or join boutique shops, and are outperforming the competition along the way.
While the Federal government has made some strides with its supply chain diversity efforts, one area remains woefully homogeneous – financial services. However, efforts to diversify the US government’s investment manager base is gaining momentum with the help of trade associations, high-ranking politicians and industry professionals.
The financial services industry in general–and asset management in particular–has long held one of the worst track records when it comes to diversity and inclusion. This may change, however, due to the Diverse Asset Managers Initiative (DAMI), an effort aimed at increasing the number of assets managed by diverse-owned firms, particularly within corporate funds, faith-based funds, labor union pension funds, and foundation and university endowments.
Despite the superior returns generated by many diverse-managed funds, investments by the financial services industry remains remarkably homogeneous. This takes a look at the causes and potential solutions to this serious issue.