RV Capital's Business Owner Fund factsheet for the second quarter ended June 30, 2024.
Dear Co-Investors,
As of 28 June 2024, the NAV was €979.45.
The fund gained 28.9% since the start of the year. Since its inception on 30 September 2008, the fund has compounded at 15.6% p.a. after fees.
No new companies were added to the portfolio in the quarter.
In the quarter, I published postcards from China and the USA, and held a talk in Omaha on the topic of Moats.
Several of you have asked where the next postcard will come from. My next trip will be to East Africa in August, where I am looking forward to visiting companies in Kenya, Rwanda, and Uganda.
In "Factfulness", the late Hans Rosling wrote that the population of Africa will increase from 1 bn to 3 bn by 2100, making it the world's second most populous continent after Asia, so it is certainly a place that is worth investing some time to understand better. I look forward to reporting back on what I learn.
All the best and happy investing!
Rob
Investment Philosophy
“Business Owner” reflects the philosophy of investing like an owner in businesses run by an engaged and rational owner with the capital of investors who think like an owner. The business owner philosophy is long term and contrarian. The aim is to profit from opportunities which investors who are burdened with shorter time horizons or institutional pressures cannot pursue. Companies are selected based on four main criteria: Will the company be around and flourishing in ten or more years’ time? Is the company building a long term competitive advantage? Does the management set the right example? And is the price attractive? If all the four criteria are met, the fund buys and aims to hold for a long time. Concentration in single companies is high as great companies with honest managers cannot often be bought at attractive prices. The fund invests worldwide. It can go short and use leverage, but usually does not.
See the full factsheet here.