There are huge innovations on the horizon, and not all the value will go to incumbents. Private companies are often the first to invest in society‑shaping technologies, and there is space for them to establish new layers of growth.
Constant change
I grew up a bit all over the place. Half English, half Japanese and living in Hong Kong. The varied cultural influences prompted a period of self-reflection that eventually led me to study theology at university to work out what I believed. A simple question, complicated to answer and still ongoing.
Specialising in multireligious ethics and philosophy, I internalised that change is constant. Humans, society and reality are not static, and to think otherwise can leave you on the wrong side of history.
My work as a private companies investment analyst builds on this observation. It provides the intellectual challenge of thinking about where change is coming from, the excitement of interacting with the entrepreneurs and operators trying to instigate this change, and the fulfilment of actively supporting them with our clients’ capital.
Creating synergy
There are many businesses with a great idea, but the opportunity isn’t big enough or they are vulnerable to a larger business enveloping them. However, some of the best private companies that I’ve encountered have found a niche – a chink in a larger competitor’s armour – from which they achieve explosive growth. Sometimes, the two can develop synergies, with the smaller company serving one of the larger firm’s needs better than it could do itself, thus creating more value than either could achieve independently.
Regarding leadership, it’s a given that the entrepreneurs we meet are smart and passionate. But one factor I look for is evidence that the person at the top has built a team that complements their strengths and brings diverse skills and perspectives.
Location
Edinburgh, Scotland
Favourite book
Aldous Huxley: Island