This approach has the potential to yield attractive returns over time if these investee companies are able to execute on their business plans and improve their growth and profitability. This strategy is not without risk, however, as investee companies face both internal and external challenges to their business plans. This aggressive component of the Company’s investment strategy has been partially offset by also making more traditional investments in later-stage investee companies that are already well-positioned for growth.
As a listed investment company, we are able to employ a much longer time horizon when considering an investment, which allows us to invest in private companies and take large positions in both private and public companies. We believe employing a longer time horizon when investing is one of the few real advantages you can have in the market today.