Scottish Mortgage Trust

bowlhead99

AnotherJoe wrote: »

I will investigate, thanks. I have some money to invest when the Corona scare dies down and was looking to diversify out of what i already have. Or just buy another 20 Tesla to up it to a neat 200, I like round numbers

Heh, £100k of Tesla is too rich for me.

I am with you on the round numbers though. Life feels so much more civilised, with order and uniformity.

AnotherJoe

Well, Ive ruled out Pantheon, they've invested in a co within the Permian Shale industry and AFAICS thats a whole house of cards waiting to come tumbling down.

So yes thats just one bad co but that gives me no confidence in what else they would invest in.


Harbourvest is interesting but might be too much of investing in A that invests in B that invests in C, etc. A bit disvonnected i like to know what Ive invested in, I'll dig a bit more. May just go for TSLA I see it tripling from here next 2-3 years.

bowlhead99

Not sure to what extent you are kidding about the Shale but effectively both Harbourvest and Pantheon are funds-of-funds so have broad exposure to hundreds of underlying companies.

For example, Harbourvest run institutional funds-of-funds that commit money to private investment partnerships alongside institutional pension funds, insurance companies, endowments, sovereign wealth and family offices etc ; those underlying investment partnerships are run by third-party private equity fund management groups who draw down and invest the committed capital from the investors including Harbourvest into their various opportunities as they arise.

Harbourvest's investing entities will from time to time be offered direct opportunities to co-invest in some of the deals in addition to their share of the funding they're committing via the third-party managers' primary funds, so Harbourvest will set up special co-invest vehicles offered to their own investors to selectively feed those direct co-investment deals. They also have some 'secondaries' funds whose strategy is to acquire second-hand stakes in the primary partnerships from people who are looking for an exit for whatever reason.

Harbourvest's London stock exchange listed vehicle is an investor in those various types of institutional funds-of-funds which Harbourvest operate for their investors. By investing into lots of different vintages of Harbourvest funds they have pretty broad exposure to lots of underlying PE fund managers' products, diversified across the private equity deals by type of investment, financing stage and vintage year. So effectively you have a listed company with permanent capital, funding investment commitments and receiving exit distributions from a bunch of Harbourvest funds-of-funds, which in turn are investing into third-party private equity managers' funds.

Pantheon is a little simpler to follow through, as instead of the Pantheon International listed vehicle investing into other Pantheon institutional products on the way into the third party managers, it invests directly into those third-party managers' funds, alongside the Pantheon institutional funds rather than through them. Similar concept though. Ultimately as with Harbourvest the money gets allocated across a whole host of private equity opportunities.

As Pantheon International will have something like 800 underlying private holdings (on a look-through basis through the partnerships in which it invests), there is bound to be something you won't like among them, though they have greater exposure to information technology, and lower exposure to the banking, mining and energy sectors, than the UK All-share or global equity indexes would have.

Sally57

bowlhead99 wrote: »

Not sure to what extent you are kidding about the Shale but effectively both Harbourvest and Pantheon are funds-of-funds so have broad exposure to hundreds of underlying companies.

For example, Harbourvest run institutional funds-of-funds that commit money to private investment partnerships alongside institutional pension funds, insurance companies, endowments, sovereign wealth and family offices etc ; those underlying investment partnerships are run by third-party private equity fund management groups who draw down and invest the committed capital from the investors including Harbourvest into their various opportunities as they arise.

Harbourvest's investing entities will from time to time be offered direct opportunities to co-invest in some of the deals in addition to their share of the funding they're committing via the third-party managers' primary funds, so Harbourvest will set up special co-invest vehicles offered to their own investors to selectively feed those direct co-investment deals. They also have some 'secondaries' funds whose strategy is to acquire second-hand stakes in the primary partnerships from people who are looking for an exit for whatever reason.

Harbourvest's London stock exchange listed vehicle is an investor in those various types of institutional funds-of-funds which Harbourvest operate for their investors. By investing into lots of different vintages of Harbourvest funds they have pretty broad exposure to lots of underlying PE fund managers' products, diversified across the private equity deals by type of investment, financing stage and vintage year. So effectively you have a listed company with permanent capital, funding investment commitments and receiving exit distributions from a bunch of Harbourvest funds-of-funds, which in turn are investing into third-party private equity managers' funds.

Pantheon is a little simpler to follow through, as instead of the Pantheon International listed vehicle investing into other Pantheon institutional products on the way into the third party managers, it invests directly into those third-party managers' funds, alongside the Pantheon institutional funds rather than through them. Similar concept though. Ultimately as with Harbourvest the money gets allocated across a whole host of private equity opportunities.

As Pantheon International will have something like 800 underlying private holdings (on a look-through basis through the partnerships in which it invests), there is bound to be something you won't like among them, though they have greater exposure to information technology, and lower exposure to the banking, mining and energy sectors, than the UK All-share or global equity indexes would have.

Do you invest in either of these private equity IT’s?

bowlhead99

Sally57 wrote: »

Do you invest in either of these private equity IT’s?

Both.

(Extra text added to meet minimum post length)

aroominyork

AnotherJoe wrote: »

I will investigate, thanks. I have some money to invest when the Corona scare dies down and was looking to diversify out of what i already have. Or just buy another 20 Tesla to up it to a neat 200, I like round numbers

If you really think Coronavirus is significantly going to affect prices, don't you want to invest when it's at its peak rather than when it has died down? That just leaves the small matter of identifying the peak.

MarkCarnage

Indeed. Buy when there is blood on the streets as they say....allegorical and not intended to be offensive.

AnotherJoe

aroominyork wrote: »

If you really think Coronavirus is significantly going to affect prices, don't you want to invest when it's at its peak rather than when it has died down? That just leaves the small matter of identifying the peak.

Fair point. perhaps when i think the effect on the market has bottomed out. Hard to judge. But i think it will be lower than now.

AnotherJoe

bowlhead99 wrote: »

Heh, £100k of Tesla is too rich for me.

I am with you on the round numbers though. Life feels so much more civilised, with order and uniformity.

Looks like I hit that last night without buying the 20 !

AnotherJoe

bowlhead99 wrote: »

Not sure to what extent you are kidding about the Shale but effectively both Harbourvest and Pantheon are funds-of-funds so have broad exposure to hundreds of underlying companies.
.

It's my understanding that the whole PS field has never made a profit to date, that there are numerous bankruptcies looming and that now the price of oil is falling due in part to the shift away from FF transport everyone can see coming, there will never be a profit from it since it costs more to extract than its worth. Even gas is looking on dodgy grounds as RE starts to undercut it on price plus gradually but conspicuously investment is being withdrawn from FF companies. I'd have expected an investment company that's on the ball to understand this and get out ahead of the game.