Underfollowed and Undervalued – LDIC Continues to Uncover Investment Gems

Redwood has been working with LDIC Inc. since 2004, and the fund’s managed by the team at LDIC represent Redwood’s longest standing mandates.

The three different Redwood mandates (Diversified Income, Diversified Equity and Global Small Cap) managed by LDIC represent different investment objectives and also three different levels of investment volatility, the Income fund being the lowest, and the Small Cap fund being the highest.

For those who have seen Michael Decter on television, or seen him speak, you will note his ability to weave a compelling story on the investments his firm makes.  The stories are compelling because there is a healthy dose of common sense that underscores his investment theses.

Many of the companies are names that are underfollowed by the institutional investment community, giving all of the LDIC-managed portfolios a very different make-up than the broader indices or the large company competitors.  Due to a lower level of institutional coverage, these companies tend to have lower valuations, but will typically all fall within one of the broader investment or economic themes to which LDIC currently subscribes.

Two lesser known names, held across all the LDIC portfolios were recently highlighted in the Globe and Mail recently.

Article on Canexus – with comments from Michael Decter


Article on Canexus – with comments from Michael Decter


Article on LDIC Shorting Poseidon Concepts – http://www.theglobeandmail.com/globe-investor/shorting-poseidon-concepts-ldic-bets-big-wins-big/article8709361/

The three LDIC-managed funds at Redwood will meet the needs of clients seeking an income mandate, or something with more growth characteristics, however the common thread among all three funds are well-researched ideas, often not on the radar screen of other investors.

Michael Decter has maintained a performance oriented, boutique investment counsel while growing his investment team to include 6 investment professional.  Check out our website, Morningstar.ca or Globefund.com for more information on the Redwood Diversified Income, Redwood Diversified Equity or Redwood Global Small Cap Funds.

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