Insights

In this interview, Andrew Wiechert and Drew French, co-Portfolio Managers for WCM's global value equity strategies, are interviewed by Rupert Hargreaves of Value Walk. Andrew and Drew discuss why value investing shouldn't simply be a sector bet on low-quality segments of the market, as well as reveal how applying WCM's framework for understanding moat trajectory and corporate culture offers them unique opportunities in an underinvested and appreciated subsection of the market. From Andrew: "These companies tend to live in a veritable "no man's land"—too optically expensive for the deep value investor, but with too much hair on them for a growth investor. Within this subsection of the market, we are hunting for companies experiencing an inflection point that will allow the businesses to accelerate the growth of their economic moats, typically through a catalyst such as a product-mix shift, a narrative shift, or a cultural turnaround. As these companies inflect and begin to grow their economic moats, we believe their investor bases will inevitably shift from more traditional value investors to growth investors. Along with this shift, we ultimately expect to see multiple expansion: a subject typically considered taboo in the world of value investing."

In this podcast, Paul Black, Portfolio Manager & CEO, and Mike Trigg, Portfolio Manager & Business Analyst, are interviewed by Ted Seides on Capital Allocators. From Ted: "Paul Black and Mike Trigg from WCM Investment Management are both past guests on the show who have taken an investment philosophy focused on culture and moat trajectory to turn a once struggling boutique into a $100 billion powerhouse. Paul came on the show a few years ago when WCM had quietly grown to $25 billion in assets, and Mike joined a year ago to dive into their research process. Their colleague Mike Tian shared another perspective earlier this year when he described applying WCM's moat trajectory discipline to investing in China. In this continued exploration of WCM, we start with the truly unique facts about the firm's rebirth a decade ago and turn to key features of its success, including embracing change, the importance of culture - alongside some characteristics of toxic cultures, hiring practices, telling the truth, integrating new team members, managing turnover, and transitioning leadership to the next generation."

In this podcast, Sanjay Ayer, Portfolio Manager and Business Analyst, is interviewed by Tom Yeowart and George Viney of Troy Asset Management. From Troy Asset Management: "Sanjay Ayer is a portfolio manager at WCM Investment Management, a California-based asset manager investing in quality companies with strong cultures and improving competitive moats. Sanjay talks about his evolution as an investor, how a good culture can reinforce a company's competitive advantage, and why it is so important for investors to learn from mistakes and compound knowledge to sustain success."

In this podcast, Mike Tian, Portfolio Manager & Business Analyst, is interviewed by Ted Seides on Capital Allocators. From Ted: "Our conversation begins with Mike's definition of moats and assessment of moat trajectories, using Visa as an example. We then turn to his application of moat trajectory analysis in China, including the value of heavy industries, analysis of culture, consumer preferences, risk, and some investment examples along the way. We close with Mike's thoughts on the moat trajectory of WCM itself."

In this introspective thought piece, Paul Black, co-CEO & Portfolio Manager at WCM Investment Management, explores the silent killers that cause money managers to fail. Paul challenges conventional wisdom on multiple fronts, including what it takes to build a $100 billion firm, the cultural problems that can destroy it, and the problems with an industry that penalizes change. From Paul: "Our industry too often worships at the altar of process, process, process. 'Don't change the process!' I find it bizarre: money management may be the only business where changing your process or belief system—because you've learned from your mistakes and want to get better—is frowned upon. Where else are you penalized for growing your knowledge base and making necessary improvements?"

In this podcast, Sanjay Ayer, Portfolio Manager & Business Analyst, is interviewed by Bill Brewster on The Business Brew. From Bill Brewster: "In this episode Sanjay 'stops by' The Business Brew to have a candid conversation about what really matters in investing. Sanjay has spent a lot of time thinking about group think, the power of enabling analysts/talent to develop itself, spending time on the signal vs. noise, and many more important investment topics."

In this podcast, Mike Trigg, Portfolio Manager & Business Analyst, is interviewed by Ted Seides on Capital Allocators. From Ted: "My guest on today's show is Mike Trigg, a partner and portfolio manager of WCM's Focused International Growth strategy that comprises the majority of the firm's assets. We discuss Mike's background, arrival at WCM in 2005, near implosion of the firm shortly thereafter, and the rising of the international strategy from those ashes. We then dive in deeper to the core tenets of WCM's approach, discussing how the firm analyzes widening moats and cultures tied to competitive advantage. Lastly, we talk about how WCM's growth has impacted the firm."

One of WCM's strongest competitive advantages is our focus on corporate culture—both at our own firm and within the companies in which we invest. This provocative thought piece provides a deeper dive into why culture is one of the most important, yet often overlooked, factors in any investment. Excerpt: "Over the years, we've come to believe that culture is one of the most important—yet least understood—drivers of long-term value. It separates the great companies from the merely good ones. It can grow a firm's competitive advantage, provide a compass when faced with a difficult decision, and help avoid disruption. At the same time, it's extremely hard to pin down, and even more difficult to quantify."

In this podcast, Paul Black, co-CEO & Portfolio Manager, is interviewed by Ted Seides on Capital Allocators. From Ted: "Our conversation starts with Paul's trial-by-fire entry into the business and turns to growth stock investing, including defining a great growth company, searching for widening moats, assessing a culture tied to competitive advantage, creating a positive culture, learning from mistakes, identifying tailwinds, and protecting the downside."