Nick Dignam from Fortitude Investment Partners shares insights with Lachlan Maddock from Fortitude Investment Partners on how a diversified portfolio in mid-market private equity is structured. The Inside Adviser
The world of alternative investments is at a crossroads. As markets defy expectations and liquidity concerns take centre stage, investors find themselves forced to rethink how they deploy capital in an increasingly complex environment.
Strong support for the newly formed The Principals’ Community
The Principals’ Community, steered by Kon Costas, has received strong support from the independent advisory community after parting ways with BT Financial Group. The sole purpose of the group is to provide support and guidance to AFSL holders that bar any institutional ownership complications.
Costas is delighted with the support, saying: “The feedback and support we have received from the 122 community members has been exceptional, truly highlighting a significant desire for support as they grow in the ever-changing post-Covid and post-Royal Commission environment.”
“In addition, we are seeing many businesses taking a deep breath for the first time in a few years, and begin looking for more opportunities to grow organically, succession planning, mergers, acquisitions, scale, and, most importantly, how to successfully support their staff through the highs and lows,” he adds.
Well-known adviser Charlie Viola, from Pitcher Partners Sydney voiced his support, saying, “Never under-estimate having a truly independent voice providing comments and views on what they see when they look under the hood of your business. When we were at the crossroads, Kon and the team provided timely counsel on the path we needed to take – or risk blowing ourselves up.”
The Principals’ Community connects, inspires, and grows high-quality self-licensed businesses, and its mission is to provide the opportunity for the self-licensed advisory market to connect with other like-minded peers and advisers to gain fresh insights and ongoing education. The role for the group is more important now than ever following eighteen months of regulatory oversight.
One solution is to bring back in-person gatherings around the country and focus on several offerings advisers want. These include:
- Industry benchmarking report providing sought-after data sets enabling principals to readily compare their key ratios to like-minded and similar size self-licensed businesses.
- The running of several educational and professional development masterclasses
- Providing governance support and ensuring licensees understand all regulatory and legislative requirements, delivered through a mixture of quarterly meetings and ongoing engagement with responsible managers.
Costas concludes by saying, “For us, 2022 is a year to achieve two things: resuscitate a core value of the community, that is peer-to-peer learning and conversation via face-to-face forums. The 122 businesses all have a wide array of experience and expertise covering everything from technology, research, business management, structures and M&A or product/platform-related questions that can be shared with their peers.”
