Please carefully review the following information and respond to the questions below.
The information contained on this website is intended only for, and may be accessed only by, persons in the United Kingdom, professional investors in Denmark, Finland, Germany, the Netherlands, Spain and Sweden, persons who are both wholesale clients and professional or sophisticated investors in Australia and persons in any other jurisdiction to whom such information can be lawfully communicated without any approval being obtained or any other action being taken to permit such communication where approval or other action for such purpose is required. The information on this website is not directed at and is not for use by any other person and it may not be lawful to access the information in other jurisdictions.
The information contained on this website is not for release, publication or distribution, directly or indirectly, in whole or in part, in or into any jurisdiction where its release, publication or distribution is or may be unlawful. In particular, the information on this website is not directed at and is not for use by and may not be released, published or distributed to any us person or any person in Canada, the Republic of South Africa, Japan or Australia (other than persons who are both wholesale clients and professional or sophisticated investors in Australia).
In this note, we use some high-profile, mainly hostile, bid situations to illustrate the “agency” costs that can be a material drag on the performance of a listed equities portfolio. The strong corporate governance embedded in PE limits such costs, allowing i) a long-term focus (with a through-cycle perspective), ii) shorter periods of operational underperformance, iii) reduced risk of non-financially motivated acquisitions, and iv) aligned managers’ and shareholders’ interests. While PE is resource-intensive, we demonstrate how PIP avoids agency costs – a material factor in it delivering market-beating, post-cost returns since inception.
Download the full report
If you'd like to be introduced to the team at Pantheon International Plc, get in touch.Request a meeting