ActiveAlpha Group was started in 2008 when the founder initiated investments in various ventures in the Indian sub-continent. Initially, capital from international investors was invested as growth equity into medium sized private businesses across numerous sectors. Over time, the firm has expanded its efforts to look at public market companies that can benefit from a more active involvement in creating and unlocking value. Subsequently, the Group started consulting on investment opportunities across the world including real estate and other fund structures. In addition, the Group launched its Fund-of-Funds platform to facilitate investments in numerous funds from around the world.
Raghav Kapoor has 20 years of experience in global asset management, public market investing, regional private equity, and management consulting. He has worked at leading institutions such as McKinsey & Company, Goldman Sachs, Merrill Lynch and Bain & Company. Raghav has been a founding member of a $1 billion fund focused on long/short and long-only equity investing across geographies. At McKinsey, Raghav was a member of the corporate finance and private equity practices. He led numerous diligences for buyout funds seeking advice on specific investment opportunities. He also advised traditional asset management organizations across an entire spectrum of issues. He led the team that advised Hank Greenberg on AIG’s $20 billion alternative asset management portfolio.
Raghav holds an MBA from Harvard Business School where he graduated amongst the top 5% of his class as a George F. Baker Scholar. Earlier, he graduated from Stanford University with degrees in Electrical Engineering and Economics which he completed in record time under a full academic scholarship. He has pursued International Economics under his advisor Paul Krugman and researched the formation of the EU at Balliol College, Oxford.
We help companies improve their business models and their strategic direction by leveraging the inherent strengths of the team, the competitive positioning of the company and the developing market landscape. The firm helps in the strategic assistance in prioritizing opportunities and applying capital and resources to achieve that growth.
ActiveAlpha brings extensive experience and resources to help management teams assess and capitalize on business opportunities. The team has worked across various industries and with a variety of companies: Consumer, Retail, Hospitality, FMCG, Healthcare, Pharmaceutical, Technology, Media, and Financial.
Working with management teams to assess the current cost structure and opportunities to improve efficiency, the team aspires to improve the margins that a company operates with. The firm strongly believes that operational excellence is a prerequisite for any successful business and should be a base case for all operations.
In today's world, we strongly believe in being innovative in our approach and in the opportunities we seek. It is essential to question conventional wisdom while creating new ideas. We believe in leading the change we seek to see and help problem solve creatively to find solutions that work and are effective in our businesses.
We conduct ourselves with the highest level of integrity in all our interactions. We believe that being honest and truthful about our word and our work is of paramount importance. We also expect the same from all of our partners and we will not shy from affirming our high standards on all our assignments.
Our team works in partnership with management teams and other consultants to apply our collective wisdom to solve problems and to drive change. We firmly believe in working as a team to achieve the common goal of increasing/improving stakeholder value. Our team provides critical support at every stage of the company's growth.
ActiveAlpha Capital is an investment Fund that follows a private equity approach to investing in publicly listed companies. ActiveAlpha invests in a limited set of high potential mid-cap companies that have the opportunity to deliver outsized returns. India has the highest number of listed companies in the world ~5,500 yet only the top 100 - 200 companies have meaningful institutional research coverage. The next 400 - 500 companies are often large, well-traded companies with limited or no coverage that are thus not appreciated by the investment community. Within this set, ActiveAlpha seeks to identify high-potential companies by following a highly disciplined fundamental based research-intensive process. Upon investment, ActiveAlpha works with each company to unlock value for shareholders through operational improvements in the business. In addition, the team uses several levers to grow earnings: improving the company’s strategic direction, working capital management, product development pipeline, go-to market approach, senior management depth, inorganic growth opportunities, ability to attract additional investors, etc. As these companies are typically trading at a significant discount to their potential, ActiveAlpha seeks to unlock this value in order to generate sizeable returns for its investors that are not correlated to the broader markets. With a focus on companies with solid business models and strong competitive advantages, ActiveAlpha aspires to capture the Indian growth story by investing in the businesses with the most potential.
The Fund is very careful in identifying which companies to invest in. The rigorous selection process has been honed over the last 20 years and involves meticulous screening, deep due diligence, a sector view and patience before making any investment. Investments are made for the long term and thus selection at the onset is of paramount importance.
The Fund invests in a limited number of companies. The Fund believes that unnecessary diversification is detrimental to returns. A concentrated portfolio allows a clear focus on the companies invested in. However, strict limits are placed on industry and geographic concentration. A keen focus on the event path for each company drives the investment thesis.
The Fund engages with each company to help the management teams build successful businesses. This engagement can be in the form of improving the operations of the business, driving sales growth or simply improving working capital. Active engagement ensures the Fund is in control of the event path for each investment.
For further information, you can visit: www.activealphacapital.com