Our Investment Approach

We take a long-term, high-conviction approach with a core focus on seeking asymmetric outcomes

Core tenets of our investment philosophy

Long Term

In a world where investors increasingly seek to compete on how quickly they can react, Lakehouse competes on patience. We believe a long time horizon provides a structural advantage in equity markets . By extending our time horizon we shift the drivers of our performance away from short-term fluctuations and towards long-term business fundamentals.

High Conviction

We believe in backing our best ideas with conviction. Numerous studies show that managers’ best ideas on average add value, whilst their smaller positions tend to detract value. Likewise, the incremental diversification benefits of additional positions fade quickly. Data validates holding a smaller number of positions that are better understood by our team.

Asymmetric Outcomes

We seek asymmetric opportunities with multiple ways to win and few ways to lose. We are solely focused on compounding our investors' wealth over the long term.

We believe that highly successful investments share some common attributes

Attributes of the business we invest in

Strong positions in growing markets

Industry leaders capture an outsized share of industry profits. Growing markets put the wind at their backs and time on their side.

Durable competitive advantages

Grounded in scale, strong brands, network effects, and/or high switching costs. Or, one better, directional improvements in those advantages.

Pricing power

Pricing power is the financial distillation of a business’ competitive position. We lean on businesses with price-setter rather than price-taker characteristics.

Aligned and proven management

Investing in a business for the long-term requires a deep understanding of its leaders including their experience, incentives, and track record of capital allocation.

Conservative balance sheets

Well capitalised businesses possess optionality that their less advantaged rivals do not, enabling the stronger business to play offense while others play defense.

Attractive valuations

Better skew the odds of a favourable outcome by paying a reasonable price.

Our People

We started Lakehouse to offer investors - alongside friends, family and ourselves -- a vehicle to compound investment savings for the long term. Our goal is to create an enduring boutique investment business known for: alignment, trust and strong long-term investment returns.