Investment Philosophy

Investment Philosophy

Al Masah Capital is a value driven investment management company with disciplined processes for stock selection and portfolio construction. Our goal is to generate attractive risk-adjusted returns over the long term. Securities are selected based on identifying intrinsic value in the stocks, credits or markets in which we invest.

Investor emotions can create security mispricing. This can be successfully exploited through our disciplined investment approach. Strict adherence to investment processes and risk management methodologies removes the emotional element from the decision-making process.

The team incorporates strict stop-losses at pre-determined portfolio values. To ensure strong risk management, we put our clients’ portfolios under dynamic stress tests on a regular basis to study the impact of extreme market scenarios.

Al Masah Capital creates investment platforms that are driven by client demand, cater to specific market needs that are significantly untapped, and grasp opportunities that are at the forefront of cyclical evolution.

Investment Process

Al Masah Capital’s investment process focuses on security selection based on fundamental analysis to identify value. To provide balance, the stock selection process is complemented by sector and country allocations. As regional investment managers we aim to run portfolios that are diversified across countries and sectors. Security selection decisions are driven by our in-house research and proprietary valuation models. When the market offers opportunities due to mispricing, we expect to back our convictions.

The process involves 4 stages

  1. Investment outlook and strategy formulation
  2. Security selection process
  3. Portfolio construction
  4. Regular risk review and performance monitoring


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