Hunting for Undervalued Compounders in Asia
Interview with Dan Rupp, Founder and CIO of Parkway Capital
Our guest on the show this week was Daniel Rupp, CFA, the Founder and CIO of Parkway Capital. After spending many years at a very well-known, Asia-focused investment firm called Overlook, Dan founded Parkway Capital to take advantage of some of the less liquid and smaller-cap opportunities he was consistently unearthing. Dan is the first Asia-only investor we have had on the podcast, and I was excited to speak with him about:
• The types of opportunities he thought he could invest in with a smaller capital base;
• How he is building his team and his asset base;
• The Parkway portfolio, which consists of Compounders, Defensive companies and Deep Value stocks;
• Why he is so constructive on the Chinese market right now; and
• The investment case for Chinese white goods manufacturer, Haier
Please enjoy this excellent deep dive into the Asian equity markets here:
One of Parkway Capital's strategies is to buy different share classes of the companies they want to own, especially those that trade at a discount to the most widely traded share class. With that in mind, I asked Dan if they need the discount to close to make money. In this clip, he discusses how he is essentially buying compounders at a large discount.
We hope you enjoy learning about a manager who is looking for value in markets that many others have abandoned for various reasons.
Thanks again for following the Compounders podcast,
Ben Claremon