Praesidium strives to become the partner of choice for supporting the identification and execution of the best Private Investments globally

Private Markets Investments

We support our clients by providing full-scale and really bespoke solutions to help access the best of the industry globally and improving financial and operational efficiency on their legacy portfolio. This is achieved through two dedicated and highly bespoke offerings:

LEGACY ADVISORY

Independent, cost-efficient and long-term trustworthy advisory solution to Family Offices & Institutional Investors on their legacy Private Markets investments

INVESTMENT MANAGEMENT

Praesidium identifies, screens, and executes investment opportunities in a “club-deal” structure with the best and hardest-to-access managers in the world: our club-deals allocate to both the funds run by these top-tier managers and co-invest alongside them in the best deals globally

Praesidium has a seasoned and experienced Investment Committee, made up of highly talented internal and independent members which share common features of international experience at the highest level, outstanding track record, undisputed industry knowledge and highly respected professionalism: complete alignment of interest is also guaranteed by significant investments alongside the clients in every single undertaking

Praesidium implements a radically innovative approach for investing in global Private Markets, based on “thematic” investing and offering clients even small-sized tailor-made mandates with personalised asset allocation based on risk appetite, volatility tolerance, diversification, pace of investing, cash profile expectations and tax implications.

We do this by a combination of Customised Thematic Mandates (for larger clients) and Thematic Investment Programs and dedicated Feeder Funds (for smaller clients).  A limited number of “themes” are identified and submitted to the Investment Committee every year, on the basis of:

  • structural and growing importance of the “theme” at macroeconomic level and/or
  • major market dislocation offering near term compelling investment opportunities in the “theme”

Once the “theme” is identified and validated by the Investment Committee, Praesidium will undertake a thorough bottom-up analysis of the entire universe of managers operating in the “theme”. The managers (and the funds) are benchmarked at global level based on a number of factors, including, but not limited to, the quality and long-term stability of the team, the historical and prospective performance, the validity of the manager’s business model and investment process, the fairness of terms and conditions.

Only the very best top quality managers in every “theme” will be selected and supported through long term partnerships and co-investment agreements.

Our Investment Philosophy

Praesidium has few but strongly radicated convictions with regards to its investment philosophy:

SELECTING THE “THEME”

In order to deliver superior performance in a complex world of decreasing returns across asset classes (including Private Markets), it is of quintessential importance to appropriately define the key “themes” by means of sector, geography and style of investment articulation: for Praesidium, understanding which “themes” are more compelling from a macro standpoint at any given point in time (also keeping into account the long investment and harvesting cycles of Private Markets) is the first and fundamental step to target superior returns.

This is why our investment philosophy is first and foremost “thematic”, as opposed to the generalist approach followed by fund-of-fund managers and asset allocators.  The Investment Committee revisits and updates “themes” twice a year, using our proprietary Investment Value Matrix.

SELECTING THE MANAGER

In every “theme”, manager selection must be strongly concentrated on the few real “champions” identified in a thorough bottom-up analysis and market mapping of the entire industry: Praesidium wants to only back the very best managers, which often share our same passion for hard work and transparency and which can count on long term sustainable advantages (reflected in superior long term performance) because of their strategic positioning, the quality of their people and ultimately the deals they make.

This is a second major difference to asset allocators, which often dilute value through backing of second tier managers for achieving an ill-intended excess diversification requirement.

CRAFTING LONG TERM PARTNERSHIPS

The real best managers in every “theme” are often hard-to-access, severely capacity constrained and willing to limit the number of investors they can and want to have: Praesidium prides in being a long term, value additive and supporting partner to the managers which are selected to champion each single investment theme.

We intend to support through the cycles and multiple vintages the managers that we add to our platform, and to keep a constant dialogue with each one of them to make sure their championing of the “theme” is still faithful to the original promises.

VALUE-ADDED CO-INVESTING

We like to co-invest in the very best deals alongside our “thematic champions”, not only to gain a more direct exposure to the underlying assets to which we are anyway exposed by backing their funds, but also to better appreciate the way they work on actual deals.

Furthermore, by having strong ties to important families and institutions in Continental Europe, Praesidium can bring real value add to the deals where it decides to co-invest by typically generating growth opportunities through agreements and follow-on acquisitions in the geographies which it covers best.