Unlocking Value in Public Equity Tech Investing

In today’s fast-paced world of technology investing, it’s easy to get swept up in market trends and short-term noise. But at Shepherd Investment Management, we believe in taking a different approach – one rooted in first-principles research and a commitment to identifying undervalued global tech companies poised for long-term growth.

Founded by Jess Xu in 2024, Shepherd Investment Management focuses on publicly traded technology companies around the globe. We combine deep, fundamental research with cutting-edge technology to uncover opportunities that others may overlook. Our investment philosophy is simple: focus on the ‘unchanged’ amidst the chaos of technological evolution, identify enduring opportunities, and prioritize long-term growth over short-term trends.

The Shepherd Investment Management Difference

The essence of Shepherd Investment Management lies in our systematic and thoughtful approach to public equity tech investing. Unlike many firms that chase the latest buzz or react impulsively to market fluctuations, we take a contrarian stance. We dive deeper into understanding the true, underlying drivers of a business – those fundamental aspects that remain consistent even as technology rapidly evolves.

Our strategy is not about following the crowd. We believe that the best investment opportunities come from diverging from conventional thinking. Our first-principles approach drives our decision-making process and ensures that every investment we make is grounded in a clear and simple thesis.

Systematic Idea Generation

At Shepherd Investment Management, we don’t wait for opportunities to come to us. We proactively map the entire global tech landscape, leveraging proprietary technology to sift through vast amounts of market data. This technology acts as a filter, allowing us to block out noise and focus on the most promising investment opportunities.

This systematic idea generation is key to our process. It gives us the flexibility to identify high-conviction ideas that others may overlook, ensuring that we are always one step ahead in uncovering value in public equity tech investing.

Building Conviction through First-Principles Research

Our research process is driven by one simple question: why? We challenge ourselves to peel back the layers of complexity surrounding a business to uncover the core drivers of its value. This “why” questioning allows us to distill even the most complicated investment thesis into a straightforward, understandable proposition.

By rigorously asking why at every stage, we build deep conviction in each investment. This is not about speculation or reacting to the latest market movement; it’s about understanding the unchanging forces that will continue to drive growth over the long term. Through this lens, we can confidently identify opportunities that have the potential to deliver sustainable, risk-adjusted returns.

A Concentrated Portfolio with Conviction

The result of our comprehensive research process and disciplined investment strategy is a concentrated, high-conviction portfolio. We typically maintain a portfolio of 10-20 holdings, which allows us to concentrate our capital in our most deeply understood ideas.

Our focus is on quality over quantity- investing in companies that we believe will thrive over the long term, rather than spreading our capital across a broad range of holdings.

At Shepherd Investment Management, we define risk as permanent loss. By focusing on companies we understand deeply and ensuring that we’re always investing with a margin of safety, we aim to protect our investors from downside risk while positioning them for long-term growth.

Conclusion: Investing Beyond the Hype

In the world of public equity tech investing, it’s easy to get lost in the noise. But at Shepherd Investment Management, we remain focused on uncovering value where others may not look. Through a combination of first-principles research, proprietary technology, and rigorous valuation discipline, we identify undervalued global tech companies that are positioned for sustainable growth.

With our conviction-led approach, we are committed to delivering meaningful results and uncovering opportunities in the world of public equity tech investing.