What we do
Philosophy
The future is digital, global, and sustainable. We believe:
- There is a spectrum of markets that remain inefficient. This inefficiency is more pronounced in countries with less institutional investor presence and lower market cap firms, where growth-oriented themes often dominate.
- A systematic approach is ideally suited to target global mispricings. A market orientation is required
to identify market inefficiencies. - As technology, globalization, and the shift towards sustainability disrupt the world economy, there are significant opportunities for investment in stocks that will likely benefit from these trends.
- An early tilt toward these themes will be rewarded as global investors shift attention to them through fund flows and rising valuations.
Edge
Global Delta’s investment team has significant experience investing at the junction of quantitative finance, emerging markets, and sustainability. We believe a systematic process incorporating market-driven insights is a compelling way to deliver high alpha and high impact in the less heavily invested markets.
Our edge comes from a combination of these characteristics:
- A systematic investment approach complemented by fundamental analysis and market-driven insights.
- Niche focus on inefficient markets that are less scrutinized by global institutional investors.
- An enduring research effort to capitalize on sustainability trends and a commitment to delivering impact through engagement and investing in firms with a track record of improving stakeholder value.
Approach
Global Delta combines systematic tools with market-driven insights by a highly experienced team, to take advantage of the broad opportunity set while remaining flexible to respond to rapidly shifting market conditions. In addition, our investment platform is designed around a localized approach, where emerging markets are at the core of our design.
Given our fundamental belief in the value of impact and sustainability, we partner with stakeholders who share our mission to achieve outcomes that protect shareholder value and seek to benefit the communities in which our investments operate. Our approach offers the potential to revolutionize the pace of development by harnessing the power of the equity capital markets.
Sustainability
We believe sustainability in emerging and frontier markets suggests both outsized vulnerability and outsized opportunity. A sustainable lens enables us to generate a more holistic view of companies to inform better investment decisions. Our objective is to use the power of our capital to build strong, sustainable local economies. Our Guiding Principles follow internationally recognized frameworks and guidelines for responsible business conduct:
- OECD Guidelines for Multinational Enterprises
- The UN Guiding Principles on Business and Human Rights
- The UN Sustainable Development Goals
- The Taskforce on Climate-related Financial Disclosures
Key considerations include:
Data | “AI” for Alpha and Impact: Systematic tools, including machine learning and natural language processing, enable a rigorous review of unstructured data sources.
Integration | ESG is not one factor: Sustainability considerations are heterogeneous across ESG. We offer a systematic, market-driven approach to quantifying forward-looking themes.
Solutions | Don’t Buy Blood in the Streets: Global Delta aims to provide sustainable solutions to clients. Our forecast and optimization technology enable selective exclusionary screens.
Engagement | Stewardship & Partnerships: We partner with leading institutes to participate in thought leadership and stewardship. These partnerships inform our idea generation. Key partners in our engagement efforts include the following:
- Principles for Responsible Investment (PRI)
- UN Global Compact
- Climate Action 100+
- Asia Investor Group on Climate Change (AIGCC)
- Interfaith Centre on Corporate Responsibility (ICCR)
- Global Impact Investing Network (GIIN) – in process
* Global Delta Capital maintains memberships with ESG-aligned organizations to monitor and align the firm and its investments with evolving standards and frameworks appropriate for their industry and jurisdiction. While Global Delta’s funds and strategies are ESG-aligned, the Firm makes no claim that the funds or strategies are entirely focused on ESG-based investment objectives. Reference to a company above does not imply that such company endorses Global Delta. References to these companies are for illustrative purposes only.
