in Wealth and Investment Management
Based in Zurich, Cape Capital is a trusted advisor and wealth manager to several large European families. Our offering rests on three pillars:
We don’t see ourselves as private bankers – we are a trusted advisor. We care about alignment of interests – we invest in our own funds and in all ideas alongside our clients. Our company culture of accountability and responsibility is unique and it ensures longevity and sustainability of our relationships.
We cater to large families – we understand their needs and customize our offering to them. Our key asset is our people, going out of our way to find solutions, acting as a team where all members have direct contact with clients, to provide long-term impact. In 2016 we roll out a proprietary technology platform that will take communication with our clients and their family members (in particular the next generation) to a new level.
Our priority is not just performance, but risk-adjusted performance. We offer our clients investment opportunities, many of which are unique, exotic or contrarian – but always simple to understand. Fully customized portfolios and solutions make this performance ever more valuable, as each client has individual needs and risk appetite.
The Wealth Manager
We are here to make life easier – by providing consolidation of assets across banks, jurisdictions, managers and mandates. Having a picture of the overall wealth allows us to manage asset allocation and risk, and to provide financial solutions when needed, as well as to assist in wealth planning and next-generation issues.
The Asset Manager
We manage our clients’ assets on either a discretionary or an advisory basis, combining our in-house capabilities with a selection of top third-party managers and funds globally. We research and screen ideas that come from our clients, combining this with investment ideas that we source from our network to create a powerful set of tools and fully customized solutions, in order to yield superior risk-adjusted returns.
The Solution Partner
We believe that no single firm can efficiently address all of its clients’ issues. We work with a network of top experts in various fields (such as structures, trusts, and taxation) whose work we have seen first-hand, usually through our work with families, and who have earned our respect. Our independence in this respect has been of great value to our clients.
The Trusted Advisor & Project Manager
Over time, as trust grows and our relationship with a client develops, we are often able to take on additional roles for them, serving as a trusted “sparring partner” for new endeavors, or as a project manager.
Stephan J. Vlcek
Cape Capital is an asset manager specialising in the active management of fixed income and equity strategies through UCITS-compliant investment funds.
Investors can benefit from four clearly defined investment strategies which are focused on capturing a specific type of return profile. Each of the funds provides investors with a transparent and reliable building block in an overall asset allocation framework.
Our experienced investment team focuses on delivering superior risk-adjusted performance utilising rigorous investment discipline and state-of-the-art infrastructure with fully integrated systems for trading, portfolio management, and risk management.
Cape Fixed Income Fund
The objective of the strategy is to achieve a net target return of Libor +250 bps over a credit cycle, by investing in liquid debt securities and credit derivatives.
The strategy uses a spectrum of credit instruments to provide an attractive, stable, and reliable carry – with a focus on liquid investment grade credit risk. We exploit relative value opportunities through comprehensive fundamental and quantitative analysis in order to maximise the reward/risk ratio. Analysis of capital and bond structures is key in our approach.
Interest rate duration is reduced to 1-2 years in the strategy, insulating investors from swings in interest rates, and FX risk is fully hedged. With its generic and stable payoff profile, the strategy provides predictability. And with a return target based on a floating rate, it helps to preserve, or possibly increase, the investor’s purchasing power in an environment of subdued nominal rates.Read more
Cape Equity Fund
The objective of the strategy is to create long-term capital appreciation by investing in a portfolio of high quality companies.
The fund holds 20-25 large-cap global quality firms which are leaders in their industries, hold strong franchises, have little or no debt, and which generate solid cash flows that can either be distributed through dividends and/or share buybacks on a sustainable basis. The fund focuses on investing in profitable, growing and reasonably-valued companies
The fund seeks to invest in companies which are likely to grow faster than the overall market, and are yet believed to be more resilient in market downturns due to their strong market and financial position. In our view, the flexibility that strong companies enjoy will allow them to emerge relatively stronger out of economic downturns, and their strong financials enable them to also be proactive and obtain new opportunities.
Thus, the Cape Equity Fund aims to outperform the market with lower volatility over time, while at all times offering comfort to investors by holding well-known franchises.Read more
Cape Optimal Equity Fund
The objective of the strategy is to deliver Euribor plus 5% annualized return over a three-year horizon by investing in a global portfolio of high quality companies, while also adjusting market exposure through the sale of index futures.
The fund holds 20-25 large-cap global quality firms which are leaders in their industries, hold strong franchises, have little or no debt, and which generate solid cash flows that can be distributed through dividends or share buybacks on a sustainable basis. The fund focuses on investing in profitable, growing and reasonably-valued companies.
These companies are likely to be more resilient in market downturns due to their strong market and financial position. Moreover, the fund adjusts its equity exposure between minus 50% and plus 100% through index hedges in order to avoid large drawdowns while not missing out on the upside.Read more
Cape Long/Short Equity Fund
The objective of the strategy is to deliver equity-like returns with lower volatility, through investing in third party long/short equity hedge funds, which utilize a full arsenal of instruments to deliver superior risk-adjusted returns.
We manage our fund by investing in a concentrated yet diversified portfolio of 8-12 long/short equity funds, run by reputable investment managers in a transparent way. Thus, this fund provides a good addition to the traditional equity portfolios as it can reduce the downside volatility of returns, while not impeding the upside over time.
This is a SICAV-SIF Fund. More information upon request.Contact us to learn more
Our Private Markets offering is primarily comprised of direct investment opportunities, and in special cases, fund investments. The principle is that the investment should provide exceptional absolute return over the mid- to long-term, and show little correlation to publically traded instruments.
Over the years we have built up a network of trusted partners who provide us access to unique and highly attractive investment opportunities. Our approach to selecting investments is highly focused – sharpened and tempered by past experiences.
The work of our dedicated Private Markets team is based on a state-of-the-art infrastructure, supported by transparent investment processes, and a secure legal framework.
Growth Opportunities (GO) Program
GO Program is Cape’s long-term thematic growth investment program structured through concentrated vintages. The first vintage (GO Vintage I) is available for investment starting Q4 2019. The GO Program intends to think one step ahead by supporting businesses that will make a difference in shaping the future.
The portfolio companies address inefficiencies in current industry practices and seize new opportunities which emerge through change. Change can be driven by consumer behavior, industry dynamics or external influences. The Program includes disruptors from the fields of Agriculture/Food, Healthcare/Wellness and Entertainment/Lifestyle.
Investment focus is on late-stage Venture companies with scalable business models, leading market positions and a visible route to exit. Fee technicalities and structural setup strongly align interests between Investment Manager and Investors.
The Program works with industry leaders and experts through a strong advisory network; the network provides guidance on investment decisions and ensures that the companies maximize value creation, while developing resilient and successful businesses.Read more
Cape Capital offers access to a number of select direct investment opportunities, sourced through its established network, for investors wishing to achieve investment diversification and attractive expected returns.
Our focus is on investing in businesses, in the US and Europe, which are easy to understand, established, not heavily regulated, and that are in a later-stage phase of revenue and profit generation. We typically invest alongside management, founders and our partners.
On a case-by-case basis, we may also provide alternative credit to established businesses and our portfolio companies. Typically, these are well-collateralised venture loans with a duration of 1-3 years, or loans against intellectual property rights.
Building on our track record, we follow a structured, disciplined approach for deal sourcing and execution in order to obtain return- and tax-efficient results for our clients. Our team is supported by an Advisory Board of industry specialists who provide networks and vetting of our investments.