GQG Announces Initial Public Offering on the ASX

We’re delighted to share the below release from our partner GQG Partners.

The founders were also featured in a short CNBC interview on the IPO.

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FORT LAUDERDALE, FLA. — October 25, 2021 — GQG today announced its IPO on the ASX with the company’s founding shareholders listing approximately a 20 per cent stake. With an IPO offer price at $2 AUD/share, which implied a nearly $6bn AUD valuation, the IPO was oversubscribed.

“It is exciting to bring a global investment boutique of GQG’s caliber to the ASX,” said Richard Sleijpen, Managing Director Head of Global Capital Markets, Australasia at UBS. “This is the largest IPO in Australia this year and it received a strong response from both Australian and global investors. GQG’s exceptional growth profile and culture of investment performance and alignment with both clients and shareholders clearly resonated.”

GQG’s co-founders and team continue to own roughly 75 per cent of the company post-listing and every team member will now have an equity interest in the firm.

“This is an important step towards the vision we laid out when founding the company, of building an investment-led culture, and an institution that can outlive its founders,” said CEO Tim Carver. “Since our inception five years ago, this experience has outstripped anything we could have imagined. I am so proud of the efforts of our team, the quality of their work and the support of our clients.”

“This business has to be all about performance,” said Chairman and CIO Rajiv Jain. “That’s why we have always focused on having skin in the game. We want to be the most client and shareholder aligned firm that exists in the market.” Mr. Jain continued, “I think a public currency is a very valuable competitive weapon in the search for talent. We believe it will help us keep our great people and will give us an edge in finding the players or teams who can continue to drive our business forward in the years to come.”

In a continued commitment to client alignment, Carver and Jain have committed to co-invest at least 95% of their after-tax proceeds from the offering in GQG’s investment strategies for at least seven years.

ABOUT GQG PARTNERS

GQG Partners is a majority employee-owned investment boutique listed on the Australian Stock Exchange (ASX:GQG). The firm manages global and emerging market equities for institutions, advisors and individuals worldwide. Headquartered in Fort Lauderdale, Florida, we strive for excellence at all levels of our organization through a commitment to independent thinking, continual growth, cultural integrity and a deep knowledge of the markets. Supported by many leading investment consultants and financial institutions, GQG Partners manages more than US$80 billion in client assets as of September 30, 2021. For more information, please visit gqgpartners.com.

GQG Partners Hits 5-Year Anniversary and Announces 8 New Partners

We’re pleased to share the below release from our partner GQG:

FORT LAUDERDALE, FLA. — June 3, 2021 — GQG Partners, a boutique investment management firm headquartered in Ft. Lauderdale, FL, celebrates its fifth anniversary this month and announces eight new partners. Founded by Rajiv Jain and Tim Carver in 2016, GQG Partners strives to be among the most investment focused and client aligned firms in the investment management industry.

Central to that goal, GQG announces that it has added eight new partners to the firm, bringing the total to 17 partners. The new partners are:

James Anders, CFA; Mark Barker; Carolyn R. Cui; Phil LoGrasso, PhD; Greg Schneider; Xavier Sément; Rick Sherley; and David Tuthill.

“We are thrilled to expand our partnership with such a talented, committed, and passionate group of people,” said Tim Carver. “We have always said that partnership at GQG is about being in service to something greater than ourselves, committed to bringing lasting value to our clients and the world. This team embodies that ethos fully.”

With an unrelenting focus on compounding clients’ wealth, over the past five years GQG Partners has:

— Added value across every investment strategy for its clients;

— Built a partnership with 17 equity partners;

— Opened offices in London, New York, Seattle and Sydney;

— Grown to over 100 employees;

— Developed meaningful client relationships in the United States, Australia, the United Kingdom, Canada, Europe, the Gulf Region, Japan, and Southern Africa;

— Built a robust trading, technology and operational infrastructure; and

— Continued to expand the reach of The GQG Partners Community Empowerment Foundation, which was established to help the most vulnerable parts of our society by providing funding to over 50 organizations.

“I have always said that managing clients’ investments is an honor and a privilege,” stated Rajiv Jain, co-founder and Chief Investment Officer. “We are humbled by the overwhelming support of GQG Partners over the past five years.

“I am most proud of the fact that we have added value in every strategy we manage since founding GQG Partners. At the same time, we are keenly aware that our focus must remain on tomorrow’s performance and maintaining the high standards that we set out in the early stages of this business. My first goal remains to deliver investment excellence because the performance we deliver to our clients will ultimately define our firm.”

GQG Partners has continued to expand its team with professional talent across all functions of the business with a goal of delivering a top-flight client service experience. The alignment of this team continues to deepen as the firm now has 17 partners.

Tim Carver, co-founder and Chief Executive Officer, remarks, “I believe our early success at GQG Partners is entirely based on the quality people that we’ve been able to attract. We have assembled a group of independent thinkers who are diverse in their backgrounds, experiences and perspectives but united by the common desire to exceed our client expectations across every aspect of the business. I am excited to see where this team will take us over the next five years and beyond.”

ABOUT GQG PARTNERS

GQG Partners is an independent, majority employee-owned investment boutique. The firm manages global and emerging market equities for institutions, advisors and individuals worldwide. Headquartered in Fort Lauderdale, Florida, we strive for excellence at all levels of our organization through a commitment to independent thinking, continual growth, cultural integrity and a deep knowledge of the markets. Supported by many leading investment consultants and financial institutions, GQG Partners manages more than US$75 billion in client assets as of April 30, 2021. For more information, please visit gqgpartners.com.

GQG emerges as pandemic winner with $30bn asset growth

The investment firm set up by former Vontobel star manager Rajiv Jain has more than doubled its assets to $62bn this year, making it one of the standout winners in the fund management sector from the coronavirus crisis.

GQG Partners, which was set up by India-born Mr Jain in 2016 and which manages funds focused on emerging markets, US and global equities, had net client inflows of $18.2bn in the first nine months of this year, the Florida-based firm told the Financial Times.

Read the FT’s latest coverage on GQG here:

Rajiv Jain: The Gravity of the Growth/Value Debate

An opinion piece from our partner GQG in Funds Europe.

The value or growth framework is "overly simplistic", says Rajiv Jain, chairman and CIO of GQG Partners. While avoiding "value traps" is critical to long-term returns, some in the growth camp "have gotten a bit ahead of themselves".

History has taught us many lessons but uncovering those lessons is easier said than done. Under trying circumstances such as our current environment, it’s often difficult to carry a prudent optimism. But what if history shows us that human progress can push forward despite our less than ideal current conditions? Let us explain.

During the Great Plague in 1665, many people made a rush out of the cities to retreat to the countryside (not unlike 2020 where not a day goes by that a story isn’t published about a rush out of cities and an embracing of suburban or rural life). One such person retreating to the outskirts during this period of turmoil was none other than Sir Isaac Newton. During this period of quarantine and exodus, Newton made great strides in not only what would ultimately become known as calculus, but also this very small thing involving an apple and ultimately what keeps us glued to the ground – gravity. In hindsight, and driven by Newton’s insights, this particular quarantine earned the moniker annus mirabilis – the year of wonders.

In our current environment, and while not as extraordinary as calculus, but still quite extraordinary, is something that we’re all readily accustomed to at this point – virtual everything.

Just six months ago, this interconnected global system of virtual meetings, events, etc. was almost entirely inconceivable, at scale. The teleconference, while not new and arguably if not for our current circumstances, would have remained relegated to quick meetings squeezed in between the really important ones or simply saying “hello” to family members abroad.

Overly simplistic

So like Newton, a reframing of the environment, even if under less than ideal circumstances, can bear great fruit (pun intended). The goal, of course, is to recognize those opportunities before others do, a proposition much easier said than done. Therefore, to do this, the industry often uses an overly simplistic framework, one of value or growth.

Value: purchasing securities that are “cheap” based on some metric such as low price to book or low price to earnings. The value factor has been recently maligned but historically revered due to its somewhat intuitive formulation combined with academic citation rings on its efficacy.

Contrast this with the historical underdog, “growth” which is rooted in optimism about the future and based on metrics such as above average revenue and earnings per share growth. While not nearly as academically sound as its value foil, growth has been favored by investors for more than a decade due to a perceived “growth scarcity” as well as the prevalence of companies with strong network effects, which has seen growth strategies and indexes accrue relative gains over value.

Because of this decade long phenomenon, much like the urban exodus articles noted above, not a day goes by that some publication doesn’t run with a story from one camp, explaining their plight with religious zeal, in defense of one “factor” versus the other. While we think there’s nothing wrong with being religious in your personal life, we believe a more agnostic approach to investing is worth pursuing.

GQG Partners’ is not one of value nor growth, we’re simply focused on compounding and teasing out a process that works. Having said that, we do believe a company needs to be growing in order to be worth the work as we believe avoiding value traps is critical to long term returns. But we also think that areas of the market, particularly in the high growth camp, those that have directly benefited from the current virtual revolution or those that are perceived as “revolutionizing the planet” in some other way have gotten a bit ahead of themselves.

We think this is especially true for those “revolutionary” companies that have not produced cash flows commensurate with their recent price appreciation or have come to market under the newfound gusto for blank check companies. Why such caution? Because as students of history, we’ve seen this before.

Much like the speculative fervor that was produced in the decades following Newton’s annus mirabilis, we think investors in certain areas would benefit from recalling the words of Thomas Babington Macaulay, describing the high growth investors of his time as having “an impatience to be rich, a contempt for those slow but sure gains which are the proper reward of industry, patience and thrift".

While it’s not always easy to resist the push and pull of either camp, agnostic we shall remain, solely focused on identifying opportunities wherever they exist, most likely due to the distractions caused by the battles between our more zealous style-box focused peers.

FT Interview: Lessons learnt from a career of investing through crises.

Rajiv Jain is used to a crisis. The founder of boutique GQG Partners made his name as a star emerging markets trader during a long career at Vontobel Asset Management.

Read the FT’s latest interview with Rajiv here:

Rajiv Jain Discusses Portfolio Management (Podcast)

GQG Partners Chairman and Chief Investment Officer Rajiv Jain speaks with Barry Ritholtz on Bloomberg Radio about portfolio construction, investment focus, and deciding when to sell.

Listen to the podcast here >

GQG Partners Celebrates Three Years of Strong Growth and Executing Long-Term Vision

FORT LAUDERDALE — June 3, 2019 — GQG Partners LLC (GQG Partners) recently celebrated the three-year anniversary of its founding. As the firm surpasses more than US$22.5 billion in regulatory assets under management, its co-founders reflect on the past three years:

RAJIV JAIN, GQG Partners’ co-founder and Chairman & Chief Investment Officer
“The most exciting thing to me is seeing the cornerstones of our long-term vision settle into place. Our culture and commitment to client alignment is resonating with some of the most sophisticated consultants and institutions all over the world, which has been very gratifying.”

TIM CARVER, GQG Partners’ co-founder and Chief Executive Officer
“We’re so proud of the quality of our team, of the quality investors we’ve attracted, and of the performance we’ve been able to deliver. I couldn’t have dreamed of a better beginning to our journey and am looking forward to the years to come.”

GQG Partners commenced operations in 2016 under the leadership of prominent investor Rajiv Jain and business leader Tim Carver. The two shared a long-term vision of building a highly client-aligned investment boutique that would outlive them as founders. Mr. Jain and Mr. Carver split investment management and business management responsibilities along CIO and CEO operating lines. Mr. Jain is Chairman and the controlling shareholder.

As a boutique investment firm, GQG Partners remains deeply committed to client-alignment. “From day one we’ve viewed ourselves as co-investors with our clients. Our core values as a firm have focused on client alignment and investment excellence. Being an employee-owned company empowers us to build around those values,” states Mr. Carver. GQG’s co-founders have the vast majority of their net worth invested in the business and funds managed by GQG. The firm has further aligned GQG employees with clients through a compensation program that ensures nearly all employees are invested in GQG strategies. “I believe having skin in the game is critical, full stop,” says Mr. Jain.

Regulatory assets under management at the firm have grown to over US$22.5 billion in four investment strategies — Global Equity, International Equity, Emerging Markets Equity, and US Equity — through a combination of separately managed accounts, private funds, collective trusts, and mutual funds (and their international equivalents).

GQG Partners now has 56 associates across offices in Fort Lauderdale (firm headquarters), New York City, Seattle, and Sydney. Seven of those associates join Mr. Jain and Mr. Carver as equity owners in GQG Partners, a number the firm intends to expand. “It has always been my vision that we would have broad ownership among our team. At the same time, I believe equity should be issued to colleagues whose commitment and talent help us build something distinctive in the market — people whose vision reaches beyond today, who are committed to building a truly enduring institution,” states Mr. Jain.

What is next for GQG Partners in crossing the three-year threshold? “We have laid a solid foundation and have built a great team. But we’re operating in a dynamic market. The change in the asset management landscape that we are experiencing today is greater than any time I can remember. I believe the commitment, intensity, quality and nimbleness of our team provides us a tremendous strategic advantage in this environment. We will continue to make investments in our people and will always strive to enhance the client experience at GQG. We are looking forward to what lies ahead for the firm, our employees and most importantly, our clients,” states Mr. Carver.

Emerging Markets Upstart Nears $15B Two Years After Opening Doors

GQG Partners CEO Tim Carver spoke to FundFire about GQG’s rapid asset growth since its founding, dedication to client alignment, early pursuit of consultants, and focus on building infrastructure to stay ahead of growth.

Copyright 2018, Money-Media Inc. All rights reserved. Redistributed with permission. Unauthorized copying or redistribution prohibited by law.

GQG Partners Raises Over US$5 Billion One Year After Its Launch

News from our partner GQG:

One year after its founding, GQG Partners LLC announces that it now oversees client assets in excess of US$5.3 billion, a display of remarkable growth.

GQG Chairman and Chief Investment Officer Rajiv Jain’s passion for equity investing led him to establish the firm in June 2016. Strong client alignment is one of the principles on which the firm was founded.

“Managing another person’s wealth is a privilege and an honor. We fundamentally believe that the best way to ensure long-term client focus is to invest our own capital in the same strategies, right beside our clients’ assets,” said Mr. Jain, who has invested a large majority of his personal net worth into GQG Partners’ strategies. “We also invested meaningfully into the business right from the beginning to build a world-class institutional platform and assemble a team of senior experts, with a diversity of thoughts and experiences.”

More than 100 institutional clients across the globe have already invested in GQG Partners’ strategies. There has been a strong response from people who have followed Mr. Jain’s hands-on approach for years, many of them have never previously invested with him before.

An Experienced Portfolio Manager at the Helm

GQG’s exceptional growth is a testament to the track record of Mr. Jain, who is extremely well-versed in the inherent volatility of emerging markets, over the past two decades. His in-depth understanding of emerging markets is rooted in the unique approach that he and his diverse team of analysts apply to investment selection.

“We create a portfolio of companies that we believe have long-term growth prospects which aren’t strongly correlated to macroeconomic conditions,” explained Mr. Jain. “Our approach is rooted in adaptability and independent thought, allowing us to navigate inflection points over the long term.”

GQG teamed up with Goldman Sachs Asset Management to launch the Goldman Sachs GQG Partners International Opportunities Fund (GSIHX) in December 2016. The Fund’s strategy involves investing in a concentrated group of high-quality companies across developed and emerging markets. The Fund, which is sub-advised by GQG and distributed by Goldman Sachs, seeks to outperform comparable international funds over a full market cycle while taking less risk. Additional information about the Fund can be found at:

https://www.gsam.com/content/gsam/us/en/individual/products/fund-finder/gs-gqgpartners-international-opportunities-fund.html.

At the same time, GQG Partners launched its own GQG Partners Emerging Markets Equity Fund (GQGIX), which seeks long-term capital appreciation in the emerging markets. More information about the Fund is available at:

https://gqgpartners.com/products/us-mutual-funds/.

In Europe, GQG Partners launched the GQG Partners Emerging Markets Equity Fund (GGQEMAU:ID), a sub-fund of GQG Global UCITS ICAV, an Irish UCITS structure, in February 2017. The European Fund seeks to deliver attractive, benchmark-agnostic returns over the course of a full market cycle by investing in high-quality, large-cap companies in emerging markets.

The UCITS Fund has crossed the US$100 million AUM threshold and is quickly approaching US$150 million as of this writing, creating high expectations for future growth in Europe. More information about the Fund is available at:

https://gqgpartners.com/products/ucits-funds/.

Mr. Jain joined GQG Partners in June 2016 after having worked for Vontobel Asset Management since November 1994. Under Mr. Jain’s investment leadership, Vontobel Asset Management grew from less than US$400 million in assets under management in 2002 to nearly US$50 billion in assets under management in 2016. Mr. Jain served as Co-Chief Executive Officer of Vontobel beginning in July 2014, and Chief Investment Officer and Head of Equities since February 2002. Mr. Jain was the sole Portfolio Manager of Vontobel’s International Equities and Emerging Markets Equities products since 2002 and 1997, respectively, and served as lead Portfolio Manager of the Global Equities product beginning in 2002 until his departure in March 2016.

About GQG Partners

GQG Partners LLC is a boutique investment management firm focused on global and emerging markets equities. We rely on a team of traditional and non-traditional analysts—who possess backgrounds in fields such as investigative journalism and forensic accounting—to challenge the short-term projections and backward-looking dogma that often dominate market discourse.

Headquartered in Fort Lauderdale, Florida USA, we strive for excellence at all levels of our organization through a commitment to in-depth knowledge of the markets as well as independent thinking, continual growth, and giving back to investors and our community. For more information, please visit www.gqgpartners.com.