Not all that glitters is gold (in the markets)
A few weeks ago, we met with the manager of an International Small Cap Value Fund who highlighted a Japanese company that digitalizes accounting documents for small and medium-sized enterprises in Japan. After seeing his thorough due diligence – visiting the company, meeting its management team, and running multiple valuation analyses – a natural question remained: is he seeing something we are not, and does all this effort truly make it a good investment, given that portfolios cannot be built on good intentions alone?
