Quality focus. Our investment strategy is predominantly driven by a desire to own high-quality assets. This includes resilient and highly profitable publicly listed businesses, as well as prime location residential real estate where we can add value through renovation or reconstruction.

Keep it simple. We believe that an overwhelming majority of investors would achieve superior results by keeping their investment approach as simple as possible, rather than engaging in complicated execution or exotic asset classes. A cornerstone of Tiho’s mandate is the uncompromising discipline to “make everything as simple as possible, but not simpler” (Albert Einstein).

Owner’s mindset. We aim to avoid the common investor tendency towards immediate gratification, or as economists term it, “hyperbolic discounting.” Tiho adopts a business owner’s mindset by prioritising long-term rewards over immediate gains. As “all the returns in life — whether in wealth, relationships, or knowledge — come from compound interest” (Naval Ravikant), we believe in the power of compounding.

Extreme patience. Decades of investment research provide indisputable evidence: clients who achieved the strongest returns are those who “either forgot their login password or happen to be deceased without the bank’s knowledge.” Holding quality assets with extreme patience is every investor’s main edge, as “time is the friend of the wonderful business, the enemy of the mediocre” (Warren Buffett).

Avoiding unnecessary mistakes. Our strategy is heavily influenced by subtractive thinking and mistake-proofing. While others focus on the next trendy investment, we prioritise identifying what to avoid and consider the second and third-order consequences of decisions. Meticulous due diligence and a thorough checklist process help prevent errors of omission, or as tennis calls them, unforced errors. Carl Jacobi advised, “Invert, always invert.”

Desire for objectivity. Many investors possess strong analytical skills, yet their performance is often subpar. This is frequently due to susceptibility to blind spots, mental shortcuts, inductive extrapolation, cognitive biases, and common fallacies. Cultivating a desire for objectivity helps to “fight classic foolishness and folly”, which should be an aspiration for every investor.

Margin of safety. Even the most accomplished investors make mistakes. It is just the nature of the field we participate in. Therefore, we demand an ample margin of safety for every investment. This approach significantly improves the odds of protecting principal and avoiding permanent capital loss, even if an investment does not perform as anticipated.

Opportunistic investing. We employ a flexible and globally focused mandate, investing in both public and private assets. Tiho consistently acts as an opportunistic investor, seeking anomalies that deliver positive expected value: high chances of success and attractive asymmetric payoffs. A good way of thinking about it is heads we have a meaningful win, tails we don’t lose much due to our margin of safety.

Alignment of interests. Tiho is a strong advocate of the “skin in the game” principle, directly opposing the principal-agent problem prevalent in the finance industry. He invests his own capital alongside clients in every opportunity, with his net worth committed to the same public companies and private real estate deals he advises clients.

Long-term relationships. Building enduring relationships begins with a foundation of trust. Tiho is committed to outright transparency, integrity, extremely low fees, and complete alignment of interests. Furthermore, significant time is dedicated each month to informing, educating, and mentoring clients in their decision-making process. Clear communication is integral to achieving financial goals.