- Great to see you again. - Nice to see you. Good to be back. - Yeah, thank you.
- So we are a multi -family office that is benefiting from the very dynamic that
Jonathan just mentioned, which is there are many, many boomers retiring, selling their
businesses. And so we specialize in tax planning, exit planning, and then alternative
investing when it comes time to redeploy that capital that they've spent so many
years building and growing. So we are a multifamily office and we have a number of
strategies that we're We our families find compelling that we can dive into at the
appropriate time But always great to be here in this crowd Great. Where do you see
from an alternative asset standpoint? Basic allocation growing in in family offices
obviously like what is that in your experience? What's that look like? Yeah, I mean
at the highest level there's definitely a shift a shift away from exclusively
investing in public markets, there's more and more alts, right? And when it comes to
alts and alternative investing, we're really big fans of what we're seeing right now
in sort of the revenue generating lower middle market of private equity. So that can
be loosely defined by a lot of different people. It might be companies between five
to 50 million of EBITDA. And what's So attractive about those properties, pardon me,
not the properties, but those companies is their valuations. So you look at the
public market valuations, which are depending on NASDAQ or what subset of tech
companies you're looking at, 30, 40 times earnings, well, companies in these lower
middle market segments are transacting at five to seven times EBITDA many times. And
so you can buy a strong 20 -year track record company that's kicking That's kicking
off 15 to 20 % of cash flow and oh by the way has a growth component because that
baby We're gonna got really you know you got tired to grow in 10 years ago, right?
He's sitting on that for four million five million EBITDA and he's like I don't
need to open a new market up So so investing in companies that are coming and then
taking those companies getting a leg of growth Getting good cash flow along the way
or funding growth with cash flow is really compelling to us So we built a strategy
around that. That's great. How do you source your deals? I mean, you know, that's a
great mate. that's a very large market, right? - It is, it is, we're focused on
partnerships. So we're partnering with specialists. We know our lane, our lane is to
deploy capital, preserve capital for our clients. So we're gonna partner with
specialists who that's all that they do. So as an example, and so our goal is to
get diversification in that space, right? We don't wanna just pick ACT company or
ACT strategy. We want multiple strategies and multiple companies. So, two examples of
holdings that we have. We have like a defense industry bio group that we partnered
with. That group has a 30 year track record of delivering 42 % net IRRs and 2 .9
MOICs, right? So like, if we're partnering with them and all they've done is
defense, that's where we want to be. And then we have eight cybersecurity
specialists. That's all they do is cyber. We have an AI specialist. That's all
You know if someone puts one dollar you know our minimums and a million for that
specific strategy if they put a million dollars with us They're gonna get access to
a portfolio that would have otherwise cost them 50 million dollars of their own to
leg into right? So it's an access vehicle and and that's how we look at it. That's
great. Thanks