About Fulcra Asset Management Inc.
Fulcra Asset Management is an independent investment management firm with credit investing expertise in North American companies. Based in Vancouver, Canada, Fulcra was founded by Matt Shandro in 2009. Fulcra is dedicated to preserving capital and generating consistent absolute returns for its clients.
- Risk Control: Fluctuating between above-average returns in good times and below-average returns in bad times is not, in Fulcra’s view, a strategy for long-term success. To achieve superior performance, it is critically important to prevent losses and to outperform in bad times. To control risk in investment portfolios, Fulcra employs fundamental value and diligent research principles to find attractive investment opportunities, preferring debt and senior securities within a company capital structure.
- Fundamental Value: Fulcra employs a fundamental value investing approach to identify under-priced corporate securities. By understanding a company’s business drivers and asset values, Fulcra can capitalize on the inherent market volatility in that company’s securities. Fulcra generally prefers debt and senior securities because of their priority claims, credit protections and attractive valuation multiples. But Fulcra’s capital structure lens also allows Fulcra to find attractive opportunities that may arise in the junior and equity securities of companies that Fulcra follows.
- Research: In Fulcra’s opinion, many fixed income investors place too much reliance on credit rating agencies, which can drive the inefficient pricing of corporate bonds and loans. Fulcra is agnostic to credit ratings and rely instead on skill and hard work to create the incremental knowledge advantage required to drive long-term superior performance. Fulcra devotes much of its thinking to misunderstood investment situations, to find under-appreciated and high-yielding securities.