Investment Strategies for Long-Term Growth From the Caledonia Fund

Long/Short Equity Strategy

Caledonia’s global long/short equity strategy, launched in 2012, builds on over two decades of experience in long-only investing. This flagship strategy is driven by deep fundamental research, disciplined valuation analysis, and a long-term investment perspective.

On the long side, we take concentrated positions in high-quality companies with strong competitive advantages and sustainable earnings growth, where we believe the market is undervaluing long-term potential. On the short side, we identify overvalued companies facing structural challenges, weakening fundamentals, or declining business models.

By combining long and short positions, our strategy aims to deliver risk-adjusted returns across market cycles, while maintaining a focus on capital preservation and alpha generation.

Long-Only Equity Strategy

Reintroduced in 2025, Caledonia’s long-only equity strategy reflects our core philosophy of long-term, high-conviction investing in quality businesses. Built on the same rigorous research framework as our flagship fund, this strategy focuses exclusively on the long side.

We construct a concentrated portfolio of high-quality equities, targeting companies with durable competitive advantages, strong management teams, and consistent long-term earnings growth. Our approach emphasizes businesses with resilient models and the ability to compound value over time.

We invest with a long-term horizon, selecting companies we believe can be held for years—even in periods of market volatility—making this strategy ideal for investors seeking sustainable growth and long-term capital appreciation.

Co-Investment Opportunities

Launched in 2018, Caledonia’s co-investment strategy provides investors with the opportunity to increase exposure to our highest-conviction investment ideas.

These co-investments are selected using the same fundamental research, valuation discipline, and long-term investment approach that underpin our long/short and long-only strategies. By offering access to select opportunities, we enable investors to participate more directly in our most compelling ideas.

We invest alongside our partners in every opportunity, ensuring strong alignment of interests, transparency, and disciplined execution. This structure is designed to provide efficient access to high-quality investments while maintaining a clear and straightforward investment framework.