22 May Interview with Miguel Ángel Temprano in the Capital magazine
Miguel Ángel Temprano (Orfeo Capital): “Your success is our success”
Miguel Ángel Temprano is the CEO and Investment Manager of Orfeo Capital, an investment firm that he has endowed with his own personality as an investor, managing the wealth of his clients in a responsible way. Its main objective: to preserve wealth.
When is Orfeo Capital created, by who and who are its current owners?
We were born as a family office some years ago, as a result of the sale of one of the big companies of the new economy that took place in Spain. So I can say that I have been doing assets management for a long long time. Thus, our team, formed by professional experts, has extensive experience both, nationally and internationally and both, in the world of stock market investment management and in business management. At that time when we decided to set up Orfeo Capital, we formed a Financial Advisory Company (or EAFI in Spanish), and later became an investment firm
What is the total value of the managed capital at the moment and what have been the last business decisions taken?
In this sense, this firm already has a net worth of around 50 million euros that currently are mostly invested in the US, although it is shared equally between Europe and the North American country. In recent years, the equity company of Orfeo XXI business group has actively participated in the management of three investment vehicles acting as advisors: Universium Capital Sicav, Talentia Inversiones Integrales Sicav and Camera Capital Sicav. These vehicles are characterized by an investment style that is aimed at achieving absolute returns and preserving the value of the investments that is being managed. After becoming an Investment Firm in its own right, the goal is to transfer these SICAVs to their umbrella and then transform them into traditional investment funds. According to the latest data available from the Spanish CNMV, at the end of December 2018, the equity of these vehicles is around 75 million euros.
How is your way of managing your clients’ investments?
Here is something that fundamentally distinguishes us from other investment firms. We invest our own capital in the same assets and markets as our clients. Our maxim is to preserve the wealth, and then try to get returns. But of course, our customers do not take that journey alone. We accompany them by also risking our money. That is why we can say, as our company motto reads: “Your success is ours success”.
And how do they do it?
Specifically, we do so by reducing the risks that we have come to call “critical” when opting to invest in a certain value, like for instance if it has a very high territorial concentration or high indebtedness. Also, we always invest in securities that meet five requirements, which are: that the company operates in regulated markets or with high entry barriers for competitors, that the company also moves in a sector with high exit barriers for customers, that its products are highly replicable and scalable in different markets, and finally that the company has enough diversification to ensure that its investment potential is met.