Consistent high quality research and forensic accounting to sustain long-term client relationships.
Our client base includes some of the world’s largest and most respected asset managers, to whom we offer our unique and valuable analytical perspective. We work with traditional equity managers, hedge funds, private equity funds, and corporate development executives to help them better understand their investments or prospective investments through our independent viewpoint. Our team of experienced former auditors and equity research analysts employs a differentiated research process that routinely uncovers investment risks that traditional investment research and accounting services often overlook. Based in San Diego, Voyant Advisors has grown from an independent equity research firm into a full service consulting organization with clients all over the world. Since its formation in 2007, Voyant has supported clients through addressing an unmet need in their investment process, and we are now highly regarded for the quality of our work and the contributions we have made to some of the most successful investors.
We specialize in four core services:
Bespoke Projects & Reports
Investment risks that will surface tomorrow require an experienced team to identify them today.
Our bespoke project work is designed to take an investment idea of our client’s choice through the complete scope of our research process and expertise. We apply a rigorous analytical approach to dissect a subject company’s reporting history, financial statements, and disclosures and then triangulate our findings with fundamental and executive behavioral research to formulate a thesis. The results of this process are presented in a 15 to 30 page research report that details each key observation used to formulate our thesis. Most investment teams don’t have a group of accountants on staff, particularly a team of former auditors with extensive financial markets experience. While several members of our team started their careers in public accounting as auditors or tax professionals, our team combines these abilities with our primary roles as equity research analysts. “Accountants” are typically backward-looking by nature, but our process uses historical information as an input to provide a forward-looking investment view. A comprehensive examination of the subject company’s financial statements and disclosures is presented to clients in an easy-to-understand format. We discuss every report with our clients, and the analyst team is available for all follow-up questions.
Portfolio Monitoring
Strengthening returns by avoiding losses.
Our portfolio monitoring service provides asset managers with early identification of high-risk situations in their portfolios. We believe that heeding these red flags and repositioning a portfolio accordingly is a critical tool for preserving a client’s track record and avoiding client defections. By running portfolio holdings through our proprietary models, we are able to identify early signs of unsustainable earnings. We assign a risk level to each portfolio holding, with those companies identified as moderate to high risk being subjected to more thorough review by our analyst team. These findings are presented and explained in a timely report. Even the most diligent investment process has gaps. These shortcomings allow us to provide value to portfolio managers. By offering additional risk oversight through the lens of an independent team that specializes in playing devil’s advocate, we can help monitor positions and alert clients ahead of a detrimental earnings surprise. This service is best performed on a quarterly basis.
Accounting Expertise
Modeling a company’s financials can be a complex process, particularly if unfamiliar accounting situations arise. Our clients often encounter acquisitions, internal control deficiencies, or tax issues that are not fully understood. When seasoned investors harbor suspicions that a given management is engaging in complex accounting gimmickry, they may find themselves uncertain as to the proper analytical approach to such concerns. Our team’s experience with these situations is leveraged to help clients sort through “the noise.” Having access to a team of accounting-focused equity research analysts saves time and avoids frustration during the research process. Upon request, we will examine the situation, provide a thorough review, and schedule a conference call to explain our analysis and the relevant accounting rules. Clients often request that we assess situations such as the nature of a delayed filing with the SEC , timing of pending restatements, and the potential earnings impact of a restatement. This service also focuses on areas such as internal controls, information systems, audit committee quality, and management’s financial expertise. Our comprehensive research framework provides clients with a thorough assessment of all accounting related questions.
Management Meeting Preparation
The ability of corporate management teams to draw attention away from deteriorating situations or espouse a positive viewpoint on an area of significant concern can make management meetings frustrating and unproductive. Therefore, preparation for these engagements is vital in understanding a business as a potential or existing investment. We help clients prepare to ask the difficult questions about the financial statements or nuances we find within disclosures. An effective line of questioning will steer management toward the core of a client’s concerns, allowing an understanding of key issues before they affect an investment. We have years of experience navigating the prepackaged answers management often provides to pointed questions. Our analysts provide feedback on management’s responses and assist in crafting effective follow-up questions. Many sell-side analysts simply accept management’s remarks and fail to ask the difficult questions. This common practice diminishes the value of conventional investment research, particularly for investors who rely on these analysts to accurately forecast future results and to provide a comprehensive independent investment viewpoint. We specialize in formulating constructive lines of questioning that probe areas of a business that traditional sell-side analysts ignore. This service helps clients get to the root of issues that could have a major impact on their investments.
