Investment Process
A Steady Hand in a Volatile Market.
Iguana Investments executes a systematic investment process that combines traditional fundamental modelling with proprietary quantitative analytics. The firm’s core strategy seeks uncorrelated, risk-adjusted returns from listed equities, applying an opportunity set defined by liquidity and transformation potential.
Systematic, disciplined, transformation‑oriented
Our Investment Approach
Universe Filtering
A universe of approximately 4,000 developed-market securities, rigorously screened for rational price behaviour and transformative potential
Five Test Framework
The investment decision framework incorporates five principal tests: management quality, business economics, balance sheet strength, ESG trajectory, and valuation.
Portfolio Construction
Portfolio construction is built around concentrated long exposures (25–35 positions) and diversified short exposures (50–70 positions) with geographical focus on the UK, North America, and Europe.
Risk Management
Risk is managed by strict position sizing, stop-loss policies, and continuous risk monitoring at both portfolio and security level.
Investment Process
Classic Fundamental Analysis
- Traditional Fundamental Analysis including detailed and rigorous modelling of financial statements
- Bespoke internal models
Quantitative Analysis
- A proprietary quantitative analysis tool known as Single Stock Factor Analysis (SSFA).
- The goal of SSFA is to identify stocks with the potential to outperform and to improve the process of optimizing returns.
- SSFA comprises around 20% of our investment process and complements the traditional fundamental investment appraisal.
Iguana Investments Ltd is authorised and regulated by the Financial Conduct Authority ("FCA") in the United Kingdom. The content of this website is for information only and is not intended to be independent investment research. It is not an invitation to buy or sell an investment and is not advice on investments, taxation or on any other matter. The investment services of Iguana Investments Ltd are only available to professional clients and eligible counterparties for the purposes of the FCA’s rules. They are not available to retail clients. This information is not intended to be used by or distributed to any person or entity in a jurisdiction or country where this would be contrary to local law or regulation.
We believe the information on this website is based on reliable sources, but its accuracy and completeness of any information contained herein cannot be guaranteed and such information should not be relied upon. The opinions expressed represent our views at the time of publication and are subject to change. Any pricing is indicative and does not, and is not intended to, constitute either an offer to buy or sell nor a representation that a purchase or sale can be effected at that price. Iguana Investments Ltd will not be liable for any losses relating to the accuracy, completeness or use of information in this website, including any consequential loss. Past performance does not predict future results and the capital value of investments and the income generated can fluctuate. Where investments are exposed to currencies other than the base currency, they may be subject to foreign exchange rate fluctuations.
This website is offered to you conditioned on your acceptance without modification of the terms and conditions contained herein.