Beechwood Value Capital, LLC is a registered investment advisor located in Salt Lake City, Utah, founded and managed by Sean Smith. The firm's primary activity is serving as the investment manager for Beechwood Value Capital Fund, LP, a private investment partnership. Beechwood Value Capital employs a concentrated, long-term investment strategy focused primarily on undervalued small and medium-capitalization public equities globally, utilizing fundamental analysis to identify opportunities. Additionally, Beechwood Value Capital may hedge public securities positions using derivatives such as options. The firm does not manage individual separate accounts or provide traditional personal financial planning; its services are provided exclusively through the partnership structure to qualified, accredited investors.
Fee Structure
Beechwood Value Capital does not charge a traditional management fee based on the value of your portfolio. Instead, the firm charges a performance-based fee equal to 20% of the net profits earned on your investment, subject to specific conditions:
- Hurdle Rate — Profits are only subject to the performance fee if your account exceeds a 6% cumulative annual return.
- High Water Mark — Previous losses must be fully recovered before any performance fees can be charged.
- Holding Period — Performance fees accrue annually, but no performance fee is paid until you have been an investor in the partnership for at least one year.