Cross Portfolio Sampling Frequency is the number of datapoints per period of time that a portfolio owner receives about the companies in its portfolio: 📝Sampling Frequency applied across an investment portfolio.
Shown in the diagram above are numbers 2 and 4 below.
- Public Company Cross Portfolio Sampling Frequency is "Quarterly with a handful of metrics." Public companies put out quarterly reports with very limited financial and operational information. Any models built from this limited information will be, obviously, limited.
- Venture Capital Cross Portfolio Sampling Frequency is "Four questions once per quarter." Even large investors can only consume so much information about a company in the portfolio. An investment fund would have the rights to receive monthly financial statements and, if a large enough investor, have observer rights to the board or be on the board.
- Private Equity Cross Portfolio Sampling Frequency is "We control the board and we are going to install our people to run this company for us."
- Niche provider of asset-backed loans is "Every transaction every day."
Our key insight is that all the data is available all the time. What's strange to us is that even the largest and most involved investors still rely on information provided to them by the company. As part of our diligence, we connect to all your apps and build an 📝Integrated Financial Model (IFM). We use this to benchmark the entire category, sector by sector. It's 📝How We Started Assembled Brands, and it's what we are doing to help 📝Crowdbotics invest in its customers.