Bridgepoint dodges inflationary pressure with diverse portfolio
Bridgepoint says that investment portfolios are trading largely in line with expectations despite the current macro volatility.
The international alternative asset fund management group said equity portfolios comprise of mainly high margin, cash generative, growth companies, whilst portfolios have currency hedging covering some 78 per cent of non-Euro exposures.
The firm said that although portfolio companies have been impacted by rising energy costs, Bridgepoint portfolios, as a whole, “do not comprise businesses with high energy use and energy costs represent on average less than two per cent of portfolio company revenues”.
In its trading statement, it said portfolios have limited exposure to assets driven by discretionary spending.
Whilst exits across the market have been more challenging during the second half of the year, Bridgepoint said it remains on track to hit budgeted realisations for 2022 with two major exits signed in Q3 at valuations ahead of expectations.
Bridgepoint shares have rallied nearly 30 per cent in the last month.