What is portfolio benchmarking?
Benchmarking an investors portfolio is a really powerful way to gain insights into underlying portfolio company performance and overall strategy outcomes.
You no longer have to spend time gathering data or rewriting formulas to trial new ideas or add in new assets. Benchmarking enables you to create compare perform and develop complex analyses on the fly - and it takes seconds, rather than hours, to iterate on the criteria or change the companies of interest.
By heading over to the benchmarking section of a given Investor profile you can plot and query over 60+ quantitative and qualitative datapoints across their entire portfolio of businesses.
Benchmarking at its simplest is a bubble chart with the underlying data included a table below. We have included a number of pre-built charts we believe answer common investor questions, while giving you the tools to develop your own hypotheses. These bubble charts are the building blocks for you to answer key questions on growth, profitability, maturity across businesses, all while being able to segment by strategy and sector to be able to get deeper answers.
What charts are included, and how do you use them?
The default view includes a growth momentum chart, plotting 2-year and 6-month FTE growth for companies, grouped by strategy. By highlighting individual strategies you can quickly judge the direction of travel for companies across different strategies, while also being able to highlight outliers.
Other pre-built charts include insights into:
- Headcount growth vs investment hold period: judge time held and potential upcoming realisations
- Revenue growth vs profitability (EBITDA %): assess focus on growth vs focus on profit
- Mix of global sales vs frequency of M&A: assess the maturity and scale of the business
- CEO age vs CEO tenure in post: identify opportunities to support on succession
These are just a handful of the pre-built charts, all of which can be tailored or developed from scratch.
For each chart or criteria, the table below will include companies highlighted or greyed out depending on whether there are sufficient datapoints to plot this information. You can also toggle on “spotlighting” to hold focus on specific companies as you look across charts.
Finally, we also give you the power to tweak the benchmarking to beyond the investor - you can also include or exclude companies from a portfolio, or add in other companies from outside the portfolio you would like to compare to.
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