Case | HBS Case Collection | September 2010 (Revised May 2012)

Windward Investment Management

by Luis M. Viceira and Ricardo Alberto De Armas

Abstract

Windward Investment Management has experienced rapid growth in assets under management in just ten years, from under $30 million at year-end 1999 to $3.6 billion in 2010. Windward is one of the leading firms in the Registered Investment Advisor (RIA) industry that seeks value for its investors through asset diversification and active macro-level investing. The firm implements its proprietary investment model by trading exclusively exchange-traded funds (ETF). Windward is considering a range of future growth opportunities and how to finance those opportunities, including raising external capital. The case focuses on the decision of what opportunities Windward should consider and on the valuation of the firm if it decides to raise external capital.

Keywords: Asset Management; Valuation; Investment; Growth and Development Strategy; Financial Services Industry;

Citation:

Viceira, Luis M., and Ricardo Alberto De Armas. "Windward Investment Management." Harvard Business School Case 211-005, September 2010. (Revised May 2012.)