Truffle Asset Management was founded in 2008 when Louis van der Merwe, and I realised a vision to establish an independent and focused South African asset manager. Over 17 years we have expanded the team and successfully grown Truffle’s capabilities, client base, and assets under management. While many lessons have been learned in evolving the business, there are some key aspects that have that have shaped Truffle’s growth and success.
Balancing change with consistency
As Truffle has transitioned into a “larger” boutique asset manager, the team has embraced the journey of “growing up” with patience and deliberate focus. This evolution has required careful preparation for the business’s next phase while staying true to the culture and processes that have driven its success from the start. As Truffle has grown, our core purpose and philosophy remain steadfast. However, the business recognises the importance of continuously enhancing our capabilities to deliver the same exceptional purpose to an expanding client base. As the business has scaled, it has become increasingly important to build complementary expertise and strengthen our systems and infrastructure to offer both excellent client service and outstanding investment outcomes.
One of Truffle’s key strengths lies in our ability to maintain an open and dynamic culture, allowing for agility that directly benefits our clients. In smaller environments, team members naturally communicate more frequently and informally and have the agility to implement investment decisions as opportunities arise. Truffle has harnessed this advantage and ensured that, even as the team grows in diversity of skill, knowledge, and experience, the culture of debate and idea-sharing thrives. Cross-pollination of ideas remains central to our approach, and we work closely to agree investment decisions, cross-referencing or checking each other’s views as the market shifts. Our commitment to flat structures and avoiding the inefficiencies of “Death by Committee” ensures that clients benefit from the agility of a boutique manager while gaining confidence in decisions that are thoroughly researched, analysed, and honestly debated. In this way, Truffle continues to deliver on its promise of excellence, growing purposefully while safeguarding the core values that have always defined the business.
Experience and ownership
The experience of the team and the fact that the business is owner-managed have undoubtedly played a pivotal role in fostering growth while preserving agility. As our tagline suggests – we believe experience has a high value. However, we recognise the importance of balancing this deep expertise with fresh thinking and innovative approaches to ensure we are constantly developing our people and evolving as a team.
A cornerstone of Truffle’s philosophy is managing downside risk, and this requires a collective willingness to ask the tough but vital question: “Where could we be wrong?” The emphasis on “we” is intentional. One of the key lessons learned as portfolio managers is the need to avoid an overly defensive or ego-centric approach. While maintaining conviction around investment decisions is critical, it’s equally important to distinguish conviction from ego, especially when faced with fundamental changes that challenge the rationale for holding a position. A collaborative and self-reflective mindset is embedded in Truffle’s culture meaning experienced managers work hand-in-hand with younger analysts. By blending seasoned insight with fresh perspectives, the team ensures that every investment decision is tested thoroughly and grounded in what is truly best for clients.
As we’ve grown, we have intentionally strengthened our capabilities and broadened our experience, while retaining what is unique to Truffle. What’s critical as we grow is that a commitment to our purpose of ensuring clients achieve their investment outcomes remains unwavering.
