The curated database of hedge funds that publish investor letters. Research by geography, strategy, and schools of thought.
| # | Fund | Strategy | Style | Geography | AUM | Latest Letter |
|---|---|---|---|---|---|---|
Donville Kent focuses on bottom-up, fundamentally driven investing in small-cap companies that compound capital at high rates of return. The fund's top 10 investments are growing revenues 49% and earnings 52% in 2026 while trading at just 8.7x P/E, compared to major indices trading at 16-26x multiples with significantly lower growth rates. This creates substantial margin of safety and diversification for investors overexposed to expensive large-cap momentum stocks. The managers emphasize that over 100 years, stocks and earnings have shown 0.98 correlation, both growing approximately 6% annually, and while markets can trade on sentiment short-term, earnings growth drives long-term returns. Small-cap stocks currently show the greatest negative valuation spread versus large caps in history, with past extremes consistently followed by strong reversals. Portfolio companies continue executing with record results, including VitalHub growing earnings 35%, Enterprise up 64%, Zedcor up 51%, and MDA Space up 68%. The fund sees a Canadian LNG Supercycle emerging with natural gas prices up 30% and multiple pipeline projects in development. Recent validation came from SSC Security's acquisition at 118% premium, demonstrating that underlying business value eventually gets recognized even when stock prices lag fundamentals.
The fund invests in fundamentally strong small-cap companies with high earnings growth trading at significant valuation discounts, believing that while markets can chase momentum themes short-term, stock prices ultimately follow earnings growth with 0.98 correlation over time.
The fund expects their investments to deliver returns in line with underlying earnings growth over time, emphasizing that the 0.98 correlation between stocks and earnings over 100 years will reassert itself. They anticipate continued strong execution from portfolio companies with each recording record revenue and earnings in 2025 and on pace for new records in 2026. The managers believe the extreme valuation disconnect between their high-growth small-cap holdings and expensive large-cap momentum stocks will eventually correct, similar to past cycles.
As of Jul 10, 2026
DKAM is a Toronto-based boutique asset management firm established in 2008, specializing in North American small-cap growth investing. Led by award-winning analyst Jason Donville and experienced portfolio manager Jesse Gamble, the firm manages approximately $76 million CAD through a concentrated, high-conviction approach. The team maintains significant personal investments alongside clients and conducts all research in-house, maintaining detailed financial models on all top positions. Since inception, the firm has delivered strong long-term performance while beating the market in 13 of the last 19 years.
Lead Portfolio Manager
Jason Donville and Jesse Gamble
Managing Partner
High Conviction Bullish
Market Conviction
The fund demonstrates high conviction through concentrated positioning in 7-8 named holdings with detailed fundamental analysis and specific financial projections for each. They provide explicit price targets (Blue Ant at $20 vs $5.47 current), detailed valuation work (Zedcor at 8.8x 2027 EBITDA), and multi-year earnings forecasts. The managers articulate clear investment theses per holding, discuss recent management meetings, and attended Zedcor's investor day. They explicitly state they are 'bottom-up, fundamentally driven investors' who 'don't bet on ideas or try to time the market,' demonstrating philosophical conviction. The letter includes granular operational details (Zedcor's 26 hub target, MDA's 400 satellite capacity, specific margin progression) that indicate deep research. However, the portfolio appears to have 10+ positions based on the 'top 10' reference, preventing a score above 0.85.
Growth Outlook
Market outlook remains low conviction: DKAM operates a concentrated small cap Canadian portfolio with 10% cash following strategic exits from GoEasy and Constellation Software. Holdings like Zedcor, Blue Ant, and VitalH...
Risk Appetite
Risk appetite posture is very low conviction: DKAM operates a concentrated small cap Canadian portfolio with 10% cash following strategic exits from GoEasy and Constellation Software. Holdings like Zedcor, Blue Ant, and VitalH...
Capital Deployment
There is no explicit discussion of the fund's cash level changes or net deployment activity during the quarter. The letter focuses on portfolio company operations and earnings rather than fund-level buying or selling. The only deployment mentioned is at the portfolio company level (VitalHub planning acquisitions, companies reinvesting in growth capex). The SSC Security position was sold via acquisition at 118% premium, but there's no indication where those proceeds were redeployed. The managers emphasize they 'don't try to time the market' and focus on long-term compounding, suggesting stable positioning. Without evidence of cash level changes or net additions to positions, this scores as essentially neutral with a slight positive bias given the constructive tone and full investment in existing holdings.
Forward Guidance
Forward guidance signal: DKAM operates a concentrated small cap Canadian portfolio with 10% cash following strategic exits from GoEasy and Constellation Software. Holdings like Zedcor, Blue Ant, and VitalH...
Language Signal
The letter uses consistently positive language around portfolio companies (record earnings, strong execution, attractive valuations, great opportunities, significant upside) and frames the small-cap discount as a compelling opportunity. However, it also acknowledges risks around AI disruption to software companies, stretched momentum stock valuations, and the reality that their holdings have been ignored by the market. The balance tilts positive with phrases like 'great growth to value trade-off,' 'margin of safety,' and 'only a matter of time before earnings are given respect,' but it's not overwhelmingly bullish in tone—more confident and patient than euphoric.
Perceived Risk
Perceived risk level is evaluated as moderate conviction. DKAM operates a concentrated small cap Canadian portfolio with 10% cash following strategic exits from GoEasy and Constellation Software. Holdings like Zedcor, Blue Ant, and VitalH...
Opportunity Density
The managers see abundant opportunities in their small-cap focus area, describing historic valuation dislocations and citing multiple portfolio companies with significant upside (Blue Ant 3-4x upside to target, strong growth across all holdings). They frame the current environment as creating 'offsetting discounts in other sectors' due to capital chasing AI, explicitly stating there are 'great companies doing well fundamentally that just aren't part of the hot trend.' The detailed discussion of 7-8 specific investments with compelling valuations, plus references to companies having full pipelines and growth opportunities, indicates a rich opportunity set within their defined universe. However, they also note some areas like AI software are becoming challenging, preventing a score above 0.80.
Time Horizon
The fund emphasizes long-term compounding and explicitly references 100-year correlations between stocks and earnings. They state 'we don't bet on ideas or try to time where the market is shifting to next' and focus on 'companies that can compound their capital at high rates of return for a long time.' The managers discuss multi-year growth trajectories (Zedcor's path to 26 then 42 hubs, MDA's $40B five-year pipeline, Blue Ant waiting for 'clean' quarters to demonstrate earnings power). However, they also reference near-term catalysts like quarterly earnings reports, specific Q3/Q4 seasonality, and upcoming investor events (Blue Ant Q3 earnings July 15th), indicating some attention to 12-24 month milestones. The balance suggests a 3-5 year investment horizon with patience for thesis realization but not permanent capital structure, scoring in the 0.70-0.80 range.
Top Conviction Themes
Key Catalysts
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