D/B/A Compass Diversified Holdings Shares of Beneficial Interest (CODI)

Frequently Asked Questions About D/B/A Compass Diversified Holdings Shares of Beneficial Interest (CODI)

How can I purchase shares of Compass Diversified Holdings?

Shares of Compass Diversified Holdings can be purchased through brokerage accounts on the New York Stock Exchange under the ticker symbol CODI. Interested investors should consult with their financial advisors or brokers to determine the best approach for buying shares, and they should consider their investment portfolio and objectives before making a purchase.

How do economic conditions affect Compass Diversified Holdings?

Economic conditions can significantly impact Compass Diversified Holdings, as fluctuations in the economy may affect the performance of the underlying portfolio companies. During economic downturns, for example, consumer spending may decrease, impacting cash flows. Conversely, favorable economic conditions can enhance growth prospects and profitability. CODI’s diversified portfolio helps mitigate risks associated with specific sectors.

How does Compass Diversified Holdings compare to traditional private equity?

Compass Diversified Holdings operates similarly to traditional private equity firms but does so through a publicly traded structure. This allows investors to access private equity-style investments while maintaining liquidity. Unlike conventional private equity, which often requires long lock-up periods, CODI offers daily liquidity, making it easier for investors to enter and exit their positions.

How does Compass Diversified Holdings generate revenue?

Compass Diversified Holdings generates revenue primarily through its investments in operating companies within its portfolio. These companies produce cash flows that contribute to CODI’s overall revenue. Additionally, CODI may earn management and performance fees from its subsidiaries, benefiting as those businesses grow and succeed.

How does Compass Diversified Holdings select its investments?

Compass Diversified Holdings employs a disciplined investment process to select its acquisitions, including extensive market research and due diligence. The company looks for businesses with strong management teams, established market positions, and potential for operational improvements. The investment committee assesses potential deals based on financial metrics, market trends, and strategic fit within the existing portfolio.

What are the risks associated with investing in Compass Diversified Holdings?

Investing in Compass Diversified Holdings carries some risks inherent to lower middle-market investments, including market volatility, economic downturns, and industry-specific challenges. Additionally, since CODI is dependent on the performance of its portfolio companies, any operational issues or failures in these businesses could impact cash flow and dividends. Potential investors should carefully assess these risks in relation to their investment goals.

What does Compass Diversified Holdings do?

Compass Diversified Holdings (CODI) is a publicly traded investment firm that specializes in acquiring and managing a diverse portfolio of lower middle-market businesses. The company focuses on companies with strong cash flows and growth potential in a variety of sectors, including consumer products, industrial goods, and healthcare. CODI employs a hands-on management approach, partnering with the management teams of its acquisitions to drive growth and improve operational efficiency.

What has been the historical performance of Compass Diversified Holdings?

Historically, Compass Diversified Holdings has delivered competitive investment returns through its unique portfolio of businesses. The company's ability to generate consistent cash flow has allowed it to provide reliable dividends to shareholders while also pursuing growth opportunities. Investors interested in historical performance metrics should review CODI's financial statements and investor presentations for detailed insights.

What is Compass Diversified Holdings' approach to ESG (Environmental, Social, Governance) factors?

Compass Diversified Holdings is committed to incorporating ESG (Environmental, Social, Governance) factors into its investment process. This includes evaluating the sustainability practices of potential acquisition targets and promoting responsible business practices within its portfolio companies. By focusing on ESG considerations, CODI aims to enhance long-term value creation while aligning with investor expectations around corporate responsibility.

What is the dividend policy of Compass Diversified Holdings?

Compass Diversified Holdings has a history of paying dividends to its shareholders, which is a key aspect of its investment strategy. The company aims to provide consistent and sustainable distributions to its investors, reflecting the cash flow generated from its portfolio. CODI typically pays its dividends quarterly, making it attractive to income-focused investors.

What is the significance of CODI's NYSE listing?

Being listed on the New York Stock Exchange (NYSE) under the ticker symbol CODI provides Compass Diversified Holdings with greater visibility and liquidity. This enhances its access to capital, allowing the company to raise funds for new acquisitions and provide investors with a transparent means to buy and sell shares. The NYSE listing also signifies a level of credibility and trust among investors.

What is the structure of Compass Diversified Holdings?

CODI operates as a publicly traded company and is structured as a holding company, which allows it to invest in various businesses while maintaining a diversified portfolio. It is organized as a statutory trust and is listed on the New York Stock Exchange under the ticker symbol CODI. As a holding company, CODI offers its investors access to a diverse array of investments across multiple industries with the potential for attractive returns.

What kind of growth strategies does Compass Diversified Holdings employ?

Compass Diversified Holdings employs various growth strategies, including operational improvements in its portfolio companies, strategic acquisitions to enhance market presence, and investments in innovative product development. By working closely with management teams, CODI aims to unlock value and drive sustainable growth, leveraging its expertise in the sectors in which it invests.

What kind of reporting does Compass Diversified Holdings provide to investors?

Compass Diversified Holdings provides comprehensive reporting to its investors, including quarterly earnings reports, annual reports, and updates on portfolio performance. This transparency allows investors to assess the company's financial health and operational effectiveness. Additionally, CODI hosts conference calls and investor presentations to engage with stakeholders and provide insights into its strategies and initiatives.

What types of companies does Compass Diversified Holdings invest in?

CODI invests primarily in lower middle-market companies with strong fundamentals across various sectors, including consumer products, industrials, and healthcare. By focusing on niche markets and businesses that demonstrate growth potential, CODI is able to uncover investment opportunities that may be overlooked by larger investment firms.

When was Compass Diversified Holdings founded?

Compass Diversified Holdings was founded in 2006. Since its inception, the company has focused on acquiring companies that fit its investment criteria of strong cash flow, solid management teams, and growth potential. Over the years, CODI has expanded its portfolio through strategic acquisitions and has become a well-recognized player in the investment space.

Where is Compass Diversified Holdings headquartered?

Compass Diversified Holdings is headquartered in Westport, Connecticut. This location serves as the operational hub from which the company manages its portfolio of investments and works with its underlying businesses to drive performance and growth. The choice of Westport as a headquarters reflects the company's presence in a vibrant financial market.

Who are the key management team members at Compass Diversified Holdings?

The management team at Compass Diversified Holdings consists of experienced professionals with backgrounds in finance, private equity, and operational management. The team is led by Co-CEO’s Elias Sabo and David J. Reyes, along with a team of skilled executives who guide the company's investment activities and oversee its portfolio operations to ensure alignment with strategic objectives.

Who are the typical investors in Compass Diversified Holdings?

Investors in Compass Diversified Holdings typically include institutional investors, retail investors, and those looking for exposure to private equity-like investments through a public vehicle. The company's dividend policy and diversified portfolio appeal to income-oriented investors and those interested in capital appreciation from growth companies.

What is the current price of D/B/A Compass Diversified Holdings Shares of Beneficial Interest?

The current price of D/B/A Compass Diversified Holdings Shares of Beneficial Interest is 17.59

When was D/B/A Compass Diversified Holdings Shares of Beneficial Interest last traded?

The last trade of D/B/A Compass Diversified Holdings Shares of Beneficial Interest was at 7:00 pm EDT on April 3rd, 2025