Our Philosophy
Cedar Grove Capital Management, LLC is a Metro-Detroit, Michigan-based hedge fund.
The mandate for the fund is to identify both long and short-term asymmetric opportunities in undervalued and underfollowed securities to drive superior, risk-adjusted returns. Our management strategy allows for a multi-strategy approach that generates uncorrelated returns by utilizing our expertise in special situations and smaller-cap companies.
Because we don’t focus on just one strategy, we can remain flexible in our mandate while still delivering alpha as opportunities present themselves.
We believe that our emphasis on high-quality investments will lead to high outperformance, which is why we hold between 5 – 15 of our best ideas and ignore short-term volatility.
With our ability to invest in various special situations and to actively take short positions, we can reduce overall portfolio beta by allocating asymmetric capital to these strategies.
We’re not afraid to take bold, but favorable, risk-adjusted investments we believe will deliver outsized returns. If you’re interested in learning more, don’t hesitate to reach out.
Our Management
Paul Cerro
Founder and Chief Investment Officer
Paul Cerro is the managing and founding member of Cedar Grove Capital Management, LLC, and is currently responsible for all operations of the Fund, including investment decision-making. Paul earned his Bachelor of Business Administration from Baruch College with a major in finance and investments.
He began his career in investment banking at Bank of America Merrill Lynch in New York City, where he focused on the consumer goods and retail sectors. Afterward, he pivoted to working at early-stage tech startups, where over the last 6+ years, he’s held various positions in strategy and strategic finance with an emphasis on business building and scaling.
Paul has had two successful exits. First, as a co-founder of Snoozy, a CBD/THC consumer gummy company, and most recently, a pet care company.
He previously co-founded a direct-to-consumer CBD/THC company during COVID and previously owned his own pet care company, from which he has exited both.