Advisory Business
Advisory Firm
Honeycomb Asset Management LP (“Honeycomb” or “Investment Manager”) commenced
investment management activities on June 1, 2016. Mr. David Fiszel, the Founder and Chief
Investment Officer of Honeycomb, is the principal owner of Honeycomb.
Investment Strategies and Types of Investments
The investment objective of Honeycomb is to seek superior risk-adjusted returns with a focus on
long and short positions in publicly traded equity and equity-related securities (including options,
futures, swaps and other derivatives). Honeycomb invests globally across various industries and
sectors, including, without limitation, in technology, media, telecommunications and consumer-
related investments. While Honeycomb focuses the investment program on equity securities, it
may take long or short positions in other assets and financial instruments (including, without
limitation, corporate debt, loans, commodities and convertible and preferred securities) based on
its assessment of the highest and best use of capital for investors and the availability of market
opportunities across the public and private spectrum.
Honeycomb has a one-team collaborative approach to conducting research and analysis for both
public and private investments. This approach typically includes developing an investment thesis
for potential investment opportunities, refining and challenging the underlying assumptions behind
the thesis, and initiating and sizing investments in an effort to maximize risk-adjusted returns.
As a primary avenue for idea generation, Honeycomb utilizes the investment experience of Mr.
David Fiszel and the firm’s team of analysts in seeking to identify market and company-specific
trends. Honeycomb believes that many companies have a few key discrete drivers that could
significantly impact future value. For long ideas, Honeycomb may seek to identify companies
benefitting from value drivers such as, among other things, secular growth trends, best-in-class
management teams, misunderstood earnings trajectories, strong industry positioning, recovering
margin expansion, or accelerating growth profiles. For short ideas, Honeycomb may seek to
identify companies that are hindered by, among other things, secularly declining cash flows, new
technologies or products in the marketplace that threaten their businesses, little or no barriers to
entry despite significant embedded growth, and inflated multiples due to excessive M&A or other
corporate activity.
For private investments, Honeycomb focuses on companies it believes offer value creation not
generally available in the public markets. Honeycomb endeavors to evaluate the highest and best
use of investor capital and to implement a disciplined, patient approach to private company
investing. Honeycomb believes its rigorous analytical approach to evaluating public companies is
critical in helping it assess the projected trajectory of potential private company investments.
Similarly, Honeycomb believes knowledge about private companies and the technologies,
products and services they produce better positions itself with respect to public market investing.
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From time to time, in addition to publicly traded securities and certain privately-held securities,
Honeycomb may also acquire certain assets or securities which it believes either may not have a
readily assessable market value or should be held until the resolution or occurrence of an event or
circumstance and which it designates as a special investment in its sole discretion (each, a “Special
Investment”). Upon admission to the Funds (as defined below), each investor may elect not to
participate in Special Investments.
Honeycomb reserves the right to alter or modify the investment strategies of the Funds in light of
available investment opportunities or to take advantage of changing market conditions when it
concludes that alterations or modifications are consistent with the Funds’ investment objectives.
Honeycomb has broad investment discretion and is not subject to limitations with respect to the
level of leverage it uses or the portion of the Funds’ portfolio that may be invested in any particular
asset, financial instrument, investment, region, industry or sector (including various industries and
sectors in addition to technology, media, telecom and consumer). All investments risk the loss of
capital.
Advisory Services
Honeycomb provides discretionary
investment advisory services to clients that have a variety of
investment objectives and strategies. Honeycomb's current clients include the following pooled
investment vehicles (the “Funds”): Honeycomb Partners LP, a Delaware limited partnership (the
“Onshore Feeder”) that invests all of its investable assets in Honeycomb Master Fund LP, an
exempted limited partnership organized under the laws of the Cayman Islands (the “Master
Fund”); and Honeycomb Offshore Fund Ltd., an exempted company incorporated under the laws
of the Cayman Islands (the “Offshore Feeder”) which invests all of its investable assets in
Honeycomb Intermediate Fund LP (the “Intermediate Fund”), an exempted limited partnership
organized under the laws of the Cayman Islands, which, in turn, also invests all of its investable
assets in the Master Fund. As used herein, the term “client” or “clients” refers to one or more of
the Funds referenced above as well as associated co-investment vehicles. Honeycomb currently
acts as investment manager to two such vehicles. Honeycomb intends to manage each client based
on the investment objectives and restrictions as set out in the relevant client’s offering materials.
In addition, for investment structuring, legal, tax, regulatory or other reasons, Honeycomb has
created one or more special purpose vehicles through which it has made Fund investments and
may create additional such vehicles in the future.
Honeycomb Advisors, LLC, a limited liability company organized under the laws of the state of
Delaware and controlled by Mr. David Fiszel, serves as the general partner of the Onshore Feeder.
Honeycomb Private Advisors, LLC, a limited liability company organized under the laws of
Delaware and controlled by Mr. David Fiszel, serves as the General Partner of the co-investment
vehicles (Honeycomb Advisors, LLC and Honeycomb Private Advisors, LLC collectively referred
to herein as the “General Partner”). Mr. David Fiszel also serves as one of three directors for the
Offshore Feeder. A senior member of Honeycomb’s staff serves as an alternate director for the
Offshore Feeder.
It should be noted that Honeycomb may in the future provide trading advisory or investment
management services to separately managed accounts, investment funds, or other investment
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vehicles for investors interested in investment programs that differ from the ones used by the Funds
or for investors that do not wish to invest in the pooled investment vehicles referenced above. The
investment terms for each such other client would be negotiated by Honeycomb and the relevant
parties and may differ from the terms of an investment in the Funds, including with respect to fees,
liquidity, information rights, and other terms. As referenced above, Honeycomb managed separate
co-investment vehicles during 2023 in addition to the Funds. The co-investment vehicles do not
engage in a continuous offering of interests.
Lastly, it should be noted that the Funds and/or the co-investment vehicles may issue classes of
interests or enter into separate written agreements with certain investors (“Side Letters”), which
grant rights that are more favorable or may otherwise differ from the rights attributable to other
investors in terms of, among other things, incentive allocation, management fee, withdrawal rights
(including different withdrawal dates and notice periods), minimum and additional subscription
amounts, information rights, and other rights. The terms and the scope of the offering of such rights
(including an offering limited to strategic or other specific categories of investors) will be
determined by Honeycomb in its sole discretion. In addition to the foregoing, Honeycomb may
also enter into Side Letters to address legal, regulatory, tax or policy issues impacting particular
investors and their investment activities. Honeycomb has granted one or more of the rights
referenced above (whether through Side Letters, a separate class of shares or otherwise) to a limited
number of early investors in the Fund and/or the co-investment vehicles and may do so in the
future without disclosure to or receiving consent from existing investors.
Regulatory Assets Under Management
As of December 31, 2023, Honeycomb has discretionary authority (i.e., the authority to decide
which securities to purchase and sell) for all of its clients and has regulatory assets under
management of $748,252,424.
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