Why We are Unique
Alignment of Interests
We invest our own money alongside our clients. In addition, our clients get to deal directly with the people making the investment decisions. Those same people are also the firm’s principals. Feel free to pick up the phone and call us:
We do our homework before making an investment to ensure that it passes our rigorous investment process. We manage a concentrated portfolio of ~ 16 of our “best ideas” and are extremely familiar with the companies in our portfolio.
We balance capital preservation and growth by buying great companies when they are ‘on sale’. When they aren’t, we simply monitor their progress and patiently wait for opportunities to present themselves. Extreme patience is required.
Unlike many other managers, we report our performance figures net of all fees and expenses. We believe this is the number that matters most.
Our Investment Style
Preservation of Capital
Einstein called compounding the 8th wonder of the world, but it cuts both ways. Avoiding loss is just as important as growth. Our conservative approach focuses on growing our clients’ capital while critically managing the investment risk and protecting their funds.
Buying stocks with a wide margin of safety (when they are cheap) helps to deliver both preservation of capital and prudent growth. It sounds easy. But great businesses rarely trade at attractive prices.
We spend most of our time studying, valuing and monitoring great businesses. When a great business stumbles, we act with conviction if we believe the stumble is temporary. Once owned, we often hold stocks for a long time which minimizes transaction fees and allows our investments to compound.