Focused on Value
Our investment approach is based on the conviction that a security's market price does not always accurately reflect the company's value. When investor sentiment, emotions, or short-term trends cause the price of a security to deviate from its intrinsic worth, we see opportunity. Consistent with this approach, we believe true investment risk is the potential for permanent loss rather than short-term price volatility or deviation from a benchmark.
Driven by Research
Finding opportunities begins with research. Over the years, we have sharpened our in-house research capabilities, enabling us to tune out the noise generated by temporal factors and focus on a company's fundamentals — the true indicators of long-term performance. When we find securities that we consider undervalued, we dig deeper to evaluate risk and model the ability of the company to generate earnings under different conditions over the long term. Our rigorous research helps us find securities that are being adversely affected by misguided sentiment or unsustainable trends or exaggerated risks. The breadth and depth of our proprietary research allows us to investigate stocks with limited Wall Street coverage that may be overlooked.
Guided by a Well-Defined Process
Research fuels conviction. Process ensures discipline. We prefer to build diversified portfolios with the best risk-adjusted securities rather than own hundreds of securities that would dilute our advantage. Each security we select has been thoroughly researched, peer-reviewed by team members, and compared to other opportunities. The most attractive securities receive the highest weighting in our portfolios and are sold as they approach our estimate of fair value or when their risk profiles exceed our acceptable limits. By consistently applying our process, we ensure that our conviction is based on well-established and proven economic principles.
Designed to Deliver Long-Term Results
Everything we do is guided by our commitment to deliver long-term value to our clients. We invest with a multi-year horizon in mind. Our research is based on enduring economic principles. Our process discipline ensures we remain true to our style over market cycles. Our results show that taking a long view ultimately delivers a better investment outcome.