Our Philosophy

Our experts provide investment management and advice based on portfolio theory, empirical studies of the markets, and their own portfolio management experience. Their expertise and skills benefit a wide range of clients, from individuals to institutions, and assist them in protecting and growing their capital, and in achieving their long-term financial goals.

AT THE CORE, WE ARE VALUE INVESTORS

Our primary investment focus is finding securities trading at a discount to their intrinsic value. This approach to investing requires patience and a belief that the markets are efficient – eventually. When we purchase equity, we do it with the intent of becoming partners in a business, rather than seeking to quickly sell it again. We supplement our core portfolios with shorter-term positions that we believe offer compelling reward-to-risk characteristics.

WE PREFER CONCENTRATED PORTFOLIOS

Our approach to portfolio construction typically results in concentrated positions (20 – 30 securities, or less). We use this approach because 1) it is much easier to manage portfolios with fewer positions, and 2) we believe that there are very few exceptional investment ideas being offered by the markets at any given time. By the same token, there are a limited number of superior ideas. We seek to get the most out of our best ideas by allowing them to have a large place in the portfolios we manage. We are also confident that these portfolios are adequately diversified. For more on this subject see ...

OUR GOAL IS TO PROVIDE SUPERIOR LONG-TERM, RISK-ADJUSTED RETURNS TO OUR CLIENTS

Our over-arching investment goal is to achieve superior risk-adjusted returns for our clients, based on their needs and goals. We strive to beat our benchmarks over the short run and the long run; however, our primary goal is to meet the client’s long-term objectives. We won’t jeopardize those objectives seeking ethereal short-term performance.

WE BELIEVE THAT SEPARATELY MANAGED ACCOUNTS OFFER SOME COMPELLING CHARACTERISTICS

Most of our AUM are administered under separately managed accounts. We believe there are several benefits to this approach including: 1) Portfolio construction consistent with our client’s risk tolerance and return goals, 2) Exclusion of stocks, sectors, or securities that are not consistent with the client’s risk tolerance, return goals, or personal philosophies, 3) Minimization of taxes through managed tax gain/loss harvesting; and 4) Avoidance of exposure to embedded capital gains and hidden fees that are common to mutual fund investors. For more on this topics please see...