RESEARCE DISCIPLINE
“Fortune favors the prepared and success is achieved when preparation meets opportunity ”
MARKET RESEARCH
We are diligent in determining our research focus and systematically study themes, sectors and investment ideas through rigorous scrutiny and analysis. Our leadership team and active traders aim to unify our various perspectives into high-conviction and carefully organized strategies for our clients. We regularly conduct investment reviews and stress tests to ensure that each portfolio reflects our best thinking on strategy, investment selection, and account positioning.
DISCIPLINED APPROACH
We are unconstrained by size, sector, or index inclusion and diligently pursue avenues that provide unique investment prospects. Our technology and research process focuses on fundamentals, technical indicators, and event driven catalysts that create both short and long-term valuation changes in a company or sector. We cannot predict all market movements, thus focus on value drivers in investments that are miss-priced due to volatility or irrational price action. Our combination of proprietary investment strategies and sell-side research is supported by direct discussion with investor relations, public filings, and additional third-party analysis. We maintain a macro-overlay with qualitative analysis around themes and global trends that provide opportunities for quant-driven analysis and individual investment selection.
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When evaluating individual companies, we commence with a bottom-up approach of fundamental analysis that reviews balance sheet financials, regulatory filings, forecasted earnings, insider ownership transactions, and other various quantitative data. Our top-down analysis includes industry competition, pricing power, direct company dialogue, and a comprehensive risk analysis of the company and sector. This combination of qualitative and quantitative analysis provides a defined methodology and discipline for both individual company and outside fund managers analysis.
DILIGENCE & EXECUTION
Upon our fundamental and thematic analysis, we identify an attractive valuation and establish an acquisition price target. Technical analysis begins with capital flows, moving averages, regression-to-mean, volume trends, price support, and charting analytics. Investments that meet our requirements and align with our client’s portfolio needs are purchased in multiple blocks for best-price execution. Experience has taught us that diligently allocating smaller amounts of capital into a position over time (DCA) mitigates risk in a miss-priced market environment. Every investment made for our clients is constantly analyzed for hedging opportunities and is held to a strict selling discipline (target sell, stop-loss, & trailing stop).
INDIVIDUAL VALUES
We strongly support our clients’ individual values and encourage them to express their views relating to “socially conscious” investments. While so many novel terms and “politically correct” jargon blurs the media and markets, we stay focused on proven strategies that align with our core values without sacrificing returns for a label. Before any investment (ESG, Impact, Mission-Aligned, or Socially Responsible) is considered, it must first meet our standards and qualify as a sound and economically viable investment. If appropriate, we will collaborate with best-in-class external fund managers to support the unique values that matter most to our clients while creating a strong and stable portfolio.
