Process

The process that we use to implement our investment philosophy is characterized by:

  • We focus our research efforts on approximately 300 "watch list" companies globally
  • We look for sustainable barriers to entry in well-structured industries, ideally initiating a position when a stock is out of favor due to short-term factors
  • We question management teams to understand the nature and validity of their long-term strategy, discussing opportunities and risks that may emerge over the next 5+ years
  • We spend considerable time visiting company operations and meeting local contacts throughout the world in an effort to gain a deeper understanding of industry structure, secular trends and competitive environment of our watch list companies
  • We hold 60 to 80 stocks in the portfolio and sell when we see a better opportunity or detect deterioration in a company or industry's fundamentals