Value Funds

Our focus is primarily to manage risk, and secondarily to pursue above-average returns.

We look at our stocks like we are buying a fraction of a business. We want to know what the entire business is worth, and we want to buy our shares at a significant discount. We call this the “margin of safety.” 

Our Process

  • Identify

    We start by identifying underlying business characteristics that make for attractive value investments, such as stable, predictable revenue streams, undervalued free cash flows, and accruing per share values

  • Track

    We track evolving industry dynamics and emerging catalysts – such as ownership succession, regulatory change, industry consolidation, etc – that will surface value within 6 to 24 months

  • Invest

    With private market value as our North Star, we initiate or add to positions when company or market developments result in under-valuation that we believe is temporary and unwarranted

Risk Management

  • Our investments are in high conviction/high margin of safety positions

  • We build our portfolios with liquid, low volatility, or hedged positions

  • We increase cash positions in uncertain environments

  • We increase allocations to non-market correlated strategies (e.g. merger/arbitrage) during periods of increased market volatility

  • We only invest in “value-able” businesses: those with predictable revenues and profits as well as strong balance sheets

 Our investor files are password protected. Please contact us if you need credentials or assistance.