Capital Appreciation portfolios will emphasize growth at a reasonable price while taking prudent risk relative to your goals and individual tolerance for volatility.

Steady Earnings Growth

Generate High Returns

Strong Cash Flow

Secular Growers

We will:

  • Create portfolios of 30-40 companies diversified across economic sectors.
  • Have a long-term investment horizon and target low portfolio turnover of about 25%.
  • Actively manage taxes with the potential for year-round tax loss harvesting opportunities and other tax-sensitive investment management strategies.
  • Focus on high-quality companies that are capable of growing through multiple business cycles.
  • Favor companies that have secular growth drivers with sustainable and improving financial returns.
  • Invest in companies with strong earnings potential, recurring revenue, and the ability to redeploy capital at high rates of return with an attractive risk/return profile.
  • Seek to take advantage of the inefficient process of other investors’ focus on near-term earnings.
  • Limit the portfolio to generally no more than 25% of portfolio assets in any one sector with initial stock position sizes of 1% to 3%.
  • Analyze individual stocks on a fundamental basis, and assess growth potential within broad secular themes.
  • Develop valuation estimates based on the most appropriate parameters for each company, typically Discounted Cash Flow, Price-to-Earnings, or Price-to-Cash Flow.