WE BELIEVE PATIENCE IS INDEED A VIRTUE

Top down economics drive market cycles and market segments
Ultimately, then, top-down economics drives individual security prices.

Value is critical.
We will not pay more for a security than we believe it is worth. Instead, we purchase companies that we are convinced are selling below their intrinsic business value with full confidence that the market will reward that value over time. Our experience has shown that this approach not only has the potential to provide solid returns, but it also minimizes risk.

Patience is vital.
We believe that looking only at the short term is only for the short sighted. So we are not market timers making extreme short-term changes in response to fleeting market events.

Instead, we believe that reward is driven by consistency of process and that the price of a stock will rise to reflect the value of the underlying company. Thus we invest for a long-term horizon of generally three years or more and view every stock purchase as if we were buying a piece of a business.

Fundamentals should drive investment decisions.
On an individual security basis, we build on a deep understanding of each company we are considering and develop appropriate allocations using our unique scenario analysis based on fundamental valuations of economic and market indicators. We also consider Federal Reserve policy, the current fiscal environment, geo-political risks, and most important, each client’s personal risk aversion.

Portfolios should be focused on total return.
Total return provides the best combination of up and down market capture to ensure long term risk management and results. We build balanced portfolios for our clients, sufficient for diversification but concise enough for our best ideas to have a meaningful impact on investment performance, that emphasize building wealth and protecting principal using sophisticated risk management strategies designed to limit the adverse affects of volatile markets.

One of these strategies, Global Income is designed to enable our clients to participate in rising markets, perform well in sideways markets, and protect their assets in volatile markets.

It is important to note that, as total return managers, we have the agility to move within the asset class, capitalization and style structure to identify, and invest in, the best value on behalf of our clients.