Private Accounts

• As a private family run firm, we answer to you, not shareholders
• We have near perfect client retention
• We have some of the lowest and most transparent fees
• We take a long term investment approach, focused on after tax returns
• We focus on selecting individual equities, as opposed to mutual funds and money managers
• Our clients know what they own and why; this conviction provides emotional fortitude in down markets
• We invest in the same holdings as our clients

Investment Management Philosophy

• U.S. core all cap equity adhering to a disciplined, research-driven investment process that results in low portfolio turnover and tax efficiency
• An in-depth understanding of the business and their philosophy on capital allocation – use of dividends, stock buybacks, acquisitions, debt service and internal investment
• The value of a business is determined by the present value of the cash it generates over its lifetime, not based on next quarter’s earnings, which allows long-term decisions with long-term capital
• Risk is defined at the company level, not the market level
• Time is spent researching individual companies and specialized outside managers rather than delegating to money managers
• We believe that while the price you pay for a great business is important, it is far more important to buy the “right” business

Portfolio Company Attributes

• Strong business fundamentals – inherent business advantages created by barriers to competition (technology, IP, brands, regulations, culture, etc.)
• Reasonable Valuations/Asymmetric Risk-Reward – determining “value” depends on the specific business; we seek opportunities with downside protection and substantial upside
• Scalable Business Models – ability to add customers at high margins with little incremental costs coupled with large total addressable markets (TAM) provide attractive opportunities for companies with the ability to scale
• Strong Customer Value Proposition –  leads to recurring revenues and ancillary benefits that compound over time; how a company treats customers when providing a product/service matters
• High Levels of Board Ownership – aligns incentives with that of the long-term shareholder; allows a longer investing horizon for capital allocation rather than seeking to meet quarterly numbers