Bottom-up investing and capital preservation


The most important characteristic of our approach to investment management in our equity portfolios is our “thirty plus” years of experience in basic “bottom-up” investing. This experience, coupled with our fundamental analysis and extensive research program, enables us to identify specific companies that have above average growth potential.

Our most important goal is preservation of capital while achieving long-term performance based upon the investment preferences of the client. This is accomplished by investing in large-cap growth companies that dominate their industries and respective markets. We believe that high quality companies led by visionary managers are best poised to experience this earnings growth and consequent price appreciation.

Since common stocks have, over time, provided higher returns than other securities, they represent an essential component of any strategy to preserve capital.

We strive to protect each client’s portfolio against both actual declines in value and inflationary declines in purchasing power. The consistent ability to preserve capital in down markets is as critical as the ability to enhance capital in good markets.

Fundamental to preserving financial assets is risk management. We have always taken the long-term view which, over time, has proven in lower portfolio risk. This long-term outlook theme is found throughout our investment approach of prudent stock selection and has resulted in a successful portfolio management program.

Fixed Income

Our basic philosophy is preservation of capital achieved through a fixed income research program that reduces risk while providing above average total rates of return.

Our investment strategy is to purchase debt securities with durations that will take advantage of our interest rate projections. If we feel that there is going to be a change in the economic cycle, we will adjust the duration of the portfolios accordingly.

Based upon our research and analysis program we are able to identify companies for potential rating increases from the major rating institutions. We are able to enhance our performance by utilizing those companies in our fixed income portfolios. As a result, we have enjoyed above average performance with minimal risk.