We apply a conservative process that helps us to buy shares in good quality companies at prices that we believe are below intrinsic value.
The steps in our investment process are as follows:
- We actively screen the market looking for new investment opportunities;
- We assess the quality of each company to determine whether it is eligible for investment;
- We maintain a register of companies that meet our quality criteria (our Investment Universe);
- We assess the value of each company in the Investment Universe;
- We construct diversified portfolios based on the best ideas in our Investment Universe and in compliance with our risk management parameters; and
- We actively manage the portfolio to ensure that we remain ‘true to label’, in terms of both quality and value.
Our beliefs and our process go ‘hand in hand’. To identify opportunities and then correctly assess their quality and worth, it essential to visit management and their operations. We must be prepared to go everywhere and consider everything.