INVESTMENT PHILOSOPHY
Our investment style is best described as opportunistic. It is our view
that positive investment returns can best be achieved by being flexible.
As the stock market mood swing from favoring growth to value stocks, we want to
benefit from those swings rather than being stubbornly wed to one style.
This flexibility is further complemented by our diversification, which includes
a willingness to invest globally through ADRs and closed end country funds
trading at discounts; real estate through REITs that provide income,
reduced volatility and an inflation hedge; and convertible bonds that may provide
our accounts with exposure to growth investments with lower risk.
Many of our clients are families and we often deal with several generations.
In recent years, it has become clear that managing portfolios for individuals
and families can, and should, be different from managing for institutions.
As managers we do not feel pressured to be fully invested at all times and in an
overvalued market this option may benefit our clients. We are also
sensitive to tax considerations and that the total sale of a stock with a large
gain may not be in the best interest of a domestic, taxable account. We
also have ample experience in managing accounts for foreigners and what
constitutes the best tax strategy for these accounts. Although the ideal
investment is a long-term one, we are not averse to taking advantage of
short-term opportunities. The emotions that prevail in the stock market
lead to overbought and oversold equities even in our most attractive holdings.
Our primary objective is to maximize our returns by maintaining flexibility in
our investment style.