Our investment philosophy is simple: Buy strong companies with little to no debt at an attractive price and allow time to work in our favor.
These are companies that fulfil a real need in the economy and conducts their business in a sustainable manner. Such companies will maintain their competitive position and earning power in the future. This is the foundation of a healthy return on invested capital and sound development of revenue, earnings and free cash flow which is the ultimate driver of value creation for shareholders.
There are many strong companies, but to also be a good investment, we need to buy it at an attractive price.
We believe the combination of a long investment horizon, our focus on buying a business instead of just a stock and insisting on purchase price that offers a margin of safety to intrinsic value will lead to a safer and superior return contra a market index over time.