As Value Investors, we view stocks as part ownership in a business and work hard to figure out what a business is worth to a rational buyer. We make a purchase only when the market offers us a significant margin of safety (ie the price is way below what the business is actually worth). We do not believe our clients pay us for activity and may hold investments for as long as 2-5 years.

Client portfolios are managed in the same way that we manage portfolios for ourselves and our families.

We select our stocks on a bottom-up basis. We ignore the general stock market and use our stock selection process to populate our portfolios with investments. The Warren Buffett term "Circle of Competence" is important to us and we stay away from companies and industries which we do not (or have no capability to) understand.

We hold between 10-25 securities which we understand deeply and do not believe in excessive diversification. Our belief that patience and discipline are important facets of any good investment process can cause us to be uninvested (ie stay in cash) for significant periods of time until good opportunities present themselves.

Our investment process causes us to hold a healthy degree of skepticism regarding our investments, after all the seller might well be better informed than us. In following our existing portfolio, we make sure we are open to negative opinions about our holdings and exit if proven incorrect. We are cognizant of the human biases in decision making (denial, commitment and consistency, scarcity, etc) and make active use of checklists to guard against mistakes.