We look for good businesses, good people, and an attractive entry price. We seek to achieve superior long-term performance. As we are value investors, we attempt to acquire equity securities of financially strong, well-managed companies at market prices significantly below our assessment of their business value. We sell stocks when they approach our appraisal value.


Equities purchased at prices substantially less than their intrinsic worth may protect capital from significant permanent loss and may also appreciate substantially once the market recognizes the company’s economic value.

A company’s market price must trade at a discount to intrinsic value to be considered for inclusion in the Fund.  We determine intrinsic value by studying financial statements, speaking with corporate management, analyzing regulatory information, reading trade publications, as well as other industry and corporate journals.

We may assess the company’s liquidation value based on the current economic worth of assets and liabilities or we may determine the company’s ongoing value based on its ability to generate free cash flow after required capital expenditures and working capital needs. We calculate the present value of the projected free cash flows plus a terminal value, using a conservative discount rate. Our analysis should represent the price that rational, independent buyers and sellers would negotiate in a private transaction.