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ARTICLES

Each quarter, we share observations about the market and insights on a specific topic.

  • All
  • Insights
  • Market Commentary
March, 2021
1st Quarter

Gauging an Emerging New Normal

The societal and market upheavals of 2020 have caused and will continue to cause some economic hardships. However, they are also creating new opportunities for near-term and long-term growth.

March, 2021
1st Quarter

Ingenuity and Technology Drives a Surge of New Businesses

Despite prevalent restrictions on mobility and capacity, 2020 saw a spike in new business applications in the United States. This surge has profound implications for the pace and sustainability of our ongoing economic recovery, as well as the long-term value these new businesses will add to markets and stakeholders.

December, 2020
4th Quarter

Build on What Is Solid

In the midst of a rapidly changing world, companies built on innovation, flexibility, and responsiveness have exhibited the vision and fortitude necessary to create enduring value. 

December, 2020
4th Quarter

Challenges and Opportunities Within Rapid Change

The societal and market upheavals of 2020 have caused and will continue to cause some economic hardships. However, they are also creating new opportunities for near-term and long-term growth.

September, 2020
3rd Quarter

Maintaining a Long-Term Focus Amidst Market-Shaping Events

Fueled by monetary stimulus and an economy recovering faster than most predicted at the start of the pandemic, the third quarter of 2020 saw overall gains. However, the ongoing pandemic and political uncertainty in the upcoming final quarter of 2020 has the potential to offer more market-shaping events than any quarter in recent memory.

September, 2020
3rd Quarter

Cultivating a Long-Term Mindset

True value is never created quickly and requires endurance and a long-term mindset. Through discipline, resilience, and purpose, investors can avoid common pitfalls and experience the value creation that occurs over time.

June, 2020
2nd Quarter

A Strong Rally Amidst Tumultuous Terrain

The first half of 2020 was packed with significant news and events, namely the COVID-19 pandemic, which remains at the forefront of the world’s attention. Aggressive action by the Federal Reserve catalyzed a market rally in the second quarter, but investors remained discriminating about which businesses are well-positioned to navigate the unpredictable road ahead.

June, 2020
2nd Quarter

The Fundamentals of Embracing Change and Creating Value

It is impossible to predict the future. So we choose portfolio companies that are positioned for success amidst unpredictability—those that see, adapt, and invest in opportunity to embrace change and create value.

March, 2020
1st Quarter

Adaptability in the Wake of COVID-19

Agility and innovation play a critical role as companies make decisions about how to weather the storm and develop solutions for society in the midst of disruption from the COVID-19 crisis.

March, 2020
1st Quarter

Using a Long-Term View to Navigate Quick Market Changes

There was breathtaking volatility as investors navigated the 20-day transition from record highs to a bear market, largely influenced by the COVID-19 pandemic. Nevertheless, taking a long-term perspective means investigating the opportunities that lie in this changing environment.

December, 2019
4th Quarter

The Future of Productivity

Despite continuing and rapid technological change, productivity growth in the U.S. has dropped significantly in recent years. Today, a new wave of technological innovation is being leveraged to solve productivity problems in every industry and geography, with the hopes to enable the next surge in productivity growth.

December, 2019
4th Quarter

A Strong Finish to a Record Setting Decade

For the first time on record, the U.S. economy has started and concluded a decade without entering a recession, resulting in truly remarkable economic results. When contemplating the last ten years, and the strong finish to 2019, many investors are hoping for a repeat performance as we begin the new year.

September, 2019
3rd Quarter

The Human Capital Advantage

In today’s fast-paced world requiring ever-evolving skillsets, human capital has emerged as a strategic imperative for employers of all sizes and in all industries. No longer simply an HR issue, recruiting, training, and retaining employees is now a priority for the entire executive suite.

September, 2019
3rd Quarter

A Market Conundrum

Struggling global economies. Continued Brexit deliberations. The Fed reducing interest rates. The market conundrum that was the third quarter has set the stage for investors to ponder what is in store for the remainder of the year as well as for 2020.

June, 2019
2nd Quarter

The Future of Healthcare

The United States healthcare system is making necessary changes to keep up with rising health costs and needs—as well as investing in technologies that better understand, prevent, and treat a myriad of conditions.

June, 2019
2nd Quarter

Taking a Long View for Stronger Financial Returns

Despite a strong ending to the second quarter of 2019, market headlines are still not the key to achieving good long-term results.

March, 2019
1st Quarter

Understanding a Company Through its Accounting Practices

Accounting practices serve as a reflection of a management team. When analyzed properly, accounting does not answer many questions, rather it raises topics to further explore. Thoroughly understanding a company’s accounting practices and philosophy provides a richer fundamental understanding of a company and the integrity of its management team.

March, 2019
1st Quarter

A Strong Start to 2019 for Long-Term Investors

Equity investors could not have asked for a better start to 2019, as all major equity averages appreciated more than ten percent in the first quarter. Nevertheless, investors made rather large redemptions in the first quarter, likely reflecting some collective angst. The present mix of optimism and skepticism may actually be a good balance for long-term investors.

December, 2018
4th Quarter

Our Commitment to Internally Financed Growth

More than any other investment discipline we deploy, internally financed growth shapes our compelling downside protection in weak markets and contributes to the relative predictability of our investment returns.

December, 2018
4th Quarter

The Return of Turbulence

This past year forced investors to contend with renewed volatility spurred by increased inflationary pressures, a hawkish Federal Reserve, trade wars, and decelerating economic growth. As we conclude the year, investors are left to ponder whether 2019 will be reminiscent of the idyllic market of 2017 or if they will be forced to relive the headaches of 2018.

September, 2018
3rd Quarter

How We Assess Management to Identify Endurance

Enduring investments require leadership to cultivate a culture encouraging and even demanding constant innovation—even if it comes at the expense of near-term earnings.

June, 2018
2nd Quarter

The Importance of Sustainable Growth

While few dispute growth is a necessary ingredient for capital appreciation, an oft-neglected piece of analysis is the sustainability of such growth, which requires a deep look at a company’s strategic market position.

March, 2018
1st Quarter

Defining Growth Through Earnings Power

We focus on companies that are producing enduring unit growth while maintaining high returns on invested capital. Sustained unit growth combined with increasing returns on invested capital creates earning power.

December, 2017
4th Quarter

An Enduring Investment Approach is Rooted in What’s True

The ability to resist near-term market emotions and not deviate from their stated investment philosophy is what separates enduring managers from those that come and go based on short-term market phenomena.