To find good businesses at attractive valuations, our investment team conducts
fundamental research. As demonstrated above, this research is based on a well-defined
and repeatable process, and is guided by our investment philosophy. We believe that this
approach to investing is capable of generating consistent investment returns over the long
term through the power of compounding.
MARGIN OF SAFETY
We believe a margin of safety exists when we are able to mitigate both business risk
(our business, financial and management criteria have been met; sustainable competitive
advantages exist) and price risk (when we believe there is a significant discount to intrinsic
value at the time of purchase — we aim to purchase at 75% of our estimate to intrinsic
value or less).