We are long term stewards of capital not traders. Thinking long term allows us to purchase stocks for sale at value prices due to temporary issues but where we believe a reversion to prior operating levels is probable. We look for catalysts that will allow this thesis to occur and buy low before the often myopic market is able to see it. Our focus on the long term prospects of a company allows us to put the short term news flow into the background and focus on more meaningful long term trends.
In addition to solid Canadian and US assets we have found that non-North American exposure offers significant return and diversification opportunities. Our clients benefit from a global value orientation which increases industry diversification and provides exposure to areas of the world that have either faster growth prospects or alternatively where there is a great amount of pessimism embedded in stock prices. We have substantial and tenured expertise in international investing.
Asset allocation is the use of different asset classes such as cash, bonds, preferential shares and equities within a portfolio. We take into consideration our client's financial goals, their time frames and risk tolerances in deriving the most appropriate asset mix for them. We will adjust the mix of asset classes to suit their needs and to benefit from changing economic and market conditions. Diversification at this level provides stability to the portfolio as required.
We are not beholden to index benchmarks. Always cognizant of the adage "good companies do not always make good stocks", we dig past emotion to arrive at the best risk adjusted return potential for our clients. As investors experienced in 2008 and 2009, relative returns are poor comfort in volatile markets. We seek to avoid the herd mentality by parsing through the global universe for the top quality stocks as measured by our criteria, not a benchmark.
We are proud of our performance track record. We would be pleased to provide composite return information to interested parties.
The combined experience of our four investment professionals is in excess of 100 years. There simply is no substiute for money management experience over many investment cycles. As Warren Buffet has stated "you only find out who is swimming naked when the tide goes out."