The Principles

Only an excellent business bought at an excellent price makes an excellent investment. We must be satisfied about the quality of a business before we attempt to buy the shares at an attractive price.

  • Our Investment Philosophy

    Keith and Rosemary discuss the similarities and differences in their investment philosophies and how they see themselves as investors.

     

                      

    Published on 9th May 2018


  • The Funds: Compare & Contrast

    Keith and Rosemary talk about the differences in the Buffettology and The Free Spirit Fund investment processes and how they are complementary in an investor’s portfolio.

     

                      

    Published on 5th June 2018


  • Business Perspective Investing  »

    Business Perspective Investors start from the premise that there is no philosophical distinction between part ownership and outright ownership.
     



  • Valuation  »

    The moral of our approach is that only an excellent business bought at an excellent price makes an excellent investment. One without the other just won’t do.  


Investment Criteria

Our investment methodology is based upon the principle of Business Perspective Investing. We also run a concentrated portfolio of investments and try to keep portfolio turnover down. Companies selected for investment consideration must exhibit several important criteria: 

Comprehensible business model;

Transparent financial statements;

Enduring franchise with pricing power;

Consistent operational performance with relatively predictable earnings;

High returns on capital employed;

Strong free cash flow;

Strong balance sheet;

Management focused on delivering shareholder value; and

No undue reliance on acquisition-led growth.