Investment Philosophy
CCM believes that achieving attractive risk-adjusted returns is the key to long term capital growth. The firm seeks to find investments where the risk-return balance is distorted in favor of the return. We believe this can be achieved by investing in high quality businesses at attractive prices. As such, our investment philosophy is highlighted by the following:
- Achieving attractive risk-adjusted returns
Too
much risk can lead to significant capital loss - Investing with a long term horizon
Not
dependent on unpredictable short term market fluctuations
Good
companies purchased at attractive prices are considered
attractive long
term investments - Capital growth focused investing
Finding
investments that will give clients a chance to achieve capital
growth,
but with an eye towards “capital preservation” - No use of margin leverage
Margin
leverage magnifies potential losses - Investing in only the best ideas that meet CCM’s stringent
investment criteria
Such
criteria favor profitable, well run, conservatively financed
companies
that are trading at attractive prices*
* When making investment decisions, CCM may void one or
more of the above
criteria