Investment Strategy
How We Invest
Due diligence is the heart and soul of investment selection. A good due diligence process objectively whittles down the universe of available equities across the globe to those that meet CORDA’s high standards for inclusion in our clients’ portfolios. As part of our due diligence, the goal is to own predictable, dominant, secure, and well-managed businesses.
The majority of these businesses have a lengthy history of sharing profits via dividends and, in our opinion, have a very small probability of permanent loss of capital. Our disciplined, research-driven approach ensures every investment in your portfolio has earned its place.
Think Like a Business Owner
Think Like a Business Owner
We evaluate investments as if we were buying the entire business. This means focusing on quality management, strong balance sheets, and sustainable competitive advantages rather than short-term market sentiment.
Invest in Businesses, Not Stocks
We own individual businesses, not investment products. Our focus is on understanding the underlying companies we invest in—their operations, competitive advantages, and long-term prospects—rather than speculating on short-term stock price movements.
Buy Quality
We take a fundamental approach, looking for high-quality businesses with strong balance sheets and long-term sustainable business practices. We identify companies positioned for enduring success, not fleeting trends.
Buy at a Discount
As disciplined buyers, we seek genuine bargains. We are attracted to companies we believe are temporarily priced at a discount because they have fallen out of favor with Wall Street and the investing public, creating an opportunity for long-term value.
Dividends and Cash Flow
We select businesses that pay sustainable dividends and prefer companies with a history of increasing their dividend payments. These rising income streams provide our clients with reliable and growing cash flow over time.
Analysis Fundamentals
Diversification
We invest across all sectors, geographies, and market capitalizations. This go-anywhere approach allows us to find the best opportunities wherever they exist, while maintaining prudent diversification to manage risk.
Risk Management
Our goal is to own predictable, dominant, secure, and well-managed businesses with a very small probability of permanent loss of capital. We have no mandate to remain fully invested, giving us the flexibility to protect capital when opportunities are scarce.
Continuous Research
Due diligence is the heart and soul of our investment selection. Our research process objectively whittles down the universe of available equities across the globe to those that meet CORDA’s high standards for inclusion in our clients’ portfolios.
Independent Thinking
We are contrarian-minded investors who form our own views through independent research and analysis. We do not follow the crowd or chase market trends, instead relying on our own rigorous evaluation of each investment opportunity.
Behavioral Elements
Patience & Discipline
We are investors, not traders. Our patient approach means we are willing to wait for the right opportunities and hold our positions through market volatility, allowing our investment thesis to play out over time.
Long-Term Perspective
We concentrate on our best ideas with a long-term horizon. Short-term market fluctuations do not dictate our strategy. We believe that patience and a focus on fundamentals lead to superior outcomes over full market cycles.
Fiduciary Responsibility
Alignment of Interests
As a fiduciary, we put our clients’ interests first in everything we do. We seek to minimize the impact of taxes through our investment strategy, and our team invests alongside our clients, ensuring our interests are fully aligned.
