Overview

 How GSCM Differs From Other Investment Management Firms

 

  • We focus on absolute returns, and have an excellent track record of preserving capital and outperforming the S&P 500 with less risk.

  • Our investment process is research intensive, repeatable, and has been consistently applied for over 50 years.

  • Greenfield and Seitz personally comprise the largest investment in GSCM assets.

  • We focus on the long term and typically own stocks more than 10 years.

  • We are not bound to benchmarks and free to look for best possible investments.

  • Our average client has been invested with GSCM for more than 20 years.

  • Loyal investors give us the ability to truly manage on long-term basis.

  • Small asset size and small staff allows us to trade easily and operate efficiently.

  • We use our independent research and shun popular stocks and funds.

  • Our low-turnover style is tax efficient.

 

A Unique Strategy

 

Our investment strategy employs a company-specific, growth-at-a-reasonable-price (GARP), long-term approach. We focus on the quality of a company’s management, combined with our evaluation of the company’s long-term earnings potential. We look for companies that have demonstrated consistent and meaningful earnings growth over a long period of time. Lastly, we use appropriate valuation measures to confirm our belief that we are getting a good value. Our emphasis is on finding attractive, well-run companies and not attempting to match or beat an index. During our analysis, we also consider a company’s position in its sector, the economic framework, its local country, and the current investor sentiment.

Our portfolio taken in aggregate is currently comprised of companies around the world with proven managers, consistent and meaningful earnings, above average return on equity (ROE), above average earnings growth, low debt, and average/low valuation.

“Our emphasis is on finding attractive, well-run companies and not attempting to match or beat an index.”

 A Unique Style

 

Unlike most investment managers, we rarely use Wall Street research. We try to form all our ideas internally, independent of Wall Street. We believe there is a herd mentality among some money managers and that we can benefit from doing our own analysis to form our own conclusions. This strategy not only allows us to potentially find under-appreciated investments, but it may also let us act on themes before the crowd has recognized them.

Our typical holding period for a stock is more than 5 years. We believe this allows our companies to potentially grow their fundamentals and that stock price appreciation should follow the improvement in fundamentals.

We believe a small investment staff cuts down on bureaucracy and improves the decision making process. Our two person investment staff is smaller than most of our competitors and we believe this gives us a unique advantage. We often think so counter to Wall Street consensus that a group of professionals would probably not agree with our ideas, thus eliminating much of our value-added return potential.