In a world in which trading is considered investing, where machines employing algorithms stand in for human judgment, where the general is favored over the specific – we notably stand apart from the herd. Validus is definitively “old school” — we read company-specific government filings (including the notes) instead of scanning press releases for “key words”; we source empirical data from industry sources rather than relying on the opinions of Wall Street analysts; and we don’t let the composition of benchmarks dictate our investment decisions. We are not short-term traders. We are not simple “buy and hold” investors either. Simply put, each idea has to earn the right to maintain its portfolio weight and position every day.
Importantly, all of Validus’ strategies employ the same philosophy and process. We seek company-specific growth wherever it leads and no matter how it’s defined by the market.
Specifically, we believe:
- An active growth strategy with an appropriate investment horizon, stock-specific focus and market risk mitigation deserves a place in every portfolio
- Over time, more consistent returns result from benchmark agnostic process
- Fundamentals determine stock performance over time; sentiment matters in the short-term
- Evidence validated through experience drives decisions
- Persistent execution of a proven, disciplined process is the best long-term prescription for short-term volatility