"Learning is only a process of recollection" - Plato
Evaluation and Selection Process
- Fundamentally-Driven, Bottom Up Analysis of each Company
- Focus on Balance Sheet Quality and Free Cash Flow
- Macro-driven research plays a role in geographic and size-cap allocation
- For Fortunato 1 - Focus on Value, Growth, or a combination of Value and Growth opportunities with a margin of safety
- For Fortunato 3 – Focus on dividend and income investments with a high margin of safety
Research
The research performed at Fortunato Asset Management is fundamental, original, and based on research criteria and techniques that we developed in-house. The research process relies on public reporting from companies such as 10Q, 10K, and other filings with the Securities Exchange Commission, company presentation materials including conference calls, industry research, and other investigative techniques. Investments may be made against a broad backdrop trend that we view as favorable long term, or otherwise “tailwinds.”
Philosophy
- We believe that equities currently represent the best long term potential return vehicle.
- We believe that an adequate margin of safety is a critical consideration for any investment when evaluating risk.
- We believe that a disciplined long term approach to investing will elevate our returns over time.
- We believe that value and price are important factors in the equity evaluation process.
- We believe that quality comes in all shapes and sizes, is subjective, and changes over time.
- Taxes are a significant consideration in managing our funds.
- Integrity, responsiveness and trust are priorities; client-friendly reporting and frequent communication are key to our reputation for exceptional service.
