Investment Discipline – Sell Discipline
While our typical holding period spans a multiyear investment horizon, we nevertheless believe there are rational reasons to reduce or eliminate portfolio positions.
As a general rule, we pare or exit investments based on a number of factors including:
- Adverse changes in long-term earnings power.
- Excessive valuation.
- Loss of confidence in management, and/or
- Opportunities to allocate capital to more compelling investments.
Equity markets are volatile and an investor may lose money. Past performance is not a guarantee of future results.