A Matter of Perspective
"Roman generals on a battlefield always positioned themselves on a hill. They knew that their army’s ability to maneuver would be a key advantage, but to make that advantage count, they had to see and know what was happening."There is more than a flavor of that approach in the way the Talguard Value Fund goes about its business.
Our approach is to concentrate investments on a few major opportunities that offer ‘long-term value’. They will not be opportunities for short-term profit. Chasing the market for quick returns is not what this fund is about. Instead, our investments are chosen on the basis of detailed inquiry, research and evaluation. They will all offer the ‘underlying value’ that the market will increasingly come to appreciate and price.
THE KEY TO OUR SUCCESS: FINDING UNDERLYING VALUE
"A SELECT GROUP OF INVESTMENTS, CAREFULLY RESEARCHED AND UNDERSTOOD. WITH THE GOAL OF REALIZING VALUE IN THE LONGER TERM. IT IS THE INTELLIGENT INVESTMENT APPROACH, UNDERPINNED WITH METICULOUS KNOWLEDGE, APPLIED TO THIS CENTURY AND ITS MARKETS."
They will be a concentrated group of investments. There are, after all, only so many opportunities that can offer the potential for a long-term increase in value. Wild diversification is not part of the strategy.
For Dan Chen, that simply means dilution of effort. "Why waste time on your 25th best option? Diversification too often means ‘di-worsification."