2018 Q2 - Investment Letter (Process)

2018 Q2 - Investment Letter (Process)

The S&P 500 Index returned 3.43% in the quarter ended June 30, 2018.[1] We believe an investor who aspires to achieve attractive risk-adjusted returns must first identify at least one exploitable and persistent investment mispricing. In our case, as we’ve discussed in past letters, we believe we’ve identified two: 1) a great business mispricing that …

2018 Q1 - Investment Letter (Moody's)

2018 Q1 - Investment Letter (Moody's)

The S&P 500 returned -0.76% in the quarter ended March 31, 2018.[1] In our last letter, we discussed our belief that the best investments benefit from two sources of mispricing: 1) a great business mispricing that we believe results from investors generally undervaluing the rare businesses with both enduring pricing power and long-term volume growth …