Process

Metis Capital portfolio managers continuously employ both top down and bottom up analysis to optimize our investment decisions. Reducing risk while still taking advantage of growth opportunities in the market are our primary goals. We focus on what we believe are high-quality industry leading stocks, and prefer to recommend companies that we have followed for a lengthy period of time.

Our process includes examination of a company’s past growth and future expectations for growth. We scrutinize the overall quality of the company and its management, looking for reliable earnings growth, efficiency of resources, reasonable debt levels, and low risk factors. Reasonable valuations are sought using several valuation criteria. We are rooted in the analysis of long-term growth trends. Diversification, in our view, is the best solution to adverse short-term developments.
Although our equitiy universe consists largely of U.S. stocks, we are familiar with and do use foreign equities, provided that they are industry leaders and offer competitive advantages. We utillize a global analytical approach that seeks opportunities worldwide.

Our fixed-income policy favors the highest quality AAA and AA rated government and corporate bonds; this keeps our focus on duration risk rather than credit risk. We remain aware of the current and forecast interest rate environment so our clients fixed-income allocation seeks to take maximum advantage of market opportunities.

We use a wide variety of research tools, including institutional research from a large number of industry-specific analysts. In addition to fundamental analysis, we overlay technical analysis to optimize entry and exit points.