We are long-term fundamental investors. Our focus is on understanding the intrinsic value of a company and exploiting any difference between this value and the company’s share price.

Our investment philosophy is based on the belief that equity markets are efficient in the long term and that our clients’ funds should be invested accordingly. However, we recognise that, in the short term share prices can be driven by non-fundamental factors such as: money flows, investor sentiment, and other irrational investor behaviour, and such market inefficiencies can mean the pricing of a company may not reflect its true or intrinsic value. We believe these short-term inefficiencies can be exploited by accurately assessing the intrinsic value of companies through in-depth proprietary research and being prepared to hold those positions in the portfolio until the market’s efficiency prevails, which may take months or years.

INVESTMENT STRATEGY

We have the three key ingredients to achieve our objective - a disciplined investment process, a confident [experienced, committed, stable] investment team, and the patience that enables us to offer our clients a truly active equity product that delivers superior long-term returns.

These ingredients come together in a unique business structure designed to foster a culture of entrepreneurial focus on investment opportunities in a risk controlled framework whilst providing our clients with the comfort and support of a global funds management business.

We call our process the Trinity Investment Process™, i.e. bringing three things together in one cohesive framework. This process has been developed by our investment team applying the soundest strategic, valuation, and portfolio theory into the Australian market to answer three fundamental investment questions.

1. What strategic issues do we focus on?
2. What is the intrinsic value of a company?
3. How much of a client’s portfolio should be invested in a particular company?
 
We practice a bottom-up investment style which emphasises internally generated research. The research team conduct detailed strategic analysis and prepare cash flow based valuations of Australian companies. The size and experience of the investment team facilitates broad market coverage and very detailed financial statement analysis, modelling and forecasting. Unlike other firms where analysts operate in isolation, we follow a team-based approach with analysts organised into teams of two, typically comprising a senior and a junior analyst. This structured approach delivers effective peer review and enhances decision-making dynamics within the team.

Our focus on a company’s long-term cash flow growth and strategic growth options, typically leads to portfolios with pronounced growth characteristics comprising around 45-55 companies. We also manage a benchmark insensitive portfolio.