Because it’s the only way to actually know what you own.
We start with a universe of roughly 7,000 publicly traded companies. Ethical screening removes the ones that fail our conduct and values criteria — typically around 3,000. From the remaining universe, we’re looking for the subset that generates positive impact the same way it generates revenue, that has durable competitive advantages, and that we’d be comfortable owning for a decade.
That gets us to 15–25 positions in the Growth strategy.
The benefit of this approach: a client can sit down on a Sunday morning and actually comprehend the business models of their entire portfolio. Every holding has been researched in depth. We know what it does, how it makes money, who runs it, and why we own it. That’s not possible with 300 positions.
The trade-off: a concentrated portfolio will diverge significantly from broad market indices. When we’re right about a company, the impact is material. When we’re wrong, that’s also material. We think that’s the honest version of active management — as opposed to owning 200 companies, charging active fees, and largely tracking the index anyway.
Concentrated portfolios involve higher levels of security-specific risk than broadly diversified strategies. Investment strategies involve risk of loss. Past performance does not guarantee future results.