“A rich man is nothing but a poor man with money”
– W C Fields
We believe in long term value based investing with the aim to maximise returns whilst minimising the risk of loss on the overall portfolio over an economic cycle.
“Price is what is paid. Value is what is received”
We endeavour to
The Price paid for an investment will determine its likely long term return.
- We seek to understand the real Value of an asset or an idea; knowing its Value on any given day is very unlikely to be the same as its quoted Price
- Best returns are gained investing when Value significantly exceeds Price.
The market has a herd like mentality which produces distortions in price. It is not possible to achieve superior returns unless one acts rationally and differently from the herd.
“To do as the majority are doing can logically only produce average returns.”
Long term outperformance comes from purchasing assets when they are undervalued by the market. It cannot be known exactly when the majority will recognise their mistake, but that ultimately they will.
We happily accept that we do not know what will happen tomorrow or the next day. We know however, that whatever anyone says – they don’t know either.
“It is rarely either as good or as bad as it appears in the moment.”
Markets are cyclical (and occasionally hysterical!) The investment philosophy that has proven consistently successful is “be greedy when others are fearful and fearful when others are greedy”.
Understanding the economics
Any asset will be subject to outside influences, be it governmental, social or market. We will assimilate these factors into our analysis and recommendations.
Be what we want to see
Our mission is to enhance our Clients’ financial wellbeing using our research and experience. LWM is a partnership with our Clients and our responsibility is to understand their needs and wishes and without exception to do what is most beneficial to achieve them.