The name – Business Owner – reflects the philosophy of investing like an owner in businesses run by an engaged and rational owner with the capital of investors who think like an owner. The business owner philosophy is long term and contrarian. The aim is to profit from opportunities which investors who are burdened with shorter time horizons or institutional pressures cannot pursue. Companies are selected based on four main criteria: Will the company be around and flourishing in ten or more years’ time? Does the company possess a long term competitive advantage? Does the management possess talent and integrity? And is the price attractive? If all the four criteria are met, the fund buys and aims to hold for a long time. Concentration in single companies tends to be high as great companies with honest managers cannot be bought at attractive prices all that often. The fund can invest worldwide to maximize the opportunity set.
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