We use a time-tested process called Choke Point Investing™ as we seek to find and invest in these winning companies. Almost every supply chain has places in time where one or two companies have the opportunity to dominate.
We seek to identify investment opportunities in ubiquitous companies—those that are involved in the transformation of consumer behavior worldwide and the ways people transact purchases, and that have an advantageous choke point position in the supply chain.
Stock selection is based on analysis of factors including: expected market dominance over the next three-to-five years; relative size within their sectors based on market capitalization; steadiness of past earnings and revenue growth; strength of earnings and revenue projections; balance sheet strength; valuation; and levels of cash holdings.
WHAT WE CONSIDER
- Innovations in electronics and information technology have made shopping easier via smart phones and tablets.
- Consumers no longer need to shop at brick-and-mortar stores; they can access products, read reviews, make purchases online and have products delivered to their doorstep wirelessly.