Equity Strategy
Philosophy
Overbrook's equity strategy seeks long-term capital appreciation through a portfolio of companies across all market caps with attractive growth profiles with moderate turnover. We are focused on achieving a leading rate of return for our clients over a long-term investment horizon.
Investment Process
We employ a strategy that uses a value-oriented approach to identify mispriced assets with attractive re-rating potential. Our flexible approach and diverse experience enable us to capitalize on opportunities across sectors and throughout the economic cycle.
What We Look For
- High free cash flow and operational visibility
- High returns on invested capital
- High barriers to entry; durable competitive advantages
- Hidden optionality with solid asset protection
- High-quality disclosure, accounting, and communication practices
- Competent and aligned management teams; optimal capital allocations
What We Avoid
- Consistently unprofitable businesses with low growth prospects
- Disadvantaged competitive situations
- Uncertain regulatory or customer concentration
- Dubious or aggressive accounting / weak disclosure and communication practices
- Management teams with a poor track record of capital allocation and generating shareholder returns
- Complex businesses with a highly uncertain future