Underneath the umbrella of value investing lies a variety of techniques that aim to identify mispriced assets. At Prospector, we heavily utilize two approaches in the value investor toolkit that we believe can add value in any market environment: private market valuation (PMV) and free cash flow...Read More
At Prospector, when we evaluate a company our first objective is to assess its downside risk. We do this by looking at the balance sheet first, followed by the cash flow statement, and finally the income statement. This is the inverse of how most equity analysts approach fundamental analysis and...Read More
A question we’re often asked is how, given our consistent focus on the financial sector, we've historically been able to achieve differentiated returns during periods of acute stress in the banking system. There are several factors behind our track record, all of which are a product of our...Read More
We are firm believers at Prospector that active management should not begin with a benchmark. Our bottom-up approach to portfolio construction and our focus on areas of the market where we possess competitive advantages generally produce stock and sector allocations in our portfolios that differ...Read More
Prospector’s approach to equity investing has long been focused on the concept of upside participation and downside risk mitigation. As conservative investors, we eschew flashy names with brilliant growth prospects in favor of high quality, value-oriented stocks that can participate in rising...Read More
At Prospector Partners, we’re winding down the year with thoughts of appreciation, gratitude, and optimism. That’s not to say we were unfazed by the events that contributed to volatility in the markets this past year. However, in the 25 years since founding Prospector Partners, we’ve seen that the...Read More
Flip on financial TV, and you might come across a segment about the so-called death of value investing. After years of outperformance from high-flying and sexy growth stocks, many pundits proclaim a new paradigm for retail investors to pile into. The old school Warren Buffett-style investing...Read More
This blog was originally posted in December 2020, republished with updated data.
Of the many charts illustrating the enormous run-up of growth stocks in the past few years, the chart below may take the cake.
Tesla (TSLA) began 2020 with a market capitalization under $100 billion, and by November 25Read More
One major impact from Russia’s invasion of Ukraine has been to pour fuel on the fire of rising commodities. And, as we are often reminded during crises, it’s difficult to see around every corner, and predict corollary impacts from resulting volatility.Read More
Last week* we reflected on the trillions of dollars of government stimulus and monetary support that has left the United States awash in cash.
The result of all of this has undoubtedly aided the rise in risk assets during the first few months of 2021, and has led to some speculative market...Read More
Posts by Topic
The views described herein do not constitute investment advice, are not a guarantee of future performance, and are not intended as an offer or solicitation with respect to the purchase or sale of any security. Investing involves risk, including loss of principal. Investors should consider the investment objective, risks, charges and expenses of a Fund carefully before investing. Please review the offering memorandum or prospectus of a Fund for a complete discussion of the Fund’s risks which include, but are not limited to: possible loss of principal amount invested; stock market risk; value risk; interest rate risk; income risk; credit risk; foreign securities risk; currency risk and derivatives risk.
Nothing contained herein constitutes investment, legal, tax, or other advice nor should be relied upon in making an investment or other decision. Any projections, outlooks or estimates contained herein are forward looking statements based upon specific assumptions and should not be construed as indicative of any actual events that have occurred or may occur.