And you may not be either. If you’re looking for a compelling alternative to passive investing, read on.
Active Management is more than just an investing style. It’s a philosophy that shapes future return expectations. At Miller Value Partners, we’re active managers with a goal to grow long-term wealth by beating the market. And here are the ways we approach doing it.
Managing an investment portfolio is an optimization challenge for our long-term, market-beating goals. When a hard constraint (such as an asset type, class or size) is placed on an optimization problem (portfolio) in a nonlinear environment (markets), you risk the return potential of the output.
That’s why Miller Value Strategies have the maximum flexibility allowed under regulations to find and invest in what we believe will help us achieve our objective.
Each phase of the Investment Process represents an opportunity to gather, process, and act on information. In a broadly efficient market, available information is priced in - meaning that we can make real-time assessments of how the market processes information.
If we’re going to beat the market, we need to think and act differently. We look beyond traditional finance and economic metrics to understand a multi-faceted view of intrinsic value.
Simple in statement. Hard in practice. But necessary if we’re going to generate long-term wealth.
Value investing is core to our investment philosophy. Our disciplined approach focuses on identifying securities trading at a discount to what we believe is their intrinsic value. We have to understand the factors that impact the path to achieving that value. And the most important piece is time. Rome wasn’t built in a day, but build it right and it can stand for millennia.
