Patrick N. Sommerfield, President, CFA, CIO
A stock is one of the few things we know of where the more expensive it gets, the more attractive it seems to be, to most investors. Our approach is to find quality investments for our clients when they are at a discount to their intrinsic value.
While it is impossible to predict future investment performance, it is possible to do analysis of stocks and bonds and real estate to sum up whether the business that is being purchased appears solid. With a well-researched estimate of value, one can buy at a discount to improve the opportunity for a positive outcome, and to minimize investment downside. This is the discipline we follow and the opportunity we seek for our clients - to purchase good businesses on sale.
There are times this discipline can produce a contrarian result: we tend to become cautious when others are more euphoric, and we sometimes find ourselves more interested in certain types of investments when the crowd has decided they are unattractive. Sticking to this discipline year in and year out is what gives us the highest possibility of achieving our clients' investment goals.
Our Investment Committee meets regularly and reviews investment models, fund information, analysis and performance, the macro economy and other matters. Feedback on the economy and on the market environment from our perspective compared to other research resources prompts and challenges our own investment thinking, so clients benefit from ongoing intelligent input from our team and outside resources that have philosophies aligned with ours.
Everything we do at PJS Investment Management is to enhance a client’s success as an investor, so that they can reach their financial goals.