Introduction

Investment Style

Portfolio Construction

Decision Process

Research

Client Communication

Home

© 2007 Glickenhaus & Co.

Investment Style
We emphasize value when analyzing a potential investment, seeking to identify securities trading below their intrinsic worth. When selecting individual securities, our risk conscious philosophy is characterized by price sensitivity and the continuing search for the best relative value among securities given prevailing and anticipated trends within the economy and capital markets. When we are less than positive about the equity market, we will periodically use fixed-income securities, convertible issues and cash equivalents as alternatives to common stocks (subject to client-imposed constraints). Generally, our cash position is a residual of investment ideas rather than a conscious effort to "time" the market.

We are not wedded to one type of stock but are looking for companies for which Wall Street's expectations are low, i.e. stocks which are temporarily out of favor in the investment community where we see some factor that will, in our view, change the situation. Our portfolio managers/analysts study the fundamentals of securities they feel are undervalued and purchase those whose prices are believed to reflect minimal premiums for the collective expectations of other investors about future prospects. The stocks we purchase tend to exhibit common characteristics, including relatively low price-to-earnings ratios, low price-to-book value, high earnings-per-share growth, excess cash flow, solid balance sheets and high return on equity.