We do not view the company itself as the ultimate owner of our business asset but instead view the company as a conduit through which our shareholders own assets.

— Warren Buffett

We view ourselves as stewards of shareholder’s capital and believe by working constructively with company management and the board we become a catalyst for positive change.

  • In public companies, the shareholder’s voice gets diluted due to distributed ownership and frequent shareholder turnover
  • As a result it is common for management and Boards to begin placing the “interests of the company” (growth imperative) before the interests of the owners (return on investment)
  • Owners often want to participate in the decision making process but don’t have a vehicle to do so. Engaged Capital becomes the voice for the shareholders.
  • We bring an owner’s point of view to the governance and decision making process in a helpful, constructive way through a combination of:
    • Concentrated ownership (typically one of the largest shareholders)
    • A long-term perspective (2-5 year holding periods)
    • Deep research and value-added insights for increasing the company’s worth
    • We typically seek board representation to ensure management and boards act on behalf of all shareholders in a timely manner