What Sets Us Apart
1. We are A Money Manager
As a money manager, we are the sole decision maker for your investments.
Furthermore, we engage our clients using a managed account arrangement. This means: (1) The client is always in control of his/her funds. The client opens the account in its name with a brokerage firm. (2) The client gives Conner Management Group only the authority to invest its funds, (3) The client can see his/her investment positions and account balance 24/7.
2. We Manage Concentrated Investment Portfolios
We offer concentrated stock investment portfolio solutions. Simply think of these as stock portfolios like a mutual fund, but with much fewer stock holdings within them.
Concentrated stock portfolios/funds are well known in financial circles. They are just not as widely promoted due to their small number. These portfolios/funds often have as few as 20 or 30 stock selections within them, versus 172 stock selections, the mutual fund industry average.
Here are stories about them from several main stream publications:
We believe that a concentrated portfolio of 30 well researched stock selections can provide diversification while allowing our clients to notably benefit from the out performance on individual names. Arguably, the risk is higher than investing in a typical mutual fund with over 172 positions, but we believe the potential reward is higher as well.
3. PROPRIETARY ALGORITHMS
Through several years of development, CMG has successfully developed its own set of proprietary algorithms that reviews, analyzes, and ranks on a weekly basis over 6,000 US listed stocks, covering over 90% of the market's traded value. The guiding principles behind our algorithms are to identify opportunities ranked by (1st) value and (2nd) growth. We have reviewed years of research and white papers to explore the conclusions drawn of previous both value and growth studies. We are aware of what has been explored publicly and continue to be confident in our differing approach.
Every week, as projected sales and earnings for a stock changes and adjusts, as a stock's price increases or decreases, we are there immediately quantifying and ranking the opportunity. We identify target prices and time horizons for all opportunities ahead of time, then track the positions accordingly.
We only consider stocks for investment of well established companies with at least a 5 year history of trading on the major US exchanges. We do not invest in IPO's (initial public offerings), illiquid stocks (stocks with low daily trading volume), nor penny stocks.
4. VALUE INVESTING DRIVEN
We are a staunch believer in value investing. It is the #1 driving principle for all of our investing decisions. We rely on multiple valuation metrics to confirm and guide assessments of past performance and future outlook. While value investing is often considered to be one of many styles of investing, its principles are those most in alignment with the practices widely used by large corporate investors and institutional-level money managers - sound economically justifiable decisions based on the past and the best available estimates of future performance.
When value investing is performed well, it allows an investment manager to provide its clients with a cushion of safety in the event of unexpected widespread economic pullback and when fully understood, allows a manager to reasonably project a target price with time line.
A good value investment manager thoroughly understands the differences between true cash generation and at times misleading accounting measures, which allows him/her to consistently identify unrecognized investment opportunities.