Conner Management Group

Investment Management For Modern Times

Conner Management Group is a registered investment management firm based in Pearland, Texas, serving the Greater Houston area and other clients worldwide.  We are a professional money manager that provides wealth management services using our proprietary growth and value based software.  Our algorithms review, analyze, and rank over 6,000 stocks every week.  Additionally we publish a podcast highlighting the top stocks to buy now. Our podcast is branded under the name The Best Stocks To Buy and can be readily found on the major podcast platforms.

What Sets Us Apart

1. A MANAGED ACCOUNTS SOLUTION PROVIDER
2. Concentrated Investment Portfolios
3. Value Investing Driven

4. PROPRIETARY ALGORITHMS
5. SERVICE EXPERIENCE
6. Risk Management


1. A Managed Account Solutions Provider

As mentioned in the Services section, great benefits of the managed accounts solution arrangement are: (1) you retain custody of your funds - you can readily access your account any time... because it is literally always YOUR account, (2) you give CMG ONLY the authority to invest your funds - nothing else, (3) you can see the up to the minute performance of your account at any time you desire, and (4) you can request basic modifications to your strategy - easily avoiding exposure to certain stocks if you so desire.

 

 

2. Concentrated Investment Portfolios

We offer concentrated stock investment portfolio solutions. Simply think of these as stock investment 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:

Market Watch       Lazard         US News & World Report


3. 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 and 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 timeline.

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.

 

 

4. 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) momentum.  We have reviewed years of research and white papers to explore the conclusions drawn of previous both value and momentum studies.  We are aware of what has been explored publicly and are confident in our differing approach. 

Every week, as projected sales and earnings for a stock changes and adjusts, we are there immediately quantifying and ranking the opportunity.  Every week, as a stock's price increases or declines, we are there immediately quantifying and ranking the opportunity.

Our algorithms start with individual stocks, giving us a bottom up approach that rolls into a comprehensive view of the stock market as a whole.  Our approach requires us to determine and document a well researched target price before we enter a position, providing us a benchmark to measure an investment's position against over time. Furthermore, the use of our algorithms, allow us to quickly identify over-reactions to financial news. Consequently, we believe we can identify great buying opportunities, as well as comfortably and confidently exit positions where over-exuberance has taken over.  

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.

Impressed?  We are, and hope to make you at least equally impressed as well.  As described in our Strategies Section we offer several strategies that can be chosen on a stand alone or combined basis to serve the differing risk appetites of our clients - all relying on slight modifications of our core algorithms.

We are a firm believer that value investing is a sound and proven method for safely growing investment portfolios.  We have also come to believe that combining a momentum strategy with a value strategy can yield even greater returns.

 


5.  Service Experience

In addition to having an exceptional set of algorithms and risk management methods in place for managing your investments, we have taken steps to give you the option of a more intimate relationship with the manger of your money.  No more, simple cold monthly or quarterly statement.  We now live in the age of the internet. The cost of differing levels of communication has plummeted to near-zero in many cases.  For that reason we believe you should have the option of having better than today's typcial communication with direct manager of your investments. 

We are surprised investment clients do not receive a more personalized level of service. After all, is it really asking too much to (1) know the names of the individuals - not just the company - responsible for your portfolio's performance, and (2) know at least the general reasons behind last quarter's performance? Wouldn't you at least would like the option of hearing and knowing the general thoughts of the person managing your investments.  If markets hold individual CEO's accountable to the performance of a company, shouldn't you be able to hold an individual accountable with your money as well? We think so.

While it is certainly not feasible for a sizable money management firm or mutual to address individual investors's about his/her's personal account performance, we do believe that it should be fairly easy to comment on the high points of a particular strategy each quarter - preferably by video, or at a minimum by newsletter.  If you had a few good years with a particular manager, it would be nice to readily know that the same person continues to be responsible for your investment decisions or has left the firm.

At CMG, each quarter we will prepare a presentation for each of our strategies bringing to your attention the noteworthy items.  Investments that performed better than expected and investments the performed less than expected, as well as just noteworthy company news.  We will provide this in a consistent standardized format for your familiarity and convenience.

Additionally, we provide our clients with our free electronic weekly newsletter.  The newsletter contains links to articles and videos to provide market news, market education, as well as a quality stock tip. 

 

6. Risk Management

Having a systematic approach and understanding of what drives a company's stock price plays well into establishing a solid risk management program.  Since our driving principles are valuation based, we track relevant valuation related metrics weekly, while monitoring portfolio pricing and related news items daily. We estimate a target price with timeline for each of our investments before we take an investment position. We subsequently regularly track against our initial target price and adjust our positions if prudent.