Strategies

Classic, long-only, value

Small Cap

Small Cap FOCUS

Micro Cap

CSC Partners


CSC Partners is a concentrated Private Equity in Public Markets strategy that builds upon our principal’s 30 years of experience in small and micro cap equities. Companies at the lower end of the market cap spectrum can be chronically under-resourced, and this strategy aims to bring our capabilities and resources to bear for the benefit of all shareholders and the Partnership.

The portfolio consists of securities in public companies where we can be impactful in unlocking value through our engagement with Boards and management teams or through our participation as Board members. We are not Activists with a capital A, but active investors whose goal is to create value by helping these companies fulfill their potential or find the right home for the business through a strategic transaction.

Our Process

The best performance records in the investment industry have been created by small teams of value-based analysts, as decisions are made by those doing the actual research, and work and time value are not wasted through committees and laborious people management processes. For extreme detail on the CSC process, visit our comprehensive FAQ.

1. Generate Ideas

  • Screen for statistically cheap stocks (Graham)
  • Screen for good businesses (Buffett)
  • Screen for behavioral anomalies / companies in transition
  • Collective investment experience / contact network / out of office experiences / obvious headline issues

2. Qualify

  • CSC analytical spreadsheet
  • Digest public company information
  • Does it appear to be either: a statistically cheap stock that provides enough margin of safety (Graham) OR a good business at a reasonable price (Buffett)

3. Deep Dive

  • Team tackle by generalists — avoid expert fallacy
  • Socratic method: long vs. short
  • Qualitative and quantitative analysis:
    • Business
    • Value
    • People

4. Decision

  • Margin of safety
  • Sufficient risk-adjusted upside
  • Industry concentration and subtle risk correlation
  • Full or half position
  • Decision process detailed and recorded

Final decision is made by the PM.

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