Hope In Adversity & Caution In Prosperity

Hope In Adversity & Caution In Prosperity by Evan Delaney, Burgundy Blog

Quality-value investors are hopeful in the face of adversity and cautious in times of prosperity. We look to buy high-quality securities that have been unjustly beaten down by the market due to some short-term affliction, with conviction that the value of the underlying companies will be recognized in the market once a recovery takes place.

Our investment philosophy often runs contrary to market trends and keeps us level-headed through the various stages of the market cycle. In the recent prolonged bull market with valuations soaring high, we have been more cautious concerning our decisions to buy new companies or add to existing holdings. Over the past few...