Objective

To consistently outperform the Russell 2000™ and Russell 2500™ Indices over a full market cycle (typically 3-5 years) with less than commensurate risk.

Granite’s investment philosophy is a fundamental and research driven approach to investing in a concentrated portfolio of high quality stocks. Our Small Core Plus Equity strategy views investing as a continuum rather than mutually exclusive growth and value segments. Nearly all sectors, industries and stocks can demonstrate both growth and value characteristics depending on where they are in the economic or business development cycle. Granite is devoted to finding companies with strong management teams and superior business models that can also benefit from catalysts expected to drive gains in discretionary free cash flow, revenue, earnings and returns on invested capital. In many cases these companies have improving fundamentals and are selling below their intrinsic values.

Portfolio Structure

  • Process: Focus on unique business franchises where management strategies for growth or improving business fundamentals will increase intrinsic business value
  • Concentrated: Portfolio typically holds 50 stocks
  • Market Capitalization: Market cap $100 million to $5 billion at time of purchase
  • Diversified: Broad diversification across industries and sectors
  • Low Turnover: Annual turnover between 25-50%
  • Fully Invested: Not greater than 5% cash position generally

3Q 2016 Granite Small Core Plus

Past performance is not indicative of future results. Information presented here should not be considered a recommendation to buy or sell a particular security. Granite Investment Partners, LLC is an independent, registered investment adviser. More information about the adviser including its investment strategies and objectives is available upon request. The material presented here is not financial advice. It should not be assumed that any of the strategies discussed were or will prove to be profitable, or that the investment recommendations or decisions we make in the future will be profitable. Certain tax-managed strategies should not be construed as tax advice; clients or prospective clients should seek tax advice from their tax professional. The information on this website is for informational purposes only.