Ashfield's Investment Principles

Dedicated to delivering excellent results by focusing on the future.

Each investment strategy at Ashfield Capital Partners reflects our core beliefs about building wealth through equity investing.

The future is worth more than the past.

One cannot invest in where a company has been, only where it is going. No doubt this is why studies show that, when buying, people are less concerned with a stock’s price (relative to any measure of value) than with its potential for appreciation. Growth in earnings per share is the strongest indicator of that potential and therefore the greatest driver of stock prices.

The future IS growth.

Economies and markets expand over time, driven by powerful demographic, social and technological forces that foster changes in consumer habits, increase productivity and generate new opportunities for companies and industries. As they evolve from groundswells to mainstream movements and, finally, create a new status quo, these trends affect economic sectors, industries and companies of all sizes.

The best companies leverage growth trends.

Companies that are involved in the genesis of trends (small- and mid-caps) or successfully build on them (large-caps) often grow earnings faster than their competitors or the market as a whole.

The more intellectual capital applied to the selection process, the better.

A computer can systematically, repeatedly and objectively compare the financial and valuation characteristics of hundreds or thousands of stocks. An experienced investment professional can assess intangibles, such as the mood of the market, or the strength of management and a corporation’s vision, strategy, and ability to execute. A team of experienced professionals, armed with the right computer technology, can do both, creating a more comprehensive understanding of a company's relative merits while providing a valuable "reality check" against the biases in any one person's judgment.

In keeping with these beliefs, we strive to build wealth through an identifiable and repeatable investment process that focuses on the central role of earnings growth and uncovers opportunities through a combination of systematic and fundamental assessment.