Crane Asset Management, LLC focuses on investing in companies that we believe have a high degree of potential, over a multiyear time horizon, to grow significantly. We consider an investment we make to be an interest in the ownership of a business enterprise. Therefore, we expect to see our investments increase in value over a three to five year period through each company's skilled management, strong financial position and special competitive advantage.
We apply value disciplines to the universe of growth stocks. We will buy securities when a thorough evaluation of a company's financial condition persuades us that they are trading at a price that is reasonable relative to the growth potential and risk involved. We also capitalize on compelling undervaluations and unique situations and thus attempt to build client portfolios at opportunistic prices.
Our philosophy stresses the identification and selection through fundamental analysis of companies that we judge will produce better-than-average long-term returns. We are willing to be patient when buying into companies we are analyzing as potential investments. As a result, clients may see that the process of building their portfolio might take several weeks from the time investable funds are added.
We generally do not try to "time" the market. We don't believe that it is possible to be consistently successful at timing the market by selling stocks in an effort to avoid market declines, nor do we believe that it is possible to be sure that a market has turned until after a recovery is well under way. Instead, once a portfolio is constructed, we tend to stay "fully invested." We believe this is a superior way to build wealth over the long term because it does not rely on forecasting business and economic cycles, the direction of interest rates or expected rates of return for various classes of assets.
If our consultations with a client reveal that it is appropriate, we will invest a portion of their portfolio in fixed income instruments. We are attentive to each individual client's tolerance for risk, and construct portfolios designed to meet clients' needs.