A Disciplined Approach to Portfolio Management

A long-only investment fund with an absolute return orientation.

ABOUT

Marrello Capital focused on generating absolute returns for its partners through a concentrated long-only investment strategy skewed towards investments in public companies with smaller market capitalizations. Our investment strategy incorporates the tenets of both deep-value and growth investing to identify securities that offer reasonable prospects of asymmetric returns

STRATEGY

Margin of Safety

We prioritize downside protection over all other considerations. If there is meaningful risk of permanent capital loss, we do not invest.

Concentration

We limit ourselves to 8-12 positions at a given time, ensuring that we only invest in our best ideas.

Low Turnover

We employ long-term holding periods to capitalize on pervasive investor impatience, facilitate compounded returns, and minimize tax drag.

Power Law

A small number of investments will have a disproportionate impact on returns over time; we therefore limit ourselves to investments that are truly capable of making a difference.

Game Selection

We focus only on inefficient market segments where competition is scarce and opportunities are abundant.