What is a Deep Value Investor? by Royce Funds
Deep value investors have a long-term focus and are not fixated on quarterly earnings. They’re looking for companies with the ability to compound wealth over time.
See the video here.
Since its founding by Will Thomson and Chip Russell in June 2016, the Massif Capital Real Asset Strategy has outperformed all of its real asset benchmarks. Since its inception, the long/short equity fund has returned 9% per annum net, compared to 6% for the Bloomberg Commodity Index, 3% for the 3 MSCI USA Infrastructure index Read More
“I’m a small-cap equity specialist and a generalist. I cover just about every industry. Deep value investors tend to be cheapskates. We’re trying to buy things inexpensively. The old adage about what deep value investors do is we’re trying to buy a dollar for 50 cents.”
“I think the opportunities in deep value arise from the focus that most people have, which is on quarterly earnings. A lot of the irrational things that people do in the stock market arise from the fact that they don’t really know what they own. So they look at the stock price as some kind of signal that they’re doing the right thing or they’re doing something wrong. You get reinforcement from the idea that you’ve done a good thing if the stock is going up and you’ve done something bad