The headline first.
“There is no change to the basics of our investing approach.”
Our investing approach consists of
- Investing only with Promoters / Managers who have the best interests of shareholders at heart and who are competent in the business that they run.
- Investing in businesses where the underlying characteristics are good. These are, limited competition and pricing power which ultimately is shown by high return on capital employed.
- Limited use of leverage in the non banking / financial businesses we own.
- A good potential for growing the business is usually a positive provided it can be done in a capital efficient manner.
- Buying at attractive valuations.
Investors who do not care for the nuances may ignore this post completely.