SMID Cap-Strategy

We think the best way to learn about our SMID Cap Portfolio is by reading our quarterly letters (to the right). The letters discuss our investment philosophy, portfolio management, and some of our positions.

In summary, Saga Partners takes a long-term approach to investing in public equities by finding undiscovered “compounder” companies that are stable, profitable, and defensible businesses with rapid earnings growth potential from reinvestment opportunities.  We expect to provide net returns materially above the general market by taking concentrated positions for longer holding periods and having intimate knowledge of portfolio companies and their management teams. Our research process begins with deep qualitative analysis including the company’s competitive position, ability to earn sustained economic profits, and general industry conditions. If a company meets our qualitative requirements, we estimate its intrinsic value and only purchase an investment if current market prices will provide our estimated required rates of return with an adequate margin of safety.

Summary of Terms

  • Goal: Long-term capital appreciation above our benchmark index
  • Benchmark: Russell 2000 Index
  • Concentration: 12-20 securities
  • Management Fee: 1.50%
  • Performance Fee: None
  • Lock-up Period: None
  • Minimum initial investment: $75K

Saga Partners is an independent firm and is not affiliated with a broker-dealer. We do not maintain custody of our clients’ separately managed account assets. TD Ameritrade provides brokerage services related to Saga Partners clients.

Client service is a key focus for our firm. Monthly account statements are provided by TD Ameritrade. Each quarter we write an investor letter which provides commentary regarding the strategy’s performance and outlook.

Feel free to reach out if you are interested in investing or just meeting. We love speaking with people interesting in the markets and investments.