19 Nov

EPIQ Blog: Attitude and Gratitude

Attitude

Our world is a fascinating place. One only needs to watch the news, scan social media threads or read a periodical for validation. Although the quantity and rate at which we attempt to process information borders on incomprehensible and, unfortunately, because of limited time and the nature of confirmation bias, many tend to seek out only sources they find agreeable.

One of the subjects that we find interesting is the resilience of global economies in a time of sluggish growth, uncertainty and a malignant population of hateful zealots that are certain to end up on the wrong side of history. The recent events in Paris, Beirut, Egypt and Israel to reference just a few (http://bit.ly/1TOEJ8l) make for a degree of concern that is challenging to quantify with analysis or emotion. While we all feel the impact of the events we witness, the focus must remain on the issues that are important and value the things that matter.

As it relates to our investing, we monitor economic conditions and the companies in which we are invested and grow frustrated with a temporary decline in value amongst any position. We understand that this is going to happen regardless of investment philosophy. However, what we find valuable is the ongoing discussion about the long-term prospects of what we own and the investment's ability to deliver results. Although we strive to consistently invest in a measured and thoughtful manner, we admit our mistakes. What is difficult to avoid is the knee-jerk reaction based upon a market price that may be wildly mispriced in the near-term.

Our attitude remains optimistic but with an eye toward caution. We join the current majority and expect the Fed Funds overnight-interest rate to increase in December and feel that this and potential future increases have already been priced into the market. Cash remains a valuable position for its defensive characteristics and allowing for the ability to capture opportunity. With the notable exception of today's storied stocks (Amazon, Netflix, etc.), valuations as a whole are right in line with long-term trends and provide for constructive albeit modest returns for risk oriented investors. Certain segments that have been maligned this year such as emerging markets, energy and high yield may offer better value today. Looking out longer term, we live in an age of incredible innovation that will provide for an amazing tomorrow, in spite of the issues of the day.

Gratitude

With the holiday season upon us, now is an appropriate time to express our gratitude. EPIQ Partners recently celebrated our three year anniversary and greatly appreciate our partners, old and new. Given our belief in inspiring young minds and supporting creativity and innovation in our community, EPIQ Partners has made the lead gift to a Kickstarter campaign launched by Leonardo's Basement to make improvements to their new workshop in South Minneapolis.

https://leonardosbasement.org/about/mission-values/

We plan to host an EPIQ Discovery event at Leonardo's Basement in 2016 for all the creative learners in our sphere, young and old. Be on the lookout for additional information in future postings.

Happy Holidays and peace to all. Please contact us to continue the conversation.

Newsletter

Contact Us

2919 Knox Avenue South, Suite 200
Minneapolis, MN 55408

612.843.4800 office

EPIQ Partners is committed to building long-lasting relationships

Our managing partners believe client intimacy and professional advocacy are what makes this firm special and different from other investment firms. We bring a partnership approach to all of our relationships.

We offer a retainer-based, fee-for-service model to ensure the highest level of transparency and alignment.