Howard's Strategy - Pattern Recognition

There is a cyclical opportunity, where there is a major dislocation in the market. Then there are secular opportunities, where it's not the economy as a whole but a sector of the economy effected in a way that leads to higher level of distress than normal. And then finally, there's ideosyncratic distress, where there's a specific company that has a very, very unique issue to its business model. We've gotte a lot of institutional knowledge that helps us assess case studies in each of those three different categories.