Will Dowd - US, small caps, industrials: The 3 building blocks of a 30 year portfolio | Summer Series

Jan 12, 2025

In this chat, Will Dowd, a Partner and Portfolio Manager at Fairlight Asset Management, shares his passion for small and mid-cap industrial businesses. He discusses Fairlight's unique investment philosophy, focusing on under-studied markets. Will outlines how to filter for hidden gems and his approach to building a resilient portfolio for the next 30 years. He also addresses common industry pitfalls that every investor should be aware of, emphasizing discipline and rigorous analysis in investment decisions.

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INSIGHT

The Challenge of Selling

Buying stocks is easier than selling because of the lack of psychological baggage.
Institutional fund managers often struggle with selling, sometimes performing better with random selling.

INSIGHT

Risk Management over Market Timing

Fairlight prioritizes risk reduction over market timing to increase compounding.
They achieve this by carefully valuing stocks and selling when they become too expensive.

ANECDOTE

Selling Old Dominion

Fairlight sold Old Dominion, a trucking company, due to increasing valuation despite positive industry tailwinds.
They highlighted the importance of not overpaying, even for great businesses.

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Will Dowd is a partner and Portfolio Manager at Fairlight Asset Management.

Throughout this Summer Series, we're speaking to 12 accomplished investors and financial advisors to unpack their journeys in finance and the lessons they've learned along the way.

In today's conversation with Will, we're unpacking:

Fairlight's investment philosophy and how they've built an enviable track record
Will's love (and we mean love) of under-studied industrial businesses that can quietly compound
Why Will focuses on small and mid caps
How Fairlight filter the universe to uncover interesting investment opportunities
How Will would build a portfolio for the next 30 years
Will's biggest gripes with the industry that all investors should be mindful of

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Trusted by the Equity Mates community, Viola Private Wealth helps investors grow and protect their wealth. With over $2.5 billion under management, they provide sophisticated investment strategies backed by decades of experience.

To speak to the team at Viola Private Wealth, complete the contact form on their website.

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