We believe this strategy of buying world class companies with secular growth and with exceptionally strong balance sheets, that can withstand sudden, adverse changes in operating environments will provide the best long-term results throughout economic cycles; and while the values may fluctuate from time to time, they will typically manage through the cycles and be the first to rebound from market fluctuations. We look to invest alongside what we believe are proven management teams with multiple pathways for long-term growth. We endeavor to prioritize companies that have an understandable vision of growth opportunities.
For each company under consideration, historical, current, and future cash flows are analyzed with an emphasis on measuring the company’s ability to generate excess free cash flow that it can deploy to fund growth or return to shareholders.
Eos takes a holistic approach to managing risk by investing in highly liquid securities with what we believe have defensible business models and strong balance sheets while also evaluating each position’s impact on the overall risk profile, liquidity, sector, and geographic exposure. Our portfolio is built to hold positions during turbulence and is positioned to add to our holdings in market drawdowns.