ASSET MANAGEMENT

Investing directly in value-oriented ESG equity separate account strategies utilizing our research process, the Riverwater Three Pillar Approach®.

LONG-TERM INVESTING

We are business owners not stock traders. We strive to hold our investments for the long term. By limiting turnover, we can minimize execution costs, tax inefficiencies and compound after-tax returns.

FOCUSED PORTFOLIOS

We manage focused portfolios that invest between 20-35 names. Studies have shown that focused portfolios generate superior risk-adjusted returns.

RESPONSIBLE INVESTMENT

It is our goal to ensure your assets are invested for the long-term and given the opportunity to align with businesses that enhance our world for the next generation. We are proud to be members of the USSIF and signatories to the PRI Association and CDP Worldwide.

INVESTING BESIDE YOU

The partners at Riverwater believe in eating our own cooking and proudly invest our personal assets beside yours in Riverwater strategies

We create a watchlist of companies that we believe have enduring franchises. The list is created through management meetings, intensive reading of company filings, media sources and screening. Our screens focus on companies that earn their cost of capital and have grown sales over the last 10 years. Companies that are attractively valued are further vetted using the Riverwater Three Pillar Approach®.

PILLAR

ONE

EXCEPTIONAL MANAGEMENT TEAMS

We focus on teams that exhibit a history of making wise capital allocation decisions and are aligned with shareholders.

PILLAR

TWO

SUPERIOR BUSINESS

We look for unique and sustainable businesses with defensible moats allowing them to consistently earn and exceed their cost of capital.

PILLAR

THREE

ATTRACTIVE VALUATION

Companies should be able to consistently generate or grow free cash flow throughout an economic cycle with flexible balance sheets. We prefer to pay either at or below market multiples on earnings.

SMID (SMALL & MID CAP) EQUITY STRATEGY

The Riverwater SMID Equity Strategy seeks to provide attractive risk-adjusted returns versus its benchmark, the Russell 2500 Index. The SMID Cap Equity Strategy holds 20-35 small and mid-sized companies generally between a range of $250mm and $20B in market capitalization.

LARGE EQUITY INCOME STRATEGY

The Riverwater Large Equity Income Strategy seeks to provide attractive risk-adjusted returns versus its benchmark, the Russell 1000 Value. The Large Equity Income Strategy holds 20-35 holdings with market capitalizations generally above $15B. We focus on dividend paying equities that have a history of growing their dividend.