We are long-term investors seeking outsized results and a low probability of impairment

Zorea follows a fundamental, research-intensive, concentrated strategy. We invest in a portfolio of 8 to 15 investments – mostly public equities – with an expected holding period of 5+ years.  We value businesses on expected long-term cash flows and we only buy when there is a large discount between the purchase price and our estimate of Intrinsic Value.

With our “Water the flowers and pluck the weeds” approach to portfolio management, we believe we create very attractive risk-reward payoffs at the portfolio level. These payoffs, when grouped, decrease the probability of loss over a market cycle while maintaining an attractive expected return. 

At Zorea risk is not volatility, risk is: (1) impairment of capital over a multi-year period and (2) opportunity cost. We are very focused on understanding and mitigating risk. Conversely, we are not focused on mitigating short-term fluctuations. We care about the destination and are prepared for both positive and negative environments.