Horizon Kinetics Account Access Contact Investment Philosophy Fundamental Investment Approach Our long-term, value-oriented investment philosophy remains unchanged since the founding of our Firm in 1994. Our fundamental investment approach seeks to capitalize on the long-term price inefficiencies that can be created by the collective, short-term focus of the markets. We believe that an “equity yield curve” exists, much like the commonly accepted debt yield curve. Long-Term Opportunity The further out the potential investment reward, the steeper the equity yield curve will be. Events occurring three to five years in the future offer little utility to the average portfolio manager. Over the short term, a company’s stock price is influenced by many factors and can fluctuate significantly relative to the long-term value of the company’s business operations, as measured by its book value and return on capital. We seek to identify these resulting long-term pricing anomalies to generate unique, above average returns. Acquiring investments at a high discount rate provides a reduced chance of losses. At a minimum, we expect to earn the underlying businesses’ return on capital over time. We will evaluate a company’s capital structure, looking for what we believe to be the most attractive securities prior to considering a company for investment. Read more about the Equity Yield Curve. Predictive Attributes We believe dynamic unconventional thinking is required to find successful long-term investments. Therefore, our investment team avoids relying solely on conventional descriptive attributes and places greater emphasis on predictive attributes that are verifiable but not always readily quantifiable.