Mill Street is an alternative investment that offers its partners a stable, high-yield investment opportunity with predictable income and the upside of capital growth. Free from the volatility of traditional equities markets, Mill Street’s returns are derived from real profits, created by real businesses who are operating successfully in proven, sustainable markets with strong fundamentals.
For further insight into the thinking that laid the foundation for Mill Street & Co., please read our Partners’ Letter.
SMART Capital™. Our Approach to Creating Real Wealth.
Our business intelligence extends beyond money management to foster long-term growth for both the companies we invest in and the partners who invest in us. The following principles outline our commitment to our partners and embody our culture of performance with integrity.
1. OUR INVESTORS ARE OUR PARTNERS
We are in the business of creating real wealth.
By investing in Mill Street, our investors join a long-term partnership designed to build lasting financial value. We generate this value by actively managing our investments, by treating the managers of the companies we hold as co-managers of our capital and by maintaining a majority of our net worth in the company as well. This ensures all our partners share equally in any risks – and all rewards.
2. WE DELIVER REAL RETURNS
We are committed to delivering consistent significant returns.
We believe our existence as a company is only justified if we can achieve superior long-term returns on invested capital. Our returns should be greater than the average return on mutual funds, major indices and alternative investments. Similarly, we do not take brokerage fees from our partners. Our compensation is directly linked to our success in achieving our strategic goals, rather than passive management of investor funds.
3. WE INVEST FOR THE LONG TERM
Business is not about short-term gain. We invest for long-term success.
We do not measure success by the size of a given acquisition or the volume of acquisitions in a given year. Similarly, we do not buy businesses for the purpose of selling them at a later date. Although we are not opposed to selling opportunities, our aim is to hold our investments for the long term and avoid making decisions designed to boost short-term gains.
4. WE DRIVE SUSTAINABLE GROWTH
Business owners want to partner with Mill Street.
We strive to deliver above-average returns to our partners. Applying both qualitative and quantitative analysis, we identify companies whose equity value has significant room to grow – and invest in them for the long term. Yet our aim is not simply to realize growth for its own sake. Instead, it’s about working with the managers of the companies we hold to help them meet their business and personal goals – which, in turn, allows us to meet our partners’ growth objectives.
5. WE ENGAGE IN REAL INVESTMENT ANALYSIS
Investors trust our unique approach to evaluating real potential value.
While we pay close attention to earnings multiples, we do not base our valuations solely on financial industry formulas. Rather, we bolster traditional investment analysis with an in-depth examination of a company’s managers, competitive advantages and strategic objectives. By relying on this time-tested investment approach, we are capable of generating the returns necessary to improve the value of our own company – and of our partners’ investments as well.
6. WE ARE FULLY TRANSPARENT
We are committed to best-in-class reporting. Transparent. Accountable. Proactive.
As part of our commitment to integrity, we provide transparent reporting to all our partners by delivering more information than is legally required. Our reports contain detailed information about how each company we’ve invested in is performing, how we’re tracking towards our financial goals and any missteps or mistakes we may have made. In this way, our partners can assess the value of our business and its managers for themselves.