Great companies come in different shapes and sizes, with varying strengths and capabilities, but something that stands out as an absolute must across all sectors and industries is a responsible and proactive management team. The actions of those at the top will determine whether a business sinks or swims in its industry – after all, even the best of ships won’t make it to shore without an experienced captain at the helm. This article (link) discusses how strong management can reinforce an investment analyst’s conviction in a stock, and offers six insights into how investors can identify an effective executive team. At WDS, we pay close attention to how a company is run and seek out value-creating leadership, using careful analysis to ensure that our companies are in good hands.
In the attention to details series, we lift the lid on what WDS does behind the scenes to invest well by sharing what we are reading. These are pieces that often articulate different aspects of our philosophy and ultimately our process. Check back regularly for a new article that is worth the read.