Alpine Saxon Woods Leading Edge Strategy

Overview

The Leading Edge Strategy is a structured approach designed to help clients achieve long-term growth by targeting SMID cap companies with strong market positioning and future potential. The focus is on identifying businesses that either hold a dominant share in their respective industries, possess sustainable competitive advantages, or are developing disruptive technologies that could reshape their markets. Additionally, the strategy prioritizes companies with a clear outlook for continued revenue and earnings growth.

Portfolio Construction

• Stocks with liquidity
• Normal position size 3% to 5%
• Normal number of holdings 30 to 50
• Limit security concentration to no more than 10%
• Limit sector exposure: typically 25% or 1.5x the benchmark, whichever is greater
• Typically fully invested
• Review quantitative risk management statistics in order to know where and in what form risk exists

Risk Controls

Position Review

• Review investment thesis if stock declines 15% from initial purchase price

Sell Discipline

• Change in fundamentals
  
  • Original investment thesis has changed
  • Catalysts no longer exist
  • Operating health deterioration
  • Financial health deterioration
• Valuation
  
  • Stock reaches valuation target
    
• Diversification
  
  • Individual security limits
  • Sector limits