MONADNOCK CAPITAL PARTNERS LLC
"Monadnock"
Abenaki derived word meaning
"Mountain that Stands Alone"
Which embodies our independent thinking and approach.
Founded in 2007, MCP aims to add value for our clients leveraging our investment experience and expertise to help clients grow wealth over time.
People -> Philosophy -> Process -> Performance
About Us
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We are a different investment management company that adheres to our strategy which is Highly Selective, Concentrated, Fundamental and Long Term
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100% Employee Owned
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Registered Investment Advisor
People
Investment Team Averages 20+ Years of Experience
Bryan H Krause
Managing Partner
Bryan's entire career has focused on investment management having spent nearly a decade at BlackRock both as an analyst and portfolio manager overseeing a $15 billion equity portfolio consisting of both institutional and retail clients. Earlier he was an analyst on both the technology and industrial teams at State Street Research & Management, which was acquired by BlackRock in 2005.
Charles H Krause
Managing Partner
Charlie founded the firm in 2007, driven by his conviction in a highly selective, long term approach to investing and wealth creation. He leverages his deep executive experience in the manufacturing sector having served as Managing Director of D. D. Bean & Sons for nearly thirty years, and served as President of the Jaffrey Fire Protection Company which was sold in 2001. He is also a member of the Monadnock Community Hospital Investment Committee.
William K Yandow
Partner
Willie joined Monadnock Capital after 20 years as growth research distribution at Alex. Brown, regional manager at Deutsche Bank Securities and part of the team that relaunched the institutional business at William O'Neil +Co. He leverages his broad experiences in investments, business development and his analytical capabilities developed as an engineering early in his career. He is also a trustee at the Carroll School in Lincoln, MA having served as the chairman of the Investment committee and a member of the advisory board at BID Needham hospital.
William F Durkin
Partner
Bill joins Monadnock Capital after 25+ years of financial services experience with leading Institutional firms specializing in growth companies. As a Director at Cowen & Co., a Principal at Piper Jaffray and Schwab Soundview Capital Markets, he has had years of engagements with C-level executives of publicly traded companies and has developed strong analytical skills to identify successful business models.
Bill holds an MBA from Northeastern University and a BA in Accounting from the Isenberg School of Management, UMass Amherst.
Philosophy
Selectivity Drives Performance and Protects Capital
Focused Portfolios
"Our evidence indicates a positive relation between fund performance and managers' willingness to take big bets in a relatively small number of stocks. Concentrated managers outperform their more broadly diversified counterparts by approximately 30 basis points, each month, or roughly 4% annualized."
Fund Managers Who Take Big Bets: Skilled or Overconfident: Klaas P. Baks, Jeffrey A. Busse, and T. Clifton Green March 2006 (Emory University, Giozueta Business School)
Long Term Approach
Wealth creation is maximized by taking advantage of time and compounding returns supported by a disciplined investment process. This approach is both tax efficient and minimizes cost for the investor.
A study by Wotherspoon and Longmeier [2006] of investment manager performance demonstrated that, for a typical active manager, taxes reduced investment returns by 2 percent per year on average. This is due to frequent trading and the resulting short-term capital gains taxes
Leverage Compounding Returns
Client Partnership
We seek to generate returns on our investments to add value for our clients and ourselves. We invest along side our client partners given our conviction in our process and philosophy. We see no stronger statement. Our direct investment capability also eliminates the layered fee structure common in advisor relationships.
We target unique business models that offer differentiated solutions to their underlying customers. This competitive leadership coupled with strong management results in financial strength which our clients can profit from over the long term. We categorize these situations across a spectrum of durable, innovative and opportunistic conditions.
Process
Pursue Competitive Strength & Financial Strength
We target identifying truly compelling investment opportunities that have ample capital appreciation, while understanding the margin of safety. We thoroughly research companies using our proprietary fundamental criteria. We see only a small portion of the market opportunity meeting our requirements for investment. This focus aims to have a high success rate in the positions in which we invest.
Selective Investing
Extensive research to develop the investment case, defined risk parameters, and valuation framework within our universe
Disciplined Process
Return Criteria = +50% to 100% return over 3 to 5 years
Diversified across Sectors & Industries
Varied across the Durable, Innovative and Opportunistic spectrum
M3 quantitative overlay manages exposure
Portfolio Construction
Unique Risk Management
Proprietary quantitative Monadnock Macro Model (M3) overlay to assess risk
Contact Us
We are steadfast in our approach to identify leading investment opportunities and rigorous in our process to construct high quality portfolios for our clients
617-862-2156
