Arcadia Investment Management’s Investment Philosophy: Over the long-term, portfolios populated with Quality Growth stocks enjoy higher returns and lower volatility than the broad market indices.

“Quality Growth” Defined

Our investment philosophy deeply influences the Investment Process we employ to accurately evaluate and measure a company’s fundamentals. Our philosophy relies on identifying those companies which exhibit the characteristics of what we call “Quality Growth.

While we understand that “quality” is inherently subjective, Acadia Investment Management believes that Quality Growth companies should exhibit the following characteristics:

1. Consistent history of revenue and revenue-driven earnings growth;
2. Catalysts for future growth;
3. Leading market share;

4. Strong balance sheets; and
5. Substantial ownership by company management

Rationale for our Investment Philosophy

While no investment approach is foolproof, Arcadia Investment Management believes our approach is the most reliable because it is grounded in metrics that are tangible. measurable. and reasonably predictable. Because the markets are often short-term oriented, our Quality Growth approach allows for a reasoned, defensible basis for assessing the future prospects of a company, and then assigning a reasonable value to its stock.

Philosophy Influences Process

Arcadia Investment Management’s team scours the investable universe for companies with a proven, attractive history of delivering revenue and earnings growth to shareholders on a consistent basis. While past performance may be suggestive of a company’s future prospects, the link between the two is often tenuous. As such, our investment team requires that a Quality Growth company have catalysts in place to sustain its performance for the long-term. Such drivers may include:

1. a unique revenue source;
2. an expanding market or growing market share capture; or
3. industry consolidation.

Key to how our Investment Philosophy informs our Investment Process is how accurately the investment team can quantify the sustainability of a company’s future growth prospects.

For more on Arcadia Investment Management’s Investment Philosophy, please Contact us .