"We Are Long-Term Greedy, Short-Term Bankrupt"
Dear Limited Partners,
There is an old saying on Wall Street: be long-term greedy. We have taken this to heart. We are extraordinarily greedy, over the long term. The short term, regrettably, is where the bankruptcy lives.
This year three of our largest holdings filed for various flavors of insolvency. We view these not as failures but as "liquidity events," in the sense that the liquid drained out of them. The "long term" thesis remains fully intact, mostly because there is now nothing left to threaten it.
We continue to believe that patience will be rewarded. We have been patient for fourteen years. The reward is, we are confident, immediately around a corner we have not yet located on the map, which we also cannot find.
Greedily over the long term, broke in the meantime,
Chadwick "Chad" Burnsworth III
Managing Partner