A Conversation with Mary Throop & Mark Ellis

Summer can be full of surprises. How do you manage your portfolio to mitigate unexpected market developments?

Mary Throop, CFA Partner, Summerhill Capital Management: We operate in an absolute performance world and our number one rule is “do not lose money." So we use cash when stocks are looking overpriced or there are increased risks in the market, be it geopolitical or uncertainty around global economies and markets. Generally we are provided with lots of opportunities in September to deploy that cash back into the markets at much better prices.

Mark Ellis, President, CIO, Noble Bay Asset Management: Because some market sectors experience reduced trading volumes during the summer, we make sure to reserve cash to capitalize on any price discrepancies that may arise. Quality companies continue to thrive in the summer months despite potential declines in their stock prices.

What book(s) are you looking forward to reading most this summer?

Mary:

• What This Comedian Said Will Shock You 

• The Man Who Solved the Market: How Jim Simons Launched the Quant Revolution 

Mark:

• Poor Charlie’s Almanack