Polen Capital co-portfolio managers Tucker Walsh and Rayna Lesser Hannaway were featured in a recent Business Insider article where they discussed the U.S. Small Company Growth portfolio performance, how they identify growth companies with the ability to compound over the long term, and which stocks they think are set to surge as a result of reopening.
- Walsh and Lesser Hannaway follow a five-part framework known as their “flywheel.” To be an eligible candidate for investment, a company must be uniquely positioned and have a repeatable sales process, robust business model, and effective management team while also investing for the future.
- The pandemic-accelerated digital transformation has led to a redistribution of the enormous power held by big brands and tech giants to smaller companies – especially those that understand how to get their message directly out to the marketplace – to succeed on a more even playing field, according to Walsh.
- While Walsh and his co-manager Rayna Lesser Hannaway welcome the better near-term small-cap performance as a result of the rapid economic reopening, they are much more enthusiastic about the long-term growth of such companies.
Smaller companies now have the ability to scale even quicker as talent acquisition is a lot more available because people are hiring remotely a lot more easily.
Please note that this document is a condensed summary of the full interview conducted by Business Insider.