Towle & Co.

Overview

Towle & Co. is an independent investment management firm specializing in long-term value investments in small and mid-cap U.S. companies. Founded in 1981 and based in Denver, Colorado, the firm manages concentrated equity portfolios of undervalued companies, aiming for long-term capital appreciation. Towle & Co. is a registered investment adviser serving institutional investors, family offices, advisors, and high-net-worth individuals. The firm remains privately owned, with employees investing significant personal capital alongside clients to ensure full alignment of interests. Towle & Co.'s investment philosophy centers on long-term, intrinsic value investing, focusing on out-of-favor, underpriced businesses. The firm employs a process-driven assessment evaluating each company's earnings capacity, history, capital structure, governance, management, and industry. Towle & Co. emphasizes a disciplined and patient approach, willing to hold investments until undervaluation corrects and remaining steadfast during market volatility. The firm's flagship strategy is the small-cap value strategy, focusing on companies trading at deeply discounted prices. This strategy is available through separately managed accounts and an ETF. Towle & Co. has a track record exceeding four decades, with annualized net returns of 28.1% over the past three months, 26.6% over the past year, and 17.8% over the past three years. The firm's portfolio includes companies in sectors such as industrial manufacturing, distribution, transportation, energy, consumer products, and financial services. Towle & Co. is committed to a high-conviction value investing approach, aiming to uncover opportunities that others overlook, with the expectation that in time, stock prices will recover as fundamentals improve. The firm's culture is grounded in humility, independence, responsibility, and evolution, fostering a collaborative approach that enhances decision-making and provides a competitive advantage. Towle & Co. is a fiduciary, acting in the best interests of clients, and does not receive compensation for selling securities or investment products. The firm is registered with the U.S. Securities and Exchange Commission under the Investment Advisers Act of 1940 and has no disciplinary events to report. Towle & Co. provides detailed information on its investment strategies, risk factors, and cybersecurity measures, ensuring transparency and trust with clients.

Investment Focus

• Minimum initial investment of $3,000,000 for separately managed accounts, which may be waived at Towle's discretion.