About Us
Philosophy


Horizon Kinetics' Investment philosophy remains unchanged since the Firm was founded in 1994. Our fundamental investment approach capitalizes on the overwhelming need for investors, predominantly professional investors, to achieve short-term results. This collective, short-term focus can create long-term price inefficiencies, because rewarding events and outcomes, even if visible and of large magnitude, that are 3 to 5 years in the future have little utility to the average manager. This is one mechanism by which ignored and under-analyzed securities are created. We seek to exploit the resulting long-term pricing anomalies and unique opportunities in order to generate above average returns.

Extending the Time Horizon
Superior long-term wealth is created by investing in companies whose present market valuations ignore their long-term potential. Horizon Kinetics' portfolio returns are driven by the long-term returns on capital of companies' underlying business operations rather than the short-term timing of purchases and sales.

Investing as a Social Science
A thorough understanding of social sciences (e.g., History, Economics, Philosophy, Sociology, etc.) provides valuable context and perspective for investment decisions. The industry's abundant use of emotive words and focus on short-term results can lead to behavioral biases and sub-optimal, even irrational decision making.It is, after all, a market place, and markets are a social construct.

Balancing Qualitative & Quantitative
Successful investing requires the integration of the qualitative aspects of social sciences with the logical reasoning and mathematical abstractions of physical sciences. The near limitless amount of quantitative data available in financial markets has limited value without proper historical perspective, social context and fundamental analysis.

Horizon Kinetics LLC 2016