Cullen Philosophy Our investment philosophy is one we call the Basic Value Strategy and is based on time-proven methods of Fundamental Analysis. We adhere to this approach with all of our clients and in all aspects of our business, including fee-based investment advisory services and traditional brokerage relationships.In our Fundamental Analysis, we seek securities that are selling at prices that are attractive in relation to their sales, book values, rates of growth, returns on equity and financial strength. We also look for high quality management that has demonstrated a superior efficiency in running the company.Within this endeavor, we focus our efforts on diversifying over a list of 20-40 companies. We also look for special situations that have caused a security to become undervalued, and where we believe there is opportunity for the issue to increase in value as circumstances unfold.This investment strategy is long-term in design. Our strategy for selling stocks also uses Fundamental Analysis to determine when a stock has become either overvalued or is fairly valued and does not appear to offer above average return potential going forward. While our positions are typically held for 3 to 5 years, we may begin selling a security if the price reaches a certain point above our original purchase price, or if deteriorating circumstances no longer make the security an attractive holding. This value approach pervades all aspects of our business and is applied not only to the selection of individual stocks and bonds, but also to our efforts in choosing and recommending open-end mutual funds, closed-end funds, and any other investment vehicle.More than any other criteria for successful investing we stress patience and discipline. Our experience has proven to us that the Basic Value Strategy, applied methodically over time can not only produce consistent and attractive rates of return, but can also help to lessen volatility and therefore preserve capital in time of market declines.