What is Breach Inlet?
Chris Colvin founded Breach Inlet Capital in 2015. He chose our namesake, Breach Inlet, because this is where he grew up (and near where he recently relocated). Breach Inlet also offers interesting parallels to equity markets and investing.
More specifically, Breach Inlet is the waterway that separates Sullivan’s Island and Isle of Palms in Charleston County, SC. It appears easily navigable for swimmers, but sweeping currents from every direction result in a constant and extremely dangerous riptide. Much like the equity markets, Breach Inlet is a masterful place of deceptive beauty appearing calm on the surface yet risks abound underneath.
While growing up near Breach Inlet, Chris learned to read tide tables that predict the timing of tides and tidal ranges (difference between high and low tide). Due to gravitational forces from the Sun and Moon, tides are constantly changing. Just like studying where a tide may be in its transition from low to high, investing is similar in terms of finding the right entry point. Also, tides coupled with other hydrodynamic processes lead to coastal beaches continuously evolving like companies in the equity markets.
Why Breach Inlet Capital?
Since inception in 2015, our strategy has remained consistent: to deliver compelling risk-adjusted returns to our investment partners while prudently managing risk.
Our namesake is a constant reminder about market misperceptions and the evolution of public companies. We seek to capitalize on these dynamics. Carefully crafted by our investment team, our research-intensive investment process results in a concentrated portfolio of undiscovered and mispriced small cap equities. Each of our portfolio companies is thoughtfully-chosen based on its unique value proposition and evolution. We have a distinct focus on identifying transformative changes, which serve as catalysts to drive future prices movements.
For our Long positions, we want to invest when the tide is rising (i.e., the company’s outlook is improving) to give us a clear pathway toward the top. For our Shorts, we want to enter when the tide is falling (i.e., the company’s prospects are diminishing) in hopes we can ride it down.
Breach Inlet Capital forms investment partnerships with individuals and institutions who seek to invest in a unique investment strategy targeting small cap stocks. We are not interested in building a “product”. Rather we are interested in forming meaningful partnerships with the shared goal of delivering attractive long-term returns.
Chris Colvin, CFA
- Portfolio Manager at Freeman Group (family office), 2011 – 2015
- Senior Investment Analyst at Highland Capital Management, 2007 – 2011
- Investment Banking Analyst at Stephens Inc, 2005 – 2007
- BS in Business from Wake Forest University
David Emmel, CFA
- Vice President at Friedberg Investment Management (RIA), 2016 – 2017
- Equity Analyst at Lafitte Capital, 2008 – 2016
- BBA in Finance and Accounting from University of Texas at Austin