Concentrated Small and Mid-Cap Equity

Leading investor in a concentrated collection of outstanding businesses

Strategy Objectives

BBH’s Concentrated Small-to Mid-Cap Equity Strategy seeks to deliver attractive absolute returns over full economic cycles.
Investment goals
  • Achieve strong long-term, after-tax investment returns on an absolute basis
  • Reduce likelihood of permanent loss of capital on any single investment
  • Seek to deliver competitive returns as compared to the Mid Cap 400 and Russell 2000 indices after all fees and expenses, over a long-term period (5+ years)
Disciplined, long-term equity strategy
  • Focus on durable businesses
  • Apply demanding investment criteria
  • Perform multi-faceted fundamental analysis focusing on companies' long-term wealth creation potential
  • Purchase securities at a meaningful discount to estimated intrinsic value
  • Disciplined investment strategy

  • Disciplined investment strategy

    i. Focus on durable businesses
    ii. Apply demanding investment criteria
    iii. Perform multi-faceted fundamental analysis focusing on company’s long-term wealth creation potential
    iv. Private equity approach to public equity investing
    v. Deep fundamental research with strict investment criteria

  • Deep fundamental research with strict investment criteria

    i. Essential products and services
    ii. Secular growth tailwinds
    iii. High customer loyalty
    iv. Sustainable competitive advantages
    v. High levels of recurring revenues
    vi. High returns on invested capital

  • Concentrated portfolio 10-12 investments

    i. Focused on small-mid cap North American and European public companies with market caps generally below $20 billion.

  • Seeking attractive absolute returns over full economic cycle

We take a private equity approach to public equity investing: deep due diligence, limited number of holdings, long term perspective.

Risk Management

We define risk as the likelihood of sustaining a permanent capital loss on any investment, and do not equate it with short-term stock price volatility.

We insist on a margin of safety in every investment. This exists when three risks are mitigated:

  • Business risk
  • Management risk
  • Price risk

We evaluate material environmental, social, and governance (ESG) criteria as part our investment process and risk management framework. Learn More about Our Approach to ESG.

What Makes Us Different?

  • We strive to invest in resilient businesses that can prosper in varying economic settings. Our investment process is not predicated on making macroeconomic projections.
  • We are entirely bottom-up, conducting extensive qualitative and quantitative research, which integrates ESG factors into our due diligence process.
  • “Friendly activism” – with significant ownership interest, we maintain frequent engagement with management.
  • We promote a culture of humility, collaboration, constant learning, and peer review.

With a concentrated portfolio of holdings, we are able to bring a unique level of focus and depth to our research.

How to Invest

Our Concentrated Small & Mid-Cap Strategy can be accessed through a variety of investment vehicles. To learn more please contact a member of our institutional relationship management team.


Niamh Bonus

New York City, NY | USA

Niamh Bonus is the Equity Investment Specialist at BBH and a Senior Institutional Relationship Manager. In this role, Niamh is responsible for overseeing many of the firm’s institutional equity and…  Learn More

Our Team

A margin of safety exists when we believe there is a significant discount to intrinsic value at the time of purchase. Intrinsic value is an estimate of the present value of the cash that a business can generate over its remaining life.

A less favorable ESG profile may not preclude the Adviser from investing in a company, as the consideration of ESG factors is not more influential than the consideration of other investment criteria. Considering ESG factors as part of investment decisions may result in the Adviser forgoing otherwise attractive opportunities, which may result in lower performance when compared to advisers that do not consider ESG factors.

The BBH Concentrated Small & Midcap Equity Strategy was previously called the Small-Mid Cap Equity Strategy.

This communication is for informational purposes only and does not constitute an offer or a solicitation to buy or sell any particular security or to adopt any specific investment strategy. The information herein has not been based on a consideration of any individual investor’s circumstances and is not investment advice, nor should it be construed in any way as tax, accounting, legal or regulatory advice.  Any views and opinions are subject to change at any time.

Strategies are shown without regard to whether they are offered as separately managed account mandates or through pooled vehicles.  Any discussion of or reference to any given strategy herein should not be taken as a recommendation or solicitation of any pooled vehicle which has an investment objective featuring or similar to such strategy.

This material does not constitute an offer or solicitation in any jurisdiction where or to any person to whom it would be unauthorized or unlawful to do so.

Risk Considerations

There is no assurance that a portfolio will achieve its investment objective or that the strategy will work under all market conditions.  The value of the portfolio can be affected by changes in interest rates, general market conditions and other political, social and economic developments.  Each investor should evaluate their ability to invest for the long-term, especially during periods of downturn in the market.

The Strategy portfolio may assume large positions in a small number of issuers which can increase the potential for greater price fluctuation.

Investing in small or medium sized companies typically exhibit greater risk and higher volatility than larger, more established companies.

The strategy may engage in option trading and hedging techniques which may magnify losses and increase the volatility of the fund.

Foreign investing involves special risks including currency risk, increased volatility, political risks, and differences in auditing and other financial standards.


As of June 15, 2022 Internet Explorer 11 is not supported by

Important Information for Non-U.S. Residents

You are required to read the following important information, which, in conjunction with the Terms and Conditions, governs your use of this website. Your use of this website and its contents constitute your acceptance of this information and those Terms and Conditions. If you do not agree with this information and the Terms and Conditions, you should immediately cease use of this website. The contents of this website have not been prepared for the benefit of investors outside of the United States. This website is not intended as a solicitation of the purchase or sale of any security or other financial instrument or any investment management services for any investor who resides in a jurisdiction other than the United States1. As a general matter, Brown Brothers Harriman & Co. and its subsidiaries (“BBH”) is not licensed or registered to solicit prospective investors and offer investment advisory services in jurisdictions outside of the United States. The information on this website is not intended to be distributed to, directed at or used by any person or entity in any jurisdiction or country where such distribution or use would be contrary to law or regulation. Persons in respect of whom such prohibitions apply must not access the website.  Under certain circumstances, BBH may provide services to investors located outside of the United States in accordance with applicable law. The conditions under which such services may be provided will be analyzed on a case-by-case basis by BBH. BBH will only accept investors from such jurisdictions or countries where it has made a determination that such an arrangement or relationship is permissible under the laws of that jurisdiction or country. The existence of this website is not intended to be a substitute for the type of analysis described above and is not intended as a solicitation of or recommendation to any prospective investor, including those located outside of the United States. Certain BBH products or services may not be available in certain jurisdictions. By choosing to access this website from any location other than the United States, you accept full responsibility for compliance with all local laws. The website contains content that has been obtained from sources that BBH believes to be reliable as of the date presented; however, BBH cannot guarantee the accuracy of such content, assure its completeness, or warrant that such information will not be changed. The content contained herein is current as of the date of issuance and is subject to change without notice. The website’s content does not constitute investment advice and should not be used as the basis for any investment decision. There is no guarantee that any investment objectives, expectations, targets described in this website or the  performance or profitability of any investment will be achieved. You understand that investing in securities and other financial instruments involves risks that may affect the value of the securities and may result in losses, including the potential loss of the principal invested, and you assume and are able to bear all such risks.  In no event shall BBH or any other affiliated party be liable for any direct, incidental, special, consequential, indirect, lost profits, loss of business or data, or punitive damages arising out of your use of this website. By clicking accept, you confirm that you accept  to the above Important Information along with Terms and Conditions.

1BBH sponsors UCITS Funds registered in Luxembourg, in certain jurisdictions. For information on those funds, please see

captcha image

Type in the word seen on the picture

I am a current investor in another jurisdiction