Concentrated, Long-term Investing In Exceptional Businesses
Welcome to Broad Run Investment Management
Our mission is to compound our clients’ capital at a superior rate with prudence over time.
To do this, we use fundamental research to identify durable, high quality businesses whose long-term growth prospects are undervalued by the market. Such opportunities are rare, so we concentrate capital in our highest conviction ideas.
We are an independent, employee-owned firm located near Washington D.C. Broad Run was founded in 2012, and our principals have been working together since 2004 applying the same investment approach throughout.
We manage approximately $915 million (as of September 30, 2024) for clients including endowments, foundations, family offices, and others with long-term investment horizons.
Brian Macauley co-founded Broad Run in 2012. Prior to that Mr. Macauley served as a Portfolio Manager at FBR Asset Management (“FBR”), which he joined in 2009. Prior to joining FBR, Mr. Macauley served as an Analyst at Akre Capital Management (“ACM”), which he joined in May 2003. Prior to joining ACM, Mr. Macauley held research analyst positions with Credit Suisse First Boston and Wheat First Union.
Mr. Macauley holds a BS in Commerce from the University of Virginia.
David Rainey co-founded Broad Run in 2012. Prior to that Mr. Rainey served as a Portfolio Manager at FBR Asset Management (“FBR”), which he joined in 2009. Prior to joining FBR, Mr. Rainey was with Akre Capital Management (“ACM”) since 1998. During his time at ACM, he served in various roles including Senior Research Analyst, Separate Account co-Portfolio Manager, and CCO. Prior to joining ACM, Mr. Rainey held investment and analysis positions with the Federal National Mortgage Association (“Fannie Mae”), the Student Loan Marketing Association (“Sallie Mae”) and with Wheat First Securities.
Mr. Rainey holds a BS in Commerce from the University of Virginia and an MBA from Duke University.
Ira Rothberg co-founded Broad Run in 2012. Prior to that Mr. Rothberg served as a Portfolio Manager at FBR Asset Management (“FBR”), which he joined in 2009. Prior to joining FBR, Mr. Rothberg served as an Analyst at Akre Capital Management (“ACM”), which he joined in November 2004. Prior to joining ACM, Mr. Rothberg was an Analyst at Ramsey Asset Management.
Mr. Rothberg holds a BS in Finance and Accounting and a BA in Economics from the University of Maryland.
Bryan Adkins joined Broad Run in 2013. Before joining Broad Run, Mr. Adkins served as Assistant Vice President of Investment Operations at The Edgar Lomax Company, which he joined in 2006.
Mr. Adkins holds an MBA and a BS in Mechanical Engineering from Virginia Tech.
Jeff Kinney joined Broad Run in 2015. Before joining Broad Run, Mr. Kinney served as an Investment Performance Analyst at Cambridge Associates, which he joined in 2011.
Mr. Kinney holds a BS in Finance from the University of Delaware.
Jeff Kinney joined Broad Run in 2015. Before joining Broad Run, Mr. Kinney served as an Investment Performance Analyst at Cambridge Associates, which he joined in 2011.
Mr. Kinney holds a BS in Finance from the University of Delaware.
Claire Spirtas-Hurst joined Broad Run in 2022. Ms. Spirtas-Hurst holds a BA in English Literature and Philosophy from Durham University.
INVESTMENT TEAM
Brian Macauley, CFA
Managing Member, Portfolio Manager
David Rainey, CFA
Managing Member, Portfolio Manager
Ira Rothberg, CFA
Managing Member, Portfolio Manager
Marc Takla
Research Associate
OPERATIONS & COMPLIANCE
Bryan Adkins, CFA
Chief Operating Officer, CHIEF COMPLIANCE OFFICER
Jeff Kinney
DIRECTOr OF Operations
Claire Spirtas-Hurst
Business Development & Client Relations Associate
CLIENT RELATIONS
Claire Spirtas-Hurst
Business Development & Client Relations Associate
HOW WE INVEST
We seek to own a select group of exceptional businesses capable of compounding value for us at above average rates for the next decade, or longer.
We take a business owners mindset to investing in public equities and approach every investment as if we may own it indefinitely.
As a result, we are highly selective and limit our opportunity set to those rare businesses with a combination of a strong competitive position, excellent management, and a large growth opportunity.
Our research process is focused on building a deep understanding of these businesses and their long-term value drivers. By focusing intently on what matters to the business - and avoiding the distraction of market, macroeconomic, and short-term forecasts - we believe we can develop insights that others miss. We can build conviction in a long-term view that may differ substantially from consensus giving us an opportunity to buy at a large discount to intrinsic value.
These opportunities are rare, so we concentrate our portfolio in relatively few holdings, and only transact when we find a clearly superior investment option for our capital.
High Quality Business
Excellent Management
Large Growth Opportunity
Risk Aware
Value Discipline
HIGH QUALITY BUSINESS
Is it an attractive business model with a durable moat?
• Unique, hard to copy franchise • Durable competitive advantage • Attractive returns on capital
Excellent Management
Does leadership excel at capital allocation?
• Ownership mindset • Thoughtful capital allocation • Alignment of incentives
Large Growth Opportunity
Can it be many times larger over the next decade?
• Favorable secular tailwinds • Share gainer in a large market • Decade-plus growth
Risk Aware
Low “Tail Risk” Does it have low probability of permanent capital loss?
• Understandable business model • Ample financial strength • Low risk of technology disruption • Environmental, social, and governance (ESG) considerations
Value Discipline
Does it offer a mid-teens horizon return w/limited downside?
If you are an institutional investor and would like to receive quarterly commentary from our investment team, please reach out to Claire to request to be added to our mailing list.
