Process

The FPA Queens Road team follows a disciplined four-step process seeking to identify companies with the greatest likelihood of maximizing after-tax returns while limiting volatility.

  1. Balance Sheet - Look for companies with strong balance sheets, manageable debt, and strong free cash flow.
  2. Valuation - Attempt to normalize economic earnings over full market cycles.
  3. Management - Evaluate their track record of defining effective strategies and executing their stated objectives.
  4. Sector and Industry - Strive to own companies in growing industries with favorable economics.     
Value investing does not protect against loss of principal and there is no assurance that the Fund will meet its objective.

Investment Team

Steven H. Scruggs

FPA Queens Road Small Cap Value Fund
Portfolio Manager

Biography

Steve has served as the sole portfolio manager for the fund since its inception in 2002. Steve joined Bragg Financial Advisors (BFA) in 1999 as a research analyst. Prior to his work with BFA, Steve worked as Product Manager for GMAC Insurance and Reliance Insurance Companies. He received his BA from North Carolina State University in 1992 and his MBA from Wake Forest University in 1996. Steve is a member of the CFA Institute and the North Carolina Society of Financial Analysts.

Benjamin Mellman

FPA Queens Road Small Cap Value Fund
Senior Analyst

Biography

Prior to joining the Queens Road Team, Ben spent 10 years at International Value Advisers (IVA). He was the senior analyst covering industrials and aero/defense with additional experience in financials, real estate, and TMT. Before joining IVA, Ben worked for RG Niederhoffer Capital Management, a managed futures fund, as a quantitative analyst and trader. Ben graduated from Columbia University with a BA in American History (honors) and a concentration in Physics in 2000. He received the Chanler Historical Prize (one awarded annually by faculty) and the Edwin Robbins Research Fellowship in American History (two annually). He earned his MBA from Columbia University in 2009.