American Capital Management is dedicated to helping our clients achieve their goals through investing in a disciplined growth strategy.
Learn MoreAmerican Capital Management, Inc. (ACM) is a boutique investment management firm, founded in 1980, with over $3.0 billion in assets under management as of March 31, 2023. We believe our firm and investment approach are unique relative to most investment management organizations. We invest for growth, focusing on active management of innovative quality small and medium-sized companies — the most rapidly growing sector of the economy. The firm is a registered investment advisor with the SEC.
Subject Matter Experts in growth investing.
We invest in businesses with an understanding that market fluctuations are a normal part of asset management.
Management can influence revenues whereas market cap is a product of market opinion. This aligns with ACM’s long-term perspective.
Dedicating time and attention where it is most valuable.
An investment process that yields results.
Carefully researched, strong businesses are their own best tools to manage risk within a portfolio.
We consider ourselves owners of businesses and make decisions with a long-term investment horizon.
Focusing on innovative small and medium-sized growth companies enables us to hold our positions for an extended period of time. This has resulted in higher returns, lower turnover, and greater tax efficiency for taxable investors.
The strategy emphasizes revenue instead of market capitalization to evaluate size.
All members of the investment team are generalists, as we believe this produces the best framework for informed opinions and productive dialogue.
The stock market rebounded in 2023 after declining in 2022. The S&P 500 (SPX) was propelled by the Magnificent Seven which represented 28% of its market capitalization at year end. The unweighted SPX only gained 13.9% for the year. Today, the investment outlook is improving and the list of uncertainties is narrowing. Recession fears have faded as employment has remained strong and credit conditions are stable. Earnings growth slowed over the last two years as many economic indicators flashed warning signs of recession but earnings are now forecast to accelerate. We are experiencing a “pause that refreshes” which is a favorable outcome given the Federal Reserve’s historic tightening cycle. To validate this renewed investor enthusiasm, the major market indices recently hit record highs surpassing the previous highs in early 2022. Today, the combination of improved earnings growth, moderating inflation and the forecast of monetary easing by the Fed is increasing investor confidence. Almost nine trillion dollars of cash on the sidelines and improving trends in merger and acquisition activity add further conviction. A summary of index returns for the year ending December 31, 2023 is as follows:
Dow Jones Industrials | 16.2% | Russell 2500 | 17.4% |
MSCI EAFE | 18.9% | S&P 500 | 26.3% |
NASDAQ Composite | 44.6% | Wilshire 5000 | 26.1% |
American Capital Management, Inc.
575 Lexington Avenue
30th Floor
New York, NY 10022
TEL: 212-344-3300
FAX: 212-658-9693
info@amcapmgt.com