Highbury Financial Inc.  (HBRF) Trade Now »     Rate HBRF  -  Discuss HBRF  -  Add to Watch List        

One of the areas that has been beaten up rather significantly and in my opinion far too deeply has been microcap and small cap asset management firms. Below are two companies which I see as being potentially huge winners over the long-term. What each has in common is a strong ability to achieve excess returns in markets, a strong and conservative management team, and a healthy balance sheet.

Highbury Financial
- The company owns 2/3 of Aston Funds, which operates 30 mutual funds and ETFs. Highbury (HBRF.OB) acquired Aston from ABN Amro (ABN) in 2006 and since launch has added 11 new strategi

Although I continue to be confident in Highbury Financial (HBRF)over the long term,<!--more--> I have clearly been wrong thus far in the short termon my thesis for the company as the credit crisis has been more severethan I anticipated.  As a result,  the company has not been able to make theirnext step in their strategy to acquire additional asset managementfirms. The stock has been cut roughly in half from my initial purchasesof the shares and has cost the overall portfolio several hundred basispoints, which has resulted in only slightly better than peer and Index performance