Mike Klenn of Timpani Capital Management visited the AIM program today. Timpani is a Milwaukee-based investment manager focused on small cap growth investing. Information about Timpani can be found at: http://www.timpanicapital.com/.
Mike Klenn, CFA, is a Senior Analyst at Timpani. Prior to joining Timpani, he was a member of the Applied Investment Management Program at Marquette University running a portion of the endowment. He also interned at Timpani during his senior year of college. He received his B.S.B.A. in Finance from Marquette University and has earned the right to use the CFA designation.
Mike talked about Timpani’s investment philosophy. They believe that earnings drive stock price performance. By combining fundamental research with an analysis of estimate revisions, they believe they can identify and exploit the perception gap that exists between a company's business strength and the market's expectation of that strength. They add exposure to stocks where growth is being underestimated, or where there is a positive perception gap and we reduce exposure to stocks where growth is being overestimated, or where there is a negative perception gap. Perception gaps exist because the market is slow to react to incremental, relevant changes in a company’s fundamentals.
Later this semester, AIM students will conduct a ‘road trip’ to Timpani where they will pick stocks to the firm’s investment team (Brandon Nelson, Ryan Isherwood, and Mike Klenn).