Research-driven investing in U.S. banks.

Salpointe Capital Management LLC is a Delaware investment management company headquartered in Scottsdale, Arizona. We research publicly traded U.S. banks using the financial reports banks file with their regulators, and we apply that research through a rules-based, long/short investment process within written risk limits.

Philosophy

Banks report their condition every quarter. We read it.

Every U.S. bank files detailed financial reports with its regulators each quarter, covering loan quality, loan concentrations, funding, capital and earnings. Many publicly traded banks are small and lightly followed. Our process is built on the view that this regulatory record, read carefully and consistently, says a great deal about which banks are strong and which are fragile.

The role of judgment in our program is at design time, not at trade time. Our rules are written down before they are used, and they are applied the same way every time.

How we operate

Three commitments.

Documented process

Every element of the investment process is written down: what we read, how banks are ranked, and when positions are opened and closed. Changes are governed by a written change-control policy with compliance sign-off.

Written risk limits

Exposure, position-size, liquidity and permitted-instrument limits are set in writing and are to be checked automatically before any order reaches the broker. Trades are to be kept small relative to each stock's daily trading.

Honest disclosure

We disclose what we have tested, how we tested it, and what the tests did and did not show. We use artificial-intelligence tools in our research and evaluate them on a forward basis; where they have not yet shown measurable value, we say so.

Location

Scottsdale, Arizona.

Salpointe Capital Management is headquartered in Scottsdale, Arizona. The Firm's name honors Archbishop Jean-Baptiste Salpointe (1825–1898), whose ministry across the American Southwest included the founding of Salpointe Catholic High School in Tucson, Arizona — the founder's secondary alma mater.