Smead Capital Management, a Seattle-based registered investment advisor, announced this week that its expansion to the East Coast will land in West Conshohocken. The office will open at the beginning of 2020. The Philadelphia Business Journal reports that the office will be located in Four Tower Bridge.
According to the press release, Smead Capital Management plans to use the office as an East Coast sales hub, which will reduce the time needed for travel to serve clients in the region. The selection of the Philadelphia suburbs was due to its attractive cost of living and housing, tax assessment in the region and accessibility to Smead’s client base via planes, trains and automobiles.
“We don’t agree with where the investment management industry is going,” said Cole Smead, CFA, Managing Director of Smead Capital Management. “We believe the uniqueness of an investment management process and the willingness of asset managers to educate clients is where the industry will go. Expanding our presence on the east coast with this office entrenches two ideas that we believe vehemently: Active management has a long duration future and value stock picking is being underrepresented in our industry.”
Scott Herdemian will oversee the office. He will be promoted to Senior Vice President. Herdemian currently oversees East Coast sales and will be supported by Robert Carter as they continue to hire and build the East Coast team. They are currently seeking another hire in the new office for the beginning of 2020.
“At a time when many people doubt stock picking, we remain the optimist. We feel there is large opportunity to find outstanding individuals to help us accomplish the task we have ahead, particularly on the eastern seaboard,” said Mr. Herdemian.