Drystone LLC

Drystone manages approximately $151 million in discretionary portfolios for a small number of clients, including taxable individuals, various trusts, IRAs, a charitable family foundation, and family estate entities such as a non-operating limited partnership and LLC accounts. The firm provides continuous portfolio supervision, prepares a customized Statement of Investment Objectives (SIO) Snapshot for each client, and issues quarterly written reports and performance summaries.

The firm’s investment approach emphasizes “income and growth at a reasonable (or better) price,” relying on fundamental security analysis — including discounted cash flow estimates, yield assessment, and corporate filings — to identify opportunities. Drystone categorizes assets as Diversified or Concentrated Investments, sets target ranges and maximums in each client’s SIO, and implements portfolios on a discretionary basis with ongoing screening and monitoring.

Noteworthy features include a distinct fee component and separate reporting for assets designated as Concentrated Investments, coupled with explicit SIO limits and reporting to mitigate fee-related conflicts — a level of fee-linkage and transparency that is uncommon among peers. The firm also discloses a co-investing practice in which managers own similar securities while enforcing anti-frontrunning rules, accepts no account minimum despite relatively high AUM per client, and recommends an institutional custodian while describing related service arrangements.