Bank of New York
Thesis
We bought Bank of New York a few years ago because we believed it was under-earning in a few dimensions as a result of interest rates and operational expenses which had room for improvement. The company was re-segmenting its customers in an effort to enhance profitability and we still think there's a discount to intrinsic value.
Did it work?
No price performance data and no elapsed-time information are provided, so the long thesis on Bank of New York cannot be checked against any return. The thesis itself is qualitative — under-earning from interest rates and expenses, customer re-segmentation, and a claimed discount to intrinsic value — without a stated price target, horizon, or verifiable milestone. With no way to confirm whether the operational improvements or valuation gap played out, the outcome is indeterminate.