Founded in 2008, Elemental Capital is a registered investment adviser located in Glen Allen, Virginia.

Our approach to equity investing is guided by three fundamental principles. First, we believe that businesses create wealth by generating a return on capital that exceeds their cost of capital. Second, we believe that the most important risk for investors to consider is the potential for a permanent loss of capital. And third, we believe that the most effective way to mitigate risk, and maximize returns, is to own a concentrated portfolio of high-quality businesses purchased at reasonable prices.

Investment Philosophy

In our experience, there are relatively few companies that can consistently generate cash flows at high rates of return on capital over time, thereby creating long-term wealth for their shareholders. We have found that these exceptional businesses often possess unique competitive advantages that enable them to enjoy such enduring financial success. Ultimately, our focus is on discovering these rare enterprises, and our portfolios typically own a limited number of companies as a result.