About Kenneth U. Reyes
Reyes Capital Management (RCM) is an investment management firm founded and owned by Kenneth U. Reyes in Los Angeles, California in July 2023. As owner of Reyes Capital Management LLC, Kenneth U. Reyes serves as the portfolio manager for the funds that the investment firm manages. Our firm is built on decades of experience in value investing, a timeless approach inspired by investment masters such as Warren Buffett, Charlie Munger, and Peter Lynch. As both a CPA and an Attorney, Kenneth U. Reyes’ focus is on evaluating a company’s business fundamentals from both a quantitative and qualitative angle.
Mr. Reyes’ journey to founding RCM is distinguished by a diverse and extensive professional background. In his early career, he honed his financial acumen as a Certified Public Accountant (CPA), meticulously auditing and evaluating hundreds of businesses from both accounting and finance perspectives. During this demanding period, he simultaneously pursued his law degree at night while maintaining a full-time accounting career earning a JD from Southwestern University Law School in Los Angeles.
Upon passing the California bar exam, Mr. Reyes established his own successful family law litigation firm, an endeavor he has skillfully operated for 27 years and continues to lead today. Concurrently, he expertly managed the law firm’s pension and 401k plans, consistently generating outstanding returns over the years. Beyond his law practice, Mr. Reyes has also successfully managed two investment firms for nearly a decade.
The inspiration to manage outside investors’ capital for RCM was sparked by Charlie Munger, Warren Buffett’s esteemed business partner. Munger, while operating his own law firm, Munger Tolles & Olson, also ran a successful investment partnership, Wheeler and Munger, in Los Angeles during the 1960s. Drawing from this parallel, Reyes Capital Management was launched in 2023, operating from the same Los Angeles office as the Reyes law firm.
Our Investment Philosophy
At RCM, we view our investors not merely as clients, but as business partners. This philosophy underpins our commitment to aligning our interests directly with yours: RCM invests its own capital alongside our limited partners. This means your investment success is intrinsically linked to our own, as we achieve success on our capital by delivering it to you.
When we make an investment, we rigorously analyze a company as a business, not just as a stock, with the goal of owning it for the very long term. This mindset allows us to remain unaffected by daily market price fluctuations. We seek partners who share this long-term perspective, as we view market volatility not as a threat, but as an opportunity to acquire more shares of excellent businesses at prices favorably dislocated from their intrinsic value.
We maintain a concentrated portfolio of companies because we firmly believe in allocating capital only to our best ideas and the highest quality businesses. Under this principle, a select group of superior companies has a high probability of outperforming broader market indices like the S&P 500, especially when management fees and incentives are reasonable. We prioritize businesses that demonstrate:
Integrity and Partnership
We operate Reyes Capital Management with the highest level of integrity and fairness towards our partners. We treat every partner with the same respect and consideration we expect in any relationship.
Our portfolio generally exhibits very low turnover, reflecting our strong conviction in the businesses we own. This approach not only underscores our belief in these companies but also provides the incidental benefit of tax efficiency for our partners, as substantial capital gains tax realizations due to frequent trading are unlikely.
Our experience, philosophy, and alignment of interests are qualities that reflect a dedication to your long-term investment success as a Partner.
Our limited partners share our long-term value investing philosophy, viewing stocks not as marketable securities for trading, but as ownership stakes in exceptional businesses, unshaken by irrational market volatility.
Kenneth U. Reyes
Founder and Fund Manager
Kenneth brings over 30 years of investment expertise and a unique blend of business, accounting, and legal acumen to Reyes Capital Management. He earned his B.S. in Business Administration and Accounting from California State University at San Bernardino and became a CPA, working at prestigious firms like Arthur Andersen, LLP, and Bank of America, where he mastered financial statement analysis and business model evaluation. His early experience in turning around his family’s low-margin restaurant business instilled a focus on high-margin, competitively advantaged investments.
Kenneth U. Reyes
Founder and Fund Manager
Kenneth brings over 30 years of investment expertise and a unique blend of business, accounting, and legal acumen to Reyes Capital Management. He earned his B.S. in Business Administration and Accounting from California State University at San Bernardino and became a CPA, working at prestigious firms like Arthur Andersen, LLP, and Bank of America, where he mastered financial statement analysis and business model evaluation. His early experience in turning around his family’s low-margin restaurant business instilled a focus on high-margin, competitively advantaged investments.
