Author: Cale Smith

My first investor letter for the Bastion Energy ETF (BESF) is now available.It covers the fund’s performance since inception, how the Hormuz closure is repricing American energy, and the specific way I think the market is mispricing how long this lasts.In short: Hormuz is a box canyon, which is good for U.S. energy.The letter also closes with an ode to American energy — because BESF is built to be a value investor’s expression of it.I hope you find it useful, and please reach out with questions anytime.Read the full letter here: BESF Q1 2026 Letter- CaleCale Smith, Portfolio Manager, Bastion Energy…

Hosted by Lacey LangfordIn this episode, Cale Smith explains what a portfolio manager really does, the differences between ETFs, mutual funds, and index funds, and why most investors are better off keeping things simple. We also talk about leadership in investing, the biggest mistakes military families make with money, and why having a framework is essential for long-term success in the market.Episode details Listen to this episode on Spotify, Apple, or the MilMo website Click the icons below to listen to this podcast: Spotify Apple Link About MILMOMILMO® is a home of military money and entrepreneurship. It’s a place for…

(Re-published with permission)Value investors often seek out the proverbial best house in a bad neighborhood when investing in cyclical companies. That explains why Bastion Fiduciary’s Cale Smith is high on the investment prospects today for Diamondback Energy. “Fifteen years ago you almost needed a degree in geology to invest in E&P companies,” says Smith. “In the last couple of years it’s become all about free cash flow and free-cash-flow yields. That’s right in the sweet spot of value investors.” Read the full article Disclaimer: This content is for informational purposes only and should not be relied upon as a basis for investment…

[Excerpts from a Letter to Investors published May 13, 2025]Some thoughts on a busy few months in the market.Where We Are NowMonday’s [May 12] temporary lifting of triple-digit trade levies between China and the U.S. prior to kicking off formal trade talks has removed the threat of an immediate stagflationary hit to the U.S. economy. It was a welcome relief – and a bigger-than-expected U-turn.Broader global U.S. tariffs are here to stay, however – likely at a 10% rate for most countries, and something higher but now less extreme for China. And that 10% across-the-board tariff rate is still four…

Adapted from an email sent to Investors back in June of 2022For all investors, market volatility can create challenging times that are financially and emotionally stressful. Still, it’s important to remember that staying patient and disciplined in times of market volatility is one of the core principles of long-term investing. Markets fluctuate on a regular basis in response to a variety of market, economic and geopolitical factors. Being able to distinguish between important changes in long-term trends and short-term reactions in the market can help investors be positioned for future opportunities. In The Intelligent Investor, Benjamin Graham, the father of value investing…

To paraphrase the Florida Keys’ own Ernest Hemingway, big shifts in the stock market often occur “gradually, then suddenly.” Following the latest jobs report on Friday, the Nasdaq is now in correction territory, defined as a 10% decline from recent highs. The S&P 500 has pulled back 5.7% from its high three weeks earlier, while the Dow has been steadier with a decline of 3.5%. The VIX, often described as the market’s “fear gauge,” has surged to its highest level since early 2023. And the 10-year Treasury yield has also now fallen below 3.8%, a sharp decline from 4.7% only…

Here are the top five reasons our clients rely on us to help invest their money in the energy sector:We educate our investors about what we own, and why. The energy sector can be complicated, noisy and volatile.  We take pride in helping you understand it – on our podcasts and our email list here.We are solely concerned with getting a good price on the shares of a few great businesses.We take a fundamental value approach to stock picking in the energy sector. We believe strongly that to deserve investors’ trust, we should be politically neutral – which in the world…