Richard de Lisle, founder of De Lisle Partners, has significantly outperformed US equity markets over the last 27 years by investing in US small-cap value stocks.  We discuss what value investing means to Richard, his focus on themes and the advantages of taking a sociological perspective.  We also explore the current environment, Richard’s investments in primary producers and why investing is the greatest game. Show notes: [1:05] Richard talks about how his father’s misfortune inspired him to start investing [3:09] Don’t follow others as experts can be self-serving [4:00] Richard’s career on the sell-side [7:01] Equities were an unloved asset class in the 1970’s and early eighties [8:18] Getting hooked on the American market’s intricacies [9:13] Transitioning from the sell-side to the buy-side [12:12] Why Richard focuses on US small cap value [13:26] Small cap value’s outperformance between 1975 and 1983 [14:38] Ducking and weaving in difficult environments [16:25] Taking a top down approach [17:48] There is value in the least worst [18:40] Looking backwards not forwards [20:18] Identifying investment themes [23:05] People often underestimate that value stocks can become growth stocks [24:02] Reading broadly and taking a sociological perspective [24:39] The advantage of being detached [25:39] Investing is the greatest game [26:51] Investing in primary producers in an inflationary environment [29:46] Complacency around wage inflation [31:21] Short duration stocks [33:05] Work out what you want and set a plan to achieve it