Our Process

Our investment process, which is designed for consistency, continuously loops through the following stages as we seek investment excellence on behalf of our clients.

  1. Screening and Relative Comparison: We use detailed quantitative screening and in-depth relative comparisons to identify, monitor and track companies with favorable Quality + Value + Dividend characteristics.
  2. Data-Driven Security Analysis: Fundamental analysis is used to find high-quality businesses that have a track record of outstanding financial performance and the potential to be market leaders for years to come.
  3. Portfolio Construction and Rebalancing: We seek to initiate positions when they are trading at attractive relative valuations. The vast majority of our positions are loosely equally weighted. We believe that equal weights help provide a more consistent return profile, minimize uncompensated risks, increase the efficiency of our decision-making processes and help add alpha through portfolio rebalancing.
  4. Portfolio Monitoring and Sell Discipline: We monitor our positions with an eye toward creating a portfolio with the best Quality + Value + Dividend characteristics we can achieve. If better opportunities arise in stages one and two relative to our existing holdings, we will upgrade the portfolio.

We determine emerging market countries based upon various factors, including reference to third-party sources, such as the World Bank or published indexes, or through independent analysis. Exposure to emerging markets may be achieved by investing directly in the securities of non-U.S. issuers or by investing in depositary receipts, which are securities typically issued by a bank and that represent an interest in a foreign security deposited with the bank. Examples of the types of depositary receipts in which we might invest are American Depositary Receipts (ADR) and Global Depositary Receipts (GDR).

To gain exposure to certain companies, we may invest in derivative instruments such as participatory notes, which are similar to depositary receipts in that they provide exposure to foreign securities through a financial institution. We may also purchase and sell foreign currencies in connection with settling securities transactions in foreign markets. We may consider selling a security when it is no longer considered undervalued by a portfolio manager or when a portfolio manager has identified a more attractive investment.