Our investment philosophy focuses on striking an appropriate balance between risk and return in our management of clients’ portfolios.
The elements of this philosophy include:
- Quantification of major sources of risk: common factor vs. security specific
- Active management of all potential sources of excess return
- Diversification as a means of managing common factor risk without reducing expected returns
- Emphasis on security selection using quantitative and fundamental tools
Our investment strategy seeks to deliver top quartile performance over a market cycle by consistently performing above median on an annual basis. We strive to outperform our benchmarks by a relatively modest margin, which in turn generates above median comparisons in most years. By dynamically monitoring the risk/return profile of our portfolios, we keep style and cap bets at moderate levels. This diversification highlights our emphasis on security selection, which is the focus of our investment management process.