Objective
Aims to provide long-term capital appreciation through a concentrated, high-conviction portfolio of small and mid-sized capitalization value equity securities.
Why This Strategy?
People
Co-Portfolio Managers Josh Schachter and Philip Greenblatt have an average of 16 years of value investing experience and are supported by a seven-person investment team.
Portfolio
The conviction-weighted portfolio consists of 50 to 70 small and mid-cap stocks. 40 to 60 names range in market cap from $100m to $3b, while the remaining 7 to 10 stocks are mid cap, which can be up to $25B at purchase.
Philosophy
Investment philosophy that is consistent with modern behavioral finance research and aims to take advantage of investor overreactions to negative surprises.
Process
Fundamental research process focuses on identifying out-of-favor stocks that are in sound financial condition and should experience an upward rerating in their P/E ratio with a positive shift in investor sentiment.
