The fund seeks capital appreciation by investing in small-size companies in the United States.
The sub-adviser’s investment process starts with a list of companies in the benchmark index and the research team utilizes quantitative techniques and fundamental analysis to identify investment opportunities.
Next, the research team favors companies with improving fundamentals and that are also trading at reasonable valuations.
In selecting securities for the portfolio, the research team focuses on companies that have the potential to provide a higher total return than that of the benchmark index.
In addition, the team invests in domestic and foreign issuers.
Then the manager constructs a portfolio of stocks from a list of companies favored by the research team and allocates capital based on its conviction level.
The fund has the flexibility to lend securities to earn income.