The fund seeks capital appreciation through investing in the mid-size companies in the U.S.
The investment process starts with a list of companies included in the benchmark Russell Midcap Index between market capitalization of $0.6 billion and $50 billion but the fund generally invests in companies with market capitalization between $5 billion and $20 billion.
The research team then ranks companies based on financial metrics and identify companies with above-average growth in earnings, return on capital and cash flow. These companies are evaluated more for the quality of management and durability of the growth profile.
The narrow list of companies are then evaluated for the long term valuation based on the expected long term growth and near term catalysts that could lead to revaluation of the stock higher.