The fund’s investment objective is to grow capital in the long-term through investing in large-size companies in the U.S.
The investment process starts with a list of companies with market capitalization higher than $5 billion. The research team then applies fundamental analysis, quantitative techniques and cash flow review and narrows the investable universe.
The team then separates companies in two groups. One group of companies that are generating above average earnings growth and return on capital and are benefitting from the long-term growth trends. Second group of companies with solid financial statements, established business models and attractive historic earnings trends but with stock prices lagging because of temporary reasons.
With the additional review, the list is narrowed to include only the companies with a near-term catalysts that could revalue higher the lagging stocks.