The fund seeks primarily capital appreciation and secondarily current income by investing in mid-size companies in the United States.
The sub-advisor’s investment process highlights companies with attractive relative valuations, strong fundamentals, and positive business momentum.
The research team with the help of quantitative techniques assesses a company’s price-to-book value ratios and price-to-earnings ratios and trends in return on equity and earnings growth and cash flow.
Next, the team narrows the investable universe based on a continuous study of trends in industries and companies, earnings power and growth.
The fund is limited to investing a maximum of 25% of its total assets in any one industry and has the flexibility to invest up to 15% of its net assets in illiquid securities.
The fund attempts to outperform by limiting downside risk in falling markets while keeping pace in rising markets.