The fund seeks capital appreciation in the long term by investing in companies across any size in the United States.
The investment process is designed to highlight companies in the benchmark index that exhibit attractive fundamental characteristics.
Next, the research team looks for companies with reasonable valuations, prudent debt levels, cash flow generation, attractive growth characteristics and balance sheet strength.
Then the manager constructs a portfolio from a list of companies favored by the research team and allocates capital based on its conviction level. The manager takes active industry and stock positions based on company fundamentals.
The portfolio is diversified by economic sector and fully invested, with position sizes commensurate with risk.
The fund invests its assets in both value and growth stocks, as well as dividend-paying and non-dividend-paying stocks.
The fund may invest up to 25% of its net assets in securities of foreign issuers including in emerging markets.
Also, the fund has the flexibility to invest up to 20% of its net assets in put and call options and up to 20% of its net assets in other investment companies.
In addition, the fund may invest its net assets in cash, cash equivalents, and high-quality, short-term debt securities and money market instruments for temporary defensive purposes in response to adverse market, economic, political or other conditions.
