The fund seeks capital appreciation in the long term by investing in companies in the United States.

The investment process is designed to highlight companies in the benchmark index that are estimated to trade below their fair values.

The strategy seeks to minimize permanent loss of capital.

Next, the research team relies on fundamental analysis to look for companies with exceptional business models, superior financial strength, and durable competitive positions.

The team focuses on companies that are trading at a discount to their estimated intrinsic value.

Then the team utilizes qualitative techniques to narrow the investable universe. As part of this process, the team emphasizes companies that are market leaders, offer stable products, have low capital requirements and have proven management teams with ownership stakes.

In addition, the team utilizes quantitative analysis and emphasizes companies with high returns on capital, high correlation between earnings and cash flow, low financial risk and valuations based on discounted cash flow models.

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 fund also may invest in foreign companies, either directly or through depositary receipts.