The fund seeks primarily capital appreciation and secondarily current income by investing in large-size companies in the United States.
The sub-adviser’s investment process is designed to select companies that are trading at a discount to their estimated intrinsic value.
The research team focuses on companies with proven management teams, a durable franchise and business model, and sustainable competitive advantages.
The research process is driven by fundamental analysis of one stock at a time. The team routinely visits managers at their places of business in order to gain insight into the relative value of different businesses.
Next, the team evaluates a company’s cash flows, assets and liabilities and selects securities that can be purchased at a discount to its estimate of the company’s intrinsic value. The sub-adviser aims to invest in companies for the long term ideally, five years or longer.
The fund has the flexibility to invest in mid- and small-capitalization companies.
The fund seeks capital appreciation in the long term by investing in companies across any size outside the United States.
The sub-adviser’s investment process starts with a list of companies in the benchmark index and the research team utilizes quantitative techniques and fundamental analysis to identify investment opportunities.
Next, the research team focuses on securities issued by foreign companies, including countries with developed or emerging markets.
The team also favors companies demonstrating long-term value characteristics, such as proven management teams, a sustainable franchise and business model, and durable competitive advantages.
In addition, the team looks to invest in these companies when they are trading at discounts to their estimated intrinsic worth based upon fundamental analysis of cash flows, assets and liabilities.
The research process is driven by fundamental analysis of one stock at a time. In selecting securities for the portfolio, the research team also as part of its process regularly visits managers at their places of business.
Then the manager constructs a portfolio of stocks from a list of companies favored by the research team and allocates capital based on its conviction level.
The fund will invest significantly in issuers organized or located outside of the U.S., or whose primary trading market is located outside the U.S., or doing a substantial amount of business outside the U.S.
Also, the fund will invest in issuers representing at least three different countries. These non-U.S. company investments may include American Depositary Receipts and Global Depositary Receipts.
The fund looks to invest in companies for the long term ideally, five years or longer.
