The fund seeks capital appreciation in the long term by investing in small-and mid-size companies in the United States.
The 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 invests in companies that exhibit above-average earnings growth potential over the long term. Such companies may include, but not limited to, information technology, and health care companies.
The team favors companies which are market leaders in growth industries.
Also, the team considers companies with steady sales and earnings growth.
In addition to meeting with corporate management teams, the team reviews a company’s financial statements focusing on earnings, sales growth, valuation, and profitability.
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 invests in a number of sectors and industries in the U.S.
In addition, the fund may invest up to 20% of its net assets in non-U.S. securities, including in ADRs, in both developed and emerging markets.
Also, the fund may invest in large cap companies.