Value Approach

Small-Mid Cap Value

Objective

Long-term capital appreciation through investments in small capitalization companies that we believe are undervalued; companies generally have a market capitalization below $7.5 billion at time of purchase.

Approach

We seek to identify market inefficiencies and catalysts leading to long-term appreciation, with an emphasis on change and restructuring at the industry or corporate level. We focus on complex situations that are difficult to evaluate and understand in a timely fashion, and often have little or no Wall Street support or coverage. We believe this lack of research coverage and positive attention drives investor uncertainty and avoidance, enabling us to purchase attractive stocks at a discount to our assessment of fair market value.

Process

We use fundamental research to identify potential investment opportunities, focusing on catalysts and event-driven situations. Within that universe, we use bottom-up analysis to identify companies that we believe have strong business models, solid growth potential and reasonable valuation parameters.

Performance

Average Annualized
3-Months YTD 1-Year 3-Years 5-Years 10-Years Inception
Small-Mid Cap Value (Gross)
Small-Mid Cap Value (Net)
Russell 2500 Value Index
Small-Mid Cap Value (Gross) Small-Mid Cap Value (Net) Russell 2500 Value Index

Portfolio Management


Kevin M. Chin
Portfolio Manager
30 years experience
Brian R. Keeley, CFA
Portfolio Manager
23 years experience