Category Archives: Stars in the shadows

Small funds of exceptional merit

JOHCM International Select Fund (JOHAX/JOHIX), June 2015

Objective and strategy The fund seeks long-term capital appreciation by investing in a compact portfolio of developed and developing markets stocks. The strategy combines fundamental analysis of individual equities with a top-down overlay which shapes country and sector weights. At the level of individual securities, the managers use a growth-at-a-reasonable-price; they characterize it as “a […]

Towle Deep Value Fund (TDVFX), May 2015

Objective and strategy The fund pursues long-term capital appreciation. They look to invest in a compact portfolio of 30-50 undervalued stocks. The fund is nominally all-cap but the managers have traditionally had the greatest success in identifying and investing in small cap stocks. The fund looks for “well-seasoned companies with strong market positions, identifiable catalysts […]

Seafarer Overseas Growth & Income (SFGIX/SIGIX), May 2015

This fund profile was previously updated on March 1, 2013. You can find an archive of that profile here. Objective and Strategy Seafarer seeks to provide long-term capital appreciation along with some current income; it also seeks to mitigate volatility. The portfolio has two distinctive features. First, the fund invests a significant amount – 20-50% […]

Queens Road Small Cap Value (QRSVX), April 2015

Objective and strategy The fund pursues long-term capital growth by investing, primarily, in a diversified portfolio of US small cap stocks. The advisor defines small cap in relation to the Russell 2000 Value Index; currently that means stocks with capitalizations under $3.3 billion. The portfolio is assembled by looking at stocks with low P/E and […]

Northern Global Tactical Asset Allocation (BBALX), March 2015

Objective The fund seeks a combination of growth and income. Northern Trust’s Investment Policy Committee develops tactical asset allocation recommendations based on economic factors such as GDP and inflation; fixed-income market factors such as sovereign yields, credit spreads and currency trends; and stock market factors such as domestic and foreign earnings growth and valuations. The […]

Pinnacle Value (PVFIX), March 2015

Objective Pinnacle Value seeks long-term capital appreciation by investing in small- and micro-cap stocks that it believes trade at a discount to underlying earnings power or asset values. It might also invest in companies undergoing unpleasant corporate events (companies beginning a turnaround, spin-offs, reorganizations, broken IPOs) as well as illiquid investments. It also buys convertible […]

Osterweis Strategic Investment (OSTVX)      

Objective and strategy The fund pursues the reassuring objective of long-term total returns and capital preservation. The plan is to shift allocation between equity and debt based on management’s judgment of the asset class which offers the best risk-return balance. Equity can range from 25 – 75% of the portfolio, likewise debt. Both equity and […]

Pear Tree Polaris Foreign Value Small Cap (QUSOX/QUSIX), February 2015

Objective and strategy The managers pursue long-term growth of capital and income by investing in a fairly compact portfolio of international small cap stocks. Their goal is to find the most undervalued streams of sustainable cash flow that they can. The managers start with quantitative screens to establish country and industry rankings, then a second […]

RiverPark Large Growth (RPXFX/RPXIX), January 2015

Objective and strategy The fund pursues long-term capital appreciation by investing in large cap growth stocks, which it defines generously as those with capitalizations over $5 billion. The manager describes his style as having a “value orientation toward growth.” Their discipline combines a macro-level sensitivity to the effects of powerful and enduring secular changes and […]

Polaris Global Value (PGVFX), December 2014

Objective and strategy Polaris Global Value attempts to provide above average return by investing in companies with potentially strong sustainable free cash flow or undervalued assets. Their goal is “to invest in the most undervalued companies in the world.” They combine quantitative screens with Graham and Dodd-like fundamental research. The fund is diversified across country, […]