Investment Overview

Our investment team adheres to a traditional value approach that emphasizes high-quality, defensible franchises within a risk-aware framework.
We emphasize independent bottom-up, fundamental research.
Our focus is on leading companies we believe have been systematically mispriced by the market. Leading companies exhibit:
     – Advantaged business models as evidenced by strong returns on capital through the business cycle.
     – Financial discipline exemplified through a balance sheet that can protect the equity value of a business through market cycles.
     – A strong free cash flow profile that supports compounding of value through thoughtful capital allocation decisions.
A strict sell discipline helps to protect capital by remaining objective.
 

Portfolio Construction

25-45 stocks in the portfolio
Largest position can be up to 300 basis points above the largest benchmark position
Maximum sector weight variance of 5% relative to Russell 1000® Value Index
Cash typically kept to less than 5% of the portfolio
Target excess return: 300-500 basis points.
Target tracking error range: 400-800 basis points.
 

Investment Team

Aaron Dunn, CFA
Portfolio manager
20 years of industry experience
7 years at Eaton Vance
BS, University of Arkansas
MBA, University of Texas
Edward J. Perkin, CFA
Portfolio manager
24 years of industry experience
5 years at Eaton Vance
BA, University of California, Santa Barbara
MBA, Columbia University
 

Benchmark

Benchmark: Russell 1000® Value Index