International Small Cap Strategy
Seeking Well-Rounded Stocks At A Discount
The SBH International Small Cap Strategy is comprised of companies we believe exhibit traditional Value characteristics coupled with positive company momentum factors designed to outperform the market over the long term in a variety of market conditions. We utilize an investment approach that is systematic, diversified, and risk-aware, adhering to a model that efficiently identifies well-rounded stocks that are mispriced. Our optimization process seeks to take significant active risk in areas where alpha can be systematically captured and aims to avoid exposure to uncompensated risks.
We seek to capitalize on Value’s advantage for investors. Long-term investors can look through temporary setbacks, enabling them to take advantage of the long-term benefits.
- Value Wins Over Time – Compounding long-term gains for investors
- At times, investor enthusiasm can boost Growth stock valuations to excessive heights
- Historical experience shows that Value comes roaring back from such periods, typically with very strong excess returns
Proprietary Ranking Process
- Quantitative model derived from the best practices of traditional fundamental analysis
- Each security within the universe is ranked (1-20) based on traditional valuation metrics, as well as momentum and profitability factors
- Rankings seek to systematically identify undervalued stocks that simultaneously exhibit other attractive characteristics
- This multi-factor approach targets balanced or “well-rounded” securities
Process Built to be Balanced & Robust
- Evaluates approximately 2,200 companies in 21 developed non-U.S. markets
–Market capitalization generally less than ~$3.5 billion
- Stocks are grouped by sector within region (or sub-region)
–Continental Europe is divided into three sub-regions: Non-Euro, Core Euro, Peripheral Euro
International Small Cap at SBH
2008 Strategy inception
$631.3M Strategy AUM/AUA*
Scott Decatur, Ph.D.
Director of Quantitative International Strategies
Ph.D., Harvard University
B.S. & M.S., Massachusetts Institute of Technology
Nicholas Fedako, CFA
Senior Portfolio Manager
B.S., Pennsylvania State University
To learn more, reach us at email@example.com
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*As of December 31, 2021. Model UMA assets of $0M are included in the AUA portion of the AUM/AUA total. All opinions expressed in this presentation are solely the opinions of Segall Bryant & Hamill. You should not treat any opinion expressed as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of the manager’s opinions. The opinions expressed are based upon information the manager considers reliable, but completeness or accuracy is not warranted, and it should not be relied upon as such. Market conditions are subject to change at any time, and no forecast can be guaranteed. Any and all information perceived from this presentation does not constitute financial, legal, tax or other professional advice and is not intended as a substitute for consultation with a qualified professional. The manager’s statements and opinions are subject to change without notice, and Segall Bryant & Hamill is not under any obligation to update or correct any information provided in this presentation.