Strategy Inception: 2/28/2007
Primary Capitalization: Large Cap
Primary Style Emphasis: Growth
Benchmark: Large Cap Growth
Holdings Range: 15-25
Focused Growth Equity
Strategy Inception: 2/28/2007
Sawgrass Asset Management’s Focused Growth Equity portfolios are constructed by selecting 15-20 stocks from our Diversified Large Growth product with higher active weights relative to the Large Cap Growth. These stocks are then held in higher weights (up to 10 %) providing a more concentrated and stock specific approach to long term investing with a modest increase in risk. The goal of our investment process is to create portfolios with an attractive long-term upside participation/downside protection balance.
The process begins with a sector specific quantitative scoring of a 900-1000 stock universe. Our proprietary modeling system evaluates twenty four factors contained in six groupings including business valuation, equity valuation, profitability, earnings quality, price volatility, and sales, earnings, and margin stability.
Our fundamental research process is then used to distinguish among the most intriguing candidates for portfolio inclusion based on a qualitative assessment of company specific attributes, growth prospects, and risk contribution. This process flows in five general steps and includes a detailed review of the quantitative scoring, financial statement analysis, evaluation of management growth presentation, review of analyst research and estimate revisions, and a risk/reward analysis.
This blended approach helps us stay focused and consistent in building the attractively valued, profitable, lower volatility growth portfolios that we believe provide the best foundation for longer term outperformance on both an absolute and risk adjusted basis.
Mr. Davis is an Equity Portfolio Manager at Sawgrass, responsible for quantitative and fundamental research, portfolio positioning, idea generation, and quantitative modeling. He serves as a co-manager on the Diversified Large Growth product and Lead Portfolio Manager (since November 2017) of the Focused Growth product.
Our investment approach emphasizes growth stocks with a consistent and stable earnings pattern, accelerating earnings estimates and companies with greater earnings potential than the market and their peer group. We combine quantitative models with bottom-up fundamental research into a consistent and structured investment discipline. We believe that in combination, these elements allow us to identify companies early in their cycle of positive earnings and estimates changes, which can offer our clients above average stock appreciation potential.
- Fully aligned interests between our team and our clients
- Continuity of leadership and low team turnover
- Enhanced investment expertise through long-term experience
- Provide up-market participation with desirable down-market capture resulting in alpha and low volatility over full market cycles
- Demonstrated success in fulfilling investor needs
- Consistent, repeatable, lower volatility profile and excess returns over time based on sound judgment and mature perspective
Please refer to this product’s Performance Disclosure Statement.
- Dependable, knowledgeable and consistent service
- High confidence in understanding of institutional client challenges and successful outcomes with a commitment to educate and serve
- Responsive to client needs