GLOBAL ALL CAP MODEL

Combines our systematic large cap strategy with our best North American small and medium cap ideas, often concentrated in individual positions and sectors

Key Details

Inception
   Long-Only Jun. 1, 2009
   Long/Short Apr. 1, 2009
Investment universe Global all cap
Style Value
Short selling and options For authorized accounts
Management fee 1.25%
Performance fee 20% of appreciation over 6% hurdle rate

Top 10 Holdings

AS OF SEPT 30, 2018

SPECIALTY FOODS GRP, LLC CL 2
ORCA EXPLORATION GRP-B SV
MEDTRONIC PLC
SCHIBSTED ASA NOK 1.0
SPECIALTY FOODS GRP, LLC CL 1
ALASKA AIR GROUP INC.
CVS HEALTH CORPORATION
HOWARD HUGHES CORP
CBRE GROUP INC CL A
BAIDU COM INC SPONS ADR

Key Features

All Cap Global
Our go anywhere approach provides more opportunities.
Value Approach
Our most important pillar is our value investment philosophy.
Risk Management
We utilize a parallel process to monitor economic and market risk.

Strategy Overview

The Generation All Cap Model is generally for clients whose principal objective is long-term capital appreciation.

The Generation All Cap Model combines our large cap strategy (i.e., Generation Global Insight) with our best North American small and medium cap ideas, often concentrated in individual positions and sectors. We employ a proprietary and systematic process to uncover large cap global equities which our analysis indicates are undervalued. The most undervalued securities in our global large cap universe form the focus group for our analytical team to concentrate its research efforts for large cap investment targets, typically with market caps over $5 billion at the time of purchase, but may include those in the $2-5 billion range. We seek out small and medium cap stock ideas using myriad sources, including filters and screens, outside research analysts, corporate regulatory filings, newspapers and periodicals, other like-minded investors and our diverse business contacts. Our proprietary TRACTM system is used in an effort to optimize buy and sell decisions for targets and portfolio holdings.

In addition to rigorous stock screening and research, we utilize a parallel process to monitor economic and market risk. Learn more about our Four Pillars here.

The All Cap Model has a notional guideline of a minimum weighting of approximately 60% or more in large cap stocks (allocation in actual client accounts depends on clients’ specific preferences and circumstances). The small/medium cap stocks typically have less liquidity and potentially higher volatility than large cap stocks. Investments will have a North American focus, however may include international securities depending on their relative attractiveness.

Although accounts will be invested primarily in equities, they may hold income securities when we believe the risk-return opportunity compares favourably to equities. Accounts will typically be fully invested, but may hold cash if our outlook dictates such allocation. Short-selling and option strategies may be implemented for clients who authorize them.

Investment Team


Randall Abramson, CFA
Portfolio Manager

Ronald Steinhoff, CFA
Portfolio Manager

Gena Velichko
Analyst