Overview:
Our Multi-Cap Investment strategy seeks to provide growth of capital while offering a stream of dividend income consistent with sound investment principles. The portfolio is an actively-managed strategy that primarily employs a bottom-up approach based on fundamental analysis from Baird’s Research department, combined with technical screens in the stock selection process. The strategy is long-term oriented, with a three to five year minimum time horizon.

Investment Philosophy:
Our investment model uses a Growth at a Reasonable Price strategy that provides a disciplined, repeatable process with an appropriate amount of diversification. The goal in stock purchase and sell timing is to buy attractively-priced, predominantly dividend paying stocks at a discount and sell at a suitable price target. This approach emphasizes both a bottom-up and top-down analysis. While stock selection is primarily bottom-up, the portfolio is not managed in a vacuum, but rather takes into account the broader market as a backdrop to the investment strategy, looking for overall trends in the economy to assist in the management of this portfolio.

Process:
Equity investments are typically chosen form various Baird research analyst products, such as the Quality Dividend Screen and the Equity Idea list, which are updated and reviewed on a regular basis. As a result, the portfolio relies on the fundamental research that Baird has conducted on these securities as a starting point. Once the potential buy list is identified, the candidates are screened using a number of technical indicators to determine attractive entry points, and to determine each individual security’s potential price target. We attempt to target fundamentally strong companies, offering solid growth prospects and moderate dividend income, whose stocks are trading at attractive valuations. We manage the securities within the portfolio to offer an appealing total return potential.