Small Cap strategies have seen some meaningful moves this year and several small-cap managers in the core, growth and value segments are available on the Freedom Advisors platform. Below are 4 of the 20 small cap models available in Freedom Advisors.
BirdRock Asset Management’s investment approach is a long-only strategy without leverage, focusing on a carefully selected portfolio of 40 to 60 small-cap stocks. The management team employs traditional and relative value metrics while steering clear of deep value investments. Each company in the portfolio undergoes a rigorous daily monitoring process for news, price fluctuations and technical shifts, complemented by monthly assessments of multiples and quarterly qualitative and fundamental analyses, consistently applying a systematic and time-tested approach.
The Ironwood Small Cap Core model is meticulously crafted through a stock-by-stock, bottom-up approach. Portfolio managers initiate positions with an average weight of 75-125 basis points at cost, which serves as a protective measure, limiting exposure to downside risk with each new investment. The maximum single security position size is capped at 2% at cost and 10% overall, seeking prudent risk management. While explicit constraints on sector weightings are not imposed, the typical practice refrains from holding more than 30% in any given sector. Currently, the maximum exposure to non-US assets is set at 10%, although, in practice, it is usually much lower. In essence, the portfolio management approach emphasizes diversification and risk aversion, with a keen focus on identifying undervalued, high-quality companies.
The EQIS Small Cap Growth strategy is a compelling and focused investment approach designed to capitalize on the vast potential of the Small Cap Growth segment and is expertly crafted to address the unique dynamics and opportunities present in this rapidly growing market. The EQIS team employs a rigorous quantitative process to identify investment opportunities and seeks to deliver consistent returns for investors by maintaining a diversified portfolio across various asset classes, sectors and industries in the Small Cap Growth segment. Whether it's capturing the value potential of undervalued assets or capitalizing on the momentum of high-growth companies, the EQIS Small Cap Growth strategy aims to create consistent returns relative to the market.
The EQIS Small Cap Value strategy is tailored to harness the significant potential within the Small Cap Value asset class. This strategy is meticulously designed to navigate the distinct dynamics and prospects inherent in this rapidly expanding market segment. The strategy aims to provide investors with reliable returns by maintaining a well-diversified portfolio spanning various asset classes, sectors and industries within the Small Cap Value segment. Whether it involves unlocking the value potential of undervalued assets or capitalizing on the growth momentum of high-potential companies, the EQIS Small Cap Value strategy strives to consistently outperform the market.
The representations and opinions of BirdRock and Ironwood herein are their own and are not the opinions or views of EQIS. The information is believed to be reliable but is neither guaranteed by EQIS nor any of its affiliates. EQIS and BirdRock and Ironwood are not affiliated. EQIS does not provide tax or legal advice.
Performance figures for individually listed third-party models are for illustrative purposes only and do not reflect the platform fee. A side-by-side comparison of net and gross performance for the models reflected in this document is available on the EQIS platform. Past performance is not indicative of future results.