StoneRidge Small-Mid Cap Growth Portfolio: Unlocking Growth Potential in Hidden Gems


The small- and mid-cap space is fertile ground for uncovering high-growth companies, but navigating its complexities can be challenging. Consider the StoneRidge Small-Mid Cap Growth Portfolio, an actively managed strategy that seeks to identify and invest in the future leaders of tomorrow within this dynamic market segment.

Beyond the Obvious

Unlike many managers in this category that chase short-term trends, the StoneRidge Small-Mid Cap Growth Portfolio employs a patient, research-driven approach. Its experienced investment team delves deep into individual companies, conducting rigorous fundamental analysis to discover:

  • Emerging disruptors: Companies with innovative products, services, or business models poised to shake up their industries.
  • Sustainable growth drivers: Businesses with unique competitive advantages and clear paths to long-term expansion.
  • Strong management teams: Leaders with proven track records, a clear vision, and a commitment to shareholder value creation.

A Concentrated Portfolio for Impact

Portfolio construction reflects the team's high-conviction philosophy, typically holding 30-45 companies, allowing for in-depth research and concentrated exposure to its most promising small- and mid-cap growth picks. This focus aims to amplify the potential for alpha generation beyond a passively managed index.

When is This Strategy Best Positioned to Shine?

The StoneRidge Small-Mid Cap Growth Portfolio is expected to excel in specific market conditions:

  • Periods of smallercap outperformance: When small- and mid-cap stocks outperform the broader market, this portfolio's focused selection can magnify returns.
  • Early stages of economic cycles: Smaller companies can be more nimble and responsive to economic shifts, potentially leading to outperformance during early growth phases.
  • Market inefficiencies: The active management approach aims to exploit inefficiencies in the small- and mid-cap space, where research coverage is often limited.

Investors to Consider

This strategy might be suitable for investors seeking:

  • High-growth potential: Accessing the explosive growth potential of small- and mid-cap companies with the opportunity for significant alpha generation.
  • Active management expertise: Leveraging StoneRidge's experienced team and research capabilities to navigate the complexities of small- and mid-cap investing.
  • Higher risk tolerance: Small- and mid-cap stocks are inherently more volatile, so investors should be comfortable with potential fluctuations.

Unearthing Tomorrow's Giants

The StoneRidge Small-Mid Cap Growth Portfolio offers a compelling approach for investors seeking to tap into the growth potential and alpha generation opportunities within the small- and mid-cap universe. If you're comfortable with higher risk and believe in the power of active management, this portfolio could be a suitable avenue for achieving your investment goals.



The representations and opinions of StoneRidge herein are their own and are not the opinions or views of Freedom Advisors. The information is believed to be reliable but is neither guaranteed by Freedom Advisors nor any of its affiliates. Freedom Advisors and StoneRidge are not affiliated. This document and the information contained herein is intended for informational purposes only. It does not constitute investment advice or a recommendation with respect to investment. Investing in any strategy should only occur after consulting with a financial advisor. Freedom Advisors does not provide tax or legal advice.


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