Security Selection

Our Security Selection Process Involves:

Identifying Macro Drivers

Economic, political and sentiment drivers shape portfolio themes and weights.

Prospect List Definition

Basic quantitative screening process to help minimize risk and narrow the prospect list. Research Analysts screen any securities with insufficient liquidity or solvency. Securities are further screened based on our macro views including valuation and/or style. Lastly, an outlier analysis is conducted to identify any stocks with categorization, pricing, business activities and/or other characteristics outside of the peer group to ensure selected securities best leverage higher level themes.

Security Selection

Prospect list is further narrowed based upon fundamental research. Fundamental analysis includes:

Strategic Attribute Identification

Seek firms with underappreciated competitive or comparative advantages relative to peers.

Strategic Attribute Preferences

Identify attributes that best leverage portfolio themes.

Attribute Execution Analysis

Evaluates if the firm’s management has a cohesive executable plan for exploiting its strategic attribute(s).

Relative Valuation Analysis

Examines current valuations relative to peers, historic valuations, and the market.

Operational Risk Assessment

Operational red flag assessment to identify potential risks unrelated to valuations or day-to-day management.

About Fisher Investments

Founded in 1979, Fisher Investments is an independent, fee-only investment adviser with $197 billion under management.* Fisher Investments maintains four principal business units, Fisher Investments Institutional Group, Fisher Investments Private Client Group, Fisher Investments 401(k) Solutions Group and Fisher Investments Private Client Group International, which serve a global client base of diverse investors. The clients of Fisher Investments and its affiliates include over 100,000 clients. Founder and Executive Chairman Ken Fisher’s “Portfolio Strategy” column for Forbes ran from 1984 through 2016, making him the longest continually running columnist in the magazine’s 90+ year history. He has also authored several New York Times bestsellers on finance and investing. (*As of 3/31/2022)