A Fundamentally Based, Risk-Managed Approach to Leveraged Finance
A transparent, repeatable process based on fundamental, bottom-up research with a goal to produce attractive risk-adjusted returns for our clients.
George: We strive to identify undervalued companies through our bottom-up research process that have positive catalysts that we believe will generate consistent returns through an investment cycle. We have a very thorough investment process focusing on items such as asset coverage, the management team, free cash flow generation. We are also index agnostic. So we obviously are aware of the index but we don’t manage to it. So you could see us underweight sectors, completely void sectors or overweight sectors where we’re identifying more credits that meet our investment criteria. So through, you know, through a full cycle we believe our clients will achieve superior risk-adjusted returns through our transparent, repeatable process.
George: [00:00:51] We have a very strict portfolio construction methodology. And through that we have a strict sell discipline where we identify price movers, you know, relative to peers in that sector. So if a particular name drops more than 5% relative to its peers we’ll review that credit, make sure that it’s still meeting our criteria. If it’s not we will look to start to sell that position. We also have strict position limits as well as industry limits that contain risk from a total exposure perspective.
George: [00:01:25] We think Seix, as a fixed income-only boutique, does one thing and does it well and that is fixed income investing. We have been around for over 20 years and I think that speaks volumes as to our process, our people, our culture. And for that we think, you know, with the experienced analysts we have and the process of sticking to our investment style and not straying from it, that Seix for those reasons can offer many advantages to its clients.
DISCLOSURES: All investments involve risk. Comments and general market related projections are based on information available at the time, are for informational purposes only, are not intended as individual or specific advice, may not represent the opinions of the entire firm and may not be relied upon for individual investing purposes. Information provided is general and educational in nature, provided as general guidance on the subject covered and is not intended to be authoritative. All information contained herein is believed to be correct but accuracy cannot be guaranteed. This information may coincide or conflict with activities of the portfolio managers. It is not intended to be and should not be construed as investment, legal, estate planning or tax advice. RidgeWorth does not provide legal, estate planning, or tax advice. © 2016 RidgeWorth Investments. All rights reserved. RidgeWorth Investments is the trade name for RidgeWorth Capital Management LLC, an investment adviser registered with the SEC and the adviser to the RidgeWorth Funds. RidgeWorth Funds are distributed by RidgeWorth Distributors LLC, which is not affiliated with the adviser. Seix Investment Advisors LLC is a registered investment adviser with the SEC and a member of the RidgeWorth Capital Management LLC network of investment firms. All third party marks are the property of their respective owners.
Other videos in the RidgeWorth Advantage series:
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The RidgeWorth Advantage
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The Art and Science of Value Investing
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