Summary of Investment Strategy

This strategy invests in small and mid-sized companies in the emerging markets following our value-oriented and systematic investment approach. It is based on our proprietary stock selection process (CHICCO). The process combines a quantitative stock screening with a subsequent fundamental assessment of all buy candidates. For the small cap space, we also consider additional liquidity criteria. The Emerging Markets Small Cap Strategy focuses on identifying the most attractive, smaller companies in the developing world.

An essential element of the portfolio construction is broad diversification by equal weighting selected stocks. This systematically diversifies opportunities and risks and avoids cluster risks. Country allocation is based on the relative attractiveness of the respective markets. The sector allocation is derived indirectly through the fundamental, bottom-up stock selection process.

The modular structure enables tailor-made portfolios according to individual client needs and investment guidelines.