Marshall said that its portfolio management team will select companies that it believes trade at a discount to intrinsic value and that have meaningful upside potential relative to downside risk, using bottom-up stock selection process.
The team at Marshall Funds will screen their investment universe for traditional value metrics such as low price-to-earnings, low price-to-book, and high free cash flow yields.
In addition, they will also search for companies with under-appreciated assets that are involved in corporate restructuring or turnarounds, or have been sold off due to temporary issues or earnings shortfalls.
According to the investment advisor its team’s research process evaluates a company’s financial statements, industry position, management team, Wall Street expectations, and potential downside risks before initiating a position.
With over 30 years of investment experience, Matthew Fahey, senior vice president for portfolio manager and director of equities of M&I Investment Management, the adviser to the Marshall Funds, will serve as the fund’s lead portfolio manager.
M&I Investment Management president and chief investment officer Tommy Huie said that the Marshall Funds family now has 20 funds across the risk/return spectrum and provides a full array of equity styles.
"This fund allows clients the opportunity to invest in a diversified portfolio of undervalued small-cap stocks that we believe are trading at a discount relative to their intrinsic value," said Matt Fahey.
