Fundamental
Highlights
- Core approach. Diversified and carefully risk managed.
- All-cap. Full universe of opportunities.
- Fundamental, bottom-up security selection.
- Proprietary database covering 400+ stocks.
- Deep, stable team with long track record.
- ESG considerations integrated into the strategy.
Investment philosophy
- Macroeconomic themes influence markets over longer term.
- Opportunities exist when fundamentals vary from consensus expectations.
- All capitalization coverage maximizes breadth of opportunities.
- Disciplined fundamental approach is basis of security selection.
- Price attractiveness and valuations are key.
Investment process
- Fundamental ranking system: Universe ranked on key factors including financial and management strength, profitability, growth and price attractiveness.
- Independent bottom-up research: Understanding companies’ business models and long-term operating strategies.
- Management interviews: Confidence gauged through management interviews, on-site visits and discussions with customers and competitors.
- Strategic outlook: Each business evaluated in context of its industry and competitive environment.
- Target prices: Price targets established and reviewed regularly to ensure consistent application of buy and sell disciplines.
- Top-down overlay: Historical and current valuations and macroeconomic factors shape sector overweight or underweight decisions.
Portfolio construction & risk management
- Portfolio is weighted toward stocks with the greatest upside potential.
- Fundamental analysis assesses business risk, liquidity and valuation risk.
- Risk management is part of the investment process, not an afterthought.
- There are strict position limits on individual security weights.
Risk disclosure
- Investors should be aware of the material risks of CC&L’s Fundamental Equity strategies, which may include, but are not limited to counterparty, equity, interest rate, leverage, liquidity, market, performance and small company risk. For more information on the material risks of each investment strategy, please contact CC&L.
Our fundamental equity strategies
CC&L Fundamental Canadian Equity
Investment Objective
Generate returns equal to the return of the benchmark, S&P/TSX Capped Composite Index, plus 2% per annum over a market cycle.
Maximize long-term total return while prudently managing investment risk relative to the benchmark.
CC&L Small Cap Canadian Equity
Investment Objective
Generate returns equal to the return of the benchmark, 60% S&P/TSX Small Cap Index + 40% S&P/TSX Completion Index, plus 3.0% per annum over a market cycle.
Maximize long-term total return while prudently managing investment risk relative to the benchmark.
CC&L Equity Income & Growth Plus
Investment Objective
Construct a portfolio of primarily income-oriented equity instruments focused on maximizing the long-term total return while generating a portfolio yield in excess of that of the S&P/TSX Composite Index.
Maintain total risk below that of the S&P/TSX Composite Index over long-term periods.
CC&L Combined Equity
Investment Objective
Generate returns equal to the return of the benchmark, 98% S&P/TSX Capped Composite Index + 2% FTSE Canada 91 Day T-Bill Index, plus 2% per annum over a market cycle.
Maximize long-term total return while prudently managing investment risk relative to the benchmark.
Investment Objectives Disclosure
The Strategy’s investment objectives are targets only. Actual performance may differ materially,
including due to market or economic factors, portfolio management decisions, modelling error, or other reasons.
In determining the added value targets, CC&L may consider the Strategy’s performance during historical periods,
the level of estimated risk over a market cycle as well as the parameters used in the Strategy’s portfolio construction process.
For more information about services available to you as a
CC&L Investment Management client, please contact:
Phil Cotterill
Director & Portfolio Manager,
Head of Client Solutions
Tel: +1 (604) 685-2020
Email: [email protected]
Brent Wilkins
Senior Vice President,
Head of Institutional Sales, Canada
Tel: +1 (416) 364-5396
Email: [email protected]
For additional information on Connor, Clark & Lunn Investment Management, please contact:
Brent Wilkins
Senior Vice President,
Head of Institutional Sales, Canada
Eric Hasenauer
Senior Vice President, Co-Head of
Institutional Sales, USA
John Ricketts
Senior Vice President, Co-Head of
Institutional Sales, USA
Phil Cotterill
Director & Portfolio Manager,
Head of Client Solutions
Please take the time to carefully read the following as it contains important information regarding certain restrictions imposed by statute and the applicable securities regulatory authorities on the distribution of information through this website.
Material presented on this website should be considered for background information only and should not be construed as investment or financial advice. Further, information on this website should not be construed as an offer or solicitation by the Connor, Clark & Lunn group of companies to provide investment management services or to buy or sell any products.
The Connor, Clark & Lunn Investment Management (CC&L) website may contain hyperlinks to websites operated by parties other than CC&L. Such hyperlinks are provided for your reference only. CC&L does not control such websites and is not responsible for their contents. The inclusion by CC&L of hyperlinks to other websites does not imply any approval or endorsement of the material on such websites or any association with their operators.
The Connor, Clark & Lunn group of companies includes a number of entities that may be registered as investment advisers, investment fund managers and exempt market dealers in various provinces and territories of Canada. A number of entities are also registered with the Unites States Securities and Exchange Commission as advisers in that country and the Connor, Clark & Lunn group of companies also includes a number of investment advisers and fund managers that are authorized and regulated by the Financial Conduct Authority in the United Kingdom. The information provided on this website regarding each entity is directed solely towards qualified investors in jurisdictions where the appropriate entity is registered. Services offered by any of the entities in the Connor, Clark & Lunn group of companies are offered solely to qualified residents of the jurisdictions where the entities are qualified to do business.
Certain securities regulations prohibit the publication of specific registration information about the registered entities in the Connor, Clark & Lunn group of companies. For more information, please contact the Connor, Clark & Lunn Compliance Department at [email protected] or 604-685-2020.