Fact Sheet as of September 30, 2023
Philosophy, Characteristics, Performance
Inception Date: December 31, 2019
Vehicles: Separately Managed Account (SMA)
Argent Capital’s SMID Cap Strategy uses a blend of quantitative and fundamental research to point the team toward the right companies in the right sectors, at the right time that we believe can thrive in an ever-changing world. These Enduring Businesses exhibit a durable competitive advantage, have positive and improving cash flow characteristics, and are run by management teams with a proven track record of value creation.
We start with an investment universe of approximately 3,800 publicly-traded U.S. stocks with market capitalizations in the range of the Russell 2500 Index with market liquidity of more than $1 million. The resulting opportunity set for the investment of approximately 3,200 SMID Cap companies is then ranked by the Argent Alpha Model, a proprietary quantitative tool. Companies that score in the top 30% of the Argent Alpha Model are candidates for fundamental analysis. Ultimately, we are looking for alignment between the output of the Argent Alpha Model and the fundamental research conducted by our team. The goal of the SMID Cap strategy is to outperform the Russell 2500 Index over the long term.
Click here to learn more about the Argent Alpha Model and our integrated blend of quantitative and fundamental analysis.