Client Access
Featured Article
Quality is the Key to Getting the Shift to Small Cap Value Right

Investment Products

AllCap Value Strategy

AllCap Value

Strategy

Objective
Designed to outperform the Russell 3000® Value Index over a full market cycle.

Philosophy & Approach
We believe that: 

  • Investing in undervalued, high-quality businesses can generate a return premium resulting in lower absolute downside risk and superior risk-adjusted returns.
  • Superior business models have sustainable competitive advantages that can consistently generate returns on capital in excess of the cost of capital.
  • High quality businesses have better opportunities to reinvest cash flows, pursue M&A and return capital to investors, creating long-term value for shareholders.
  • Quality performs better during periods of volatility resulting in lower downside risk.
  • Identifying the intersection of quality and value requires a fundamental active, multifaceted approach analyzing profitability and financial strength specific across industries.
  • Valuation methods using cash flows and earnings is essential to determine intrinsic value — making valuation critical to realizing the return premium.
  • Typically invests in a high-conviction portfolio of approximately 50 to 80 securities with attractively valued high-quality companies with strong fundamentals.

Vehicles and Minimums

Separately Managed $25M
Other Pooled Vehicles $5M

Key Characteristics
as of 09/30/24

Assets Under Management $184.7M
Inception Date 07/01/02
Holdings 50
Related Materials

Performance (%)
as of 09/30/2024

QTDYTD1-Yr Annualized3-Yrs Annualized5-Yrs Annualized10-Yrs AnnualizedSince Inception
AllCap Value Strategy Gross of Fees6.3011.3521.608.3110.929.759.83
AllCap Value Strategy Net of Fees6.1410.8620.897.6610.258.969.20
Russell 3000 Value Index9.4716.2327.658.7010.619.178.57
See disclosure

Why Westwood
We have applied the same investment philosophy and core principles since our founding in 1983. Our competitive advantage is centered around our research process and investing where quality and value intersect.

  • High Conviction: Differentiated investment performance starts with differentiated portfolios, focused on high active share and built from a bottom-up process.
  • Emphasis on Downside Risk: The qualitative and quantitative assessment of absolute downside risk is paramount to outperforming over the long term and ensuring the reward justifies our risk when we invest.
  • Team-Based Approach: Both our analysts and portfolio team members maintain a collaborative environment to ensure consistency of our approach over the long term to overcome individual biases during both idea generation and vetting as well as portfolio construction.
  • Our Culture: Employee ownership is a highly valuable component to creating a culture of ownership while driving superior performance.

AllCap Value Strategy
Sector Weight Distribution (%)

Tap chart to show detail

AllCap Value Strategy Portfolio Managers

Todd L. Williams, CFA®
Senior Vice President, Director of Equity Research, Portfolio Manager
Lauren C. Hill, CFA®
Senior Vice President, Portfolio Manager, Research Analyst
Michael H. Wall
Vice President, Portfolio Manager, Research Analyst

Related Materials

Fact Sheet

For purposes of compliance with the GIPS standards, the firm (“Westwood” or the “Firm”) is defined as the assets of Westwood Management Corp. (“WMC”) and Westwood Advisors, L.L.C. (“Westwood Advisors”). WMC and Westwood Advisors are wholly owned subsidiaries of Westwood Holdings Group, Inc. (NYSE: WHG). WMC and Westwood Advisors are both SEC registered investment advisers under the Investment Advisers Act of 1940. WMC provides investment advisory services, primarily managing equity and fixed income portfolios, and Westwood Advisors provides investment advisory services, primarily to individual clients and entities as part of Westwood’s Wealth Management division. On February 1, 2018, Westwood redefined the Firm by adding the assets of Westwood Advisors so that all SEC registered investment advisers under WHG would be included in the Firm definition. Policies for valuing portfolios, calculating performance, and preparing compliant presentations are available upon request, as is a complete list and description of the Firm’s composites, by contacting [email protected].

Westwood Management Corp. claims compliance with the Global Investment Performance Standards (GIPS®). Unless otherwise stated, performance shown is in U.S. Dollars.

The AllCap Value Composite includes all taxable and tax-exempt, fee-paying fully discretionary accounts generally invested in equity securities with market capitalizations greater than $100 million at purchase and having comparable objectives. The minimum portfolio size for inclusion in the AllCap Value Composite is $5 million beginning January 1, 2006. Portfolio returns reflect the reinvestment of dividend and interest income. The composite is benchmarked against the Russell 3000 Value Index. The Russell 3000 Value Index measures the performance of those Russell 3000 Index companies with lower price-to-book ratios and lower forecasted growth values. The stocks in this index are also members of either the Russell 1000 Value or the Russell 2000 Value indices. The comparative index returns include reinvestment of income but do not include transaction costs or management fees.