Strategic Partner Managed Accounts

Strategies We Believe You Can Utilize With Confidence

TODD LARGE CAP INTRINSIC VALUE STRATEGY


This strategy seeks to outperform the Russell 1000 Value Index over full market cycles with less volatility.

Todd Asset Management, LLC

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Todd Asset Management traces its roots to 1967 when Bosworth Todd founded Todd Investment Advisors as a value-oriented investment advisor employing the customary measures of identifying attractive value. In 1986, responding to changing markets and frustration with the static nature of standard value practices, Todd Investment Advisors adopted its unique methodology using intrinsic value to identify a stock's true underlying value. Today, with 30-plus years of experience with the intrinsic value methodology, Todd Asset Management continues to believe Price to Intrinsic Value ("P/IV") is still the most effective method for determining the relative attractiveness of one stock versus another regardless of economic sector.


INVESTMENT OBJECTIVE & PRINCIPAL STRATEGY

Todd Asset Management believes Price/Intrinsic Value (P/IV) is the most effective fundamental calculation to determine the true valuation of a stock.

The P/IV calculation, coupled with the firm’s proprietary Multi-Factor Ranking Model, forms a comprehensive disciplined process including risk controls, designed to build a portfolio of high-quality, large cap stocks that consistently outperforms the Russell 1000 Value over full market cycles.

Depending on market conditions investments may include internationally domiciled, US traded equities. These holdings will generally not exceed 15% at time of purchase.

Investment Process

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Risk Controls

  • Buy and sell disciplines are managed by a portfolio management team averaging more than 35 years of experience.
  • Disciplined fundamental stock review and buy discipline utilizing proprietary Multi-Factor Ranking Model to help avoid value traps
  • Broadly diversified portfolio of 40-60 stocks across all major sectors
  • Sector weight limits of approximately +/- 10% relative to the S&P 500 Index weightings
  • Maximum issue weightings of 3% at initial cost and 5% at market
  • Stringently enforced sell discipline

Stocks are considered for sale when:

  • P/IV ratio rises into the top 30% of the S&P 500®
  • Fundamentals of company or industry weaken
  • Multi-Factor Composite Score falls below 8

Stocks are a mandatory sale when:

  • P/IV ratio is > 1.5x the P/IV of S&P 500®
  • Structural negative or accounting issues
  • Multi-Factor Composite Score falls below 6

CONTACT US
866.606.7220

Portfolio Facts
Advisor: Todd Asset Management LLC
Strategy Inception:   1/1/1981
Benchmark:   Russell 1000 Value Index
Objective:   Capital Appreciation
Plotting Course Right Rail


Each account will be managed on an individual basis and will have variations. Investment returns and principal value will fluctuate and there can be no assurance that the strategy’s objective will be achieved. Refer to Todd Asset Management’s ADV and strategy fact card for full details regarding the strategy, objectives, fees, risks and additional details about the advisor and strategy. The results and portfolios for individual portfolios may vary.

AAM acts as a third-party marketing to the Manager and does not act as an investment advisor to the strategy referenced above. 

The S&P 500 Index is a capitalization-weighted index that measures the performance of 500 large capitalization domestic stocks representing all major industries. The S&P 500 Index is the most appropriate benchmark to best reflect broad market performance.

The Russell 1000® Value Index measures the performance of the large cap value segment of the US equity universe. It includes those Russell 1000® companies with lower price-to-book ratios and lower expected growth values. The Russell 1000® Index represents the 1,000 top companies by market capitalization in the United States. It comprises approximately 92% of the total market capitalization of all listed stocks in the US equity market and is considered a bellwether index for large-cap investing.

Principal Risks: The Todd Large Cap Intrinsic Value Strategy is designed for long-term investors who are willing to accept short-term market price fluctuations. Principal risks of investing in this strategy include general stock market and business risk. There are times the overall market may not favor value-style investing, and it is possible the intrinsic value of the underlying stocks may never be realized.

CRN: 2024-0924-12009 R