Commentaries:

Contact:

Smith Capital, LLC

500 Westpark Drive, Suite 100
Peachtree City, GA 30269
(770) 631-0600 | Email
Contact Smith Capital

Opportunistic Equity

Opportunistic EquityObjective

The Opportunistic Equity Portfolio strives to identify and capitalize on undervalued investment and trading opportunities within global equities to produce returns in excess of broad equity indices.  The portfolio is designed to prudently and aggressively pursue appreciation of clients’ capital with a contrarian perspective and operating in a nimble manner.

Strategy & Process

To achieve the Opportunistic Equity Portfolio objective Smith Capital seeks to capitalize on individual domestic and foreign stocks that are trading at significant discounts to our estimate of intrinsic value, yet display near-term potential for such undervaluation to be resolved.  We employ a proprietary quantitative system to screen for and rank stocks based on multiple fundamental and technical variables, and then construct the portfolio with an average of 20-30 of the highest ranked stocks based on our models.

In our endeavor to be nimble and maximize profits while minimizing losses, we also employ technical analysis of a stock’s price pattern to time the optimal entry and exit points.  Additional risk management is implemented through utilizing the Smith Capital Allocation Engine to drive our decisions regarding how much overall capital to commit to the stock portfolio versus holding in cash.

The Smith Capital Quantitative Filtering and Ranking Models are used to drive the stock selection process within the Opportunistic Equity Portfolio strategy, along with the utilization of the Smith Capital Allocation Engine to direct the risk control mechanism.

Advisory Structure

The Smith Capital Opportunistic Equity Portfolio is periodically implemented as a separate account sub-set strategy within the context of Smith Capital clients’ overall wealth steward portfolios and mandates.

We also manage the portfolio strategy as a pure single mandate for select individual and institutional clients.  The strategy is implemented and managed through separate accounts individually registered under each client, and where each account is custodied by a third-party custodian.  Smith Capital LLC does not take possession of or maintain custody of any clients’ assets.