Equities

William Blair Small Cap Growth Strategy

The William Blair Small Cap Growth strategy seeks to invest in a portfolio of quality growth companies that exhibit superior profitability, growth, and returns on invested capital whose stocks are trading at attractive valuations.

Why William Blair Small Cap Growth Strategy?

  • The strategy is designed to provide strong investment performance over the long term.
  • The strategy is offered by an independent, privately held firm that provides stability and the ability to attract and retain talent.
  • The experienced portfolio-management team is supported by a deep and talented team of research analysts.
  • The strategy uses a time‐tested quality growth investment philosophy and process predicated on rigorous fundamental research.

Investment Philosophy

  • Quality growth companies embody long‐term corporate success given experienced and incentivized management teams, differentiated business models, and attractive financial characteristics.
  • We believe our ability to outperform is driven by exploiting three market inefficiencies among stocks of quality growth companies: the market underappreciating the level and/or duration of long‐term growth; the market overreacting to short‐term factors despite attractive long‐term growth; and the market lacking knowledge of long‐term growth opportunities.
  • We use a research-intensive fundamental investment approach that typically includes company visits, focused discussions with management about issues critical to the investment thesis, conversations with independent sources, financial modeling, and valuation analysis.

Portfolio Design

  • Benchmark: Russell 2000 Growth Index
  • Number of holdings: 70 to 90
Sep Account Mutual Fund SICAV CIT
Sep Account Mutual Fund SICAV CIT
  • Management          detail

    Balkin_Mike_lowMichael Balkin, Partner

    Michael Balkin, partner, is a portfolio manager on William Blair's Small Cap Growth strategy. He rejoined William Blair in 2008 after three years as a portfolio manager and chief investment officer of Magnetar Investment Management. He originally joined William Blair in 1990, covering small-cap growth companies for the firm's sell-side institutional research sales group, and became a portfolio manager on William Blair's Small Cap Growth strategy in 1999. Michael received a B.A. from Northwestern University.

    Sexton_Ward-landWard D. Sexton, CFA, Partner

    Ward Sexton, CFA, partner, is a portfolio manager on William Blair's Small Cap Growth and Small-Mid Cap Core strategies. Previously, he was an associate portfolio manager on William Blair's Small Cap Growth strategy and a research analyst. He joined the team in 2001 and covered resource, financial, and consumer companies during his time as an analyst. He joined William Blair in 1999, initially working in the firm's corporate finance group for two years. Ward is a member of the CFA Institute and the CFA Society Chicago. He received a B.S. in finance, with honors, from the University of Illinois Urbana-Champaign and an M.B.A., with high honors, from the University of Chicago's Booth School of Business.

  Sep Account Mutual Fund SICAV CIT
  • Disclosure          detail

    This material is provided by William Blair for informational purposes only and is not intended as investment advice. Any investment or strategy mentioned herein may not be suitable for every investor. Information and opinions expressed are those of the author(s) and may not reflect the opinions of other investment teams within William Blair. Information is current as of the date appearing in this material only and subject to change without notice.

    Risk
    The strategy’s returns will vary, and you could lose money by investing in the strategy. The strategy invests most of its assets in equity securities of small-cap domestic growth companies where the primary risk is that the value of the equity securities it holds might decrease in response to the activities of those companies or market and economic conditions. Individual securities may not perform as expected or a strategy used by the adviser may fail to produce its intended result. Investing in smaller companies involves special risks, including higher volatility and lower liquidity. Small-cap stocks are also more sensitive to purchase/sale transactions and changes in the issuer’s financial condition. These risks are intensified for investments in micro-cap companies. Individual securities may not perform as expected or a strategy used by the adviser may fail to produce its intended result. Convertible securities may be called before intended, which may have an adverse effect on investment objectives. The strategy is not intended to be a complete investment program. The strategy is designed for long-term investors.