Polen Focus Growth Factsheet Sept 2015 (Institutional)
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Transcript of Polen Focus Growth Factsheet Sept 2015 (Institutional)
Polen Focus GrowthSeptember 30, 2015
Our Focus Growth strategy seeks to achieve long-term growth of capital by building a concentrated portfolio of outstanding businesses with competitive advantages and the potential for sustained superior growth.
Investment Philosophy
We believe consistent earnings growth is the primary driver of intrinsic value and long-term stock appreciation. Accordingly, our efforts focus on identifying and then investing in a concentrated portfolio of Large Cap Growth companies that we believe arecapable of delivering sustainable, above-average earnings growth.
We seek to invest in companies with growing earnings driven by a sustainable competitive advantage, superior financial strength, proven management teams and powerful products/services. We hold the view that such exceptional companies not only have the potential to contribute outsized returns but are also inherently less risky. Their greater earnings' stability and financial strength offer a "Margin of Safety" that typically results in less volatility during declining markets.
Investment Objective
Performance Relative to Peer Group
Peer Group (5-95%): Separate Accounts/CITs - U.S. - Large Growth
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Ret
urn
-7.5
-5.0
-2.5
0.0
2.5
1 Year 3 Years 5 Years 7 Years 10 Years 15 Years 20 Years Since Inception
5.0
7.5
10.0
12.5
15.0
17.5
Polen Focus Growth Russell 1000 Growth TR USD
Trailing Returns as of 9/30/2015
1 Year 3 Years 5 Years 7 Years 10 Years 15 Years 20 YearsSince
Inception(12/31/88)
Polen Large Cap Growth (Gross)
Polen Large Cap Growth (Net)
Russell 1000 Growth TR USD
17.16 13.79 14.18 11.67 9.30 6.13 10.26 12.39
3.17 13.61 14.47 11.73 8.09 2.20 7.49 9.67
18.20 15.17 15.65 13.16 10.75 7.60 11.91 14.26
Trailing Annualized Performance as of 9/30/2015
Ret
urn
1 Year 3 Years 5 Years 7 Years 10 Years 15 Years 20 Years Since Inception (12/31/88)
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
16.0
18.0
20.0
Polen Focus Growth (Gross) Polen Focus Growth (Net) Russell 1000 Growth TR USDPOLEN CAPITAL CONTACTS (800) 358-1887
Jim HaymesDirector of Institutional Relationsext:226Email:[email protected]______________________________Anthony XuerebRelationship Managerext:207Email: [email protected]_____________________________Svet BilskySr. Relationship Associate ext:235Email: [email protected]_____________________________Christian BaenaRelationship Associateext:236Email: [email protected]_____________________________Eric JensenPerformance Analystext:229Email: [email protected]
PRODUCT PROFILE
Firm Profile:Polen Capital was founded in 1979. We are a disciplined, bottom-up, concentrated U.S. equity investment manager. Our sole focus is high quality large cap growth investments. We have been managing separately managed accounts for various client types including high net worth individuals and family offices, endowments and foundations, corporations, and public funds since 1989. Polen Capital is 100% independently owned and operated.__________________________Product Inception:January 1, 1989__________________________Experienced Management:Team of investment professionals with over 87 years of combined experience. __________________________Style:Growth__________________________Market Capitalizaton:Large__________________________Number of Stock Holdings:15-25__________________________Contact Information:1825 NW Corporate Blvd, Suite 300Boca Raton, FL 33431(800) [email protected]
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Polen Focus GrowthSeptember 30, 2015
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Performance Disclosure:Polen Capital Management, LLC is an independent registered investment advisor. The firm has been managing large cap growth equity portfolios for institutional and high net worth individual clients since 1989.
PCM claims compliance with the Global Investment Performance Standards (GIPS). This presentation is supplemental information to the fully compliant composite performance disclosure available at www.polencapital.com.
All performance is calculated in US Dollars. Past performance is not indicative of future results. Returns are presented gross and net of management fees and include the reinvestment of all income.
The primary benchmark for the large capitalization equity composite is the Russell 1000® Growth Index. The Russell 1000® Growth Index (R1000G) is an unmanaged index that measures the performance of the large-cap growth segment of the U.S. equity universe. It includes those Russell 1000® Growth Index companies with higher price-to-book ratios and higher forecasted growth values. It is impossible to invest directly in an index. The performance of an index does not reflect any transactions costs, management fees, or taxes.
*Holdings are subject to change. The top holdings, as well as other data, are as of the period indicated, and should not be considered a recommendation to purchase, hold, or sell any particular security. There is no assurance that any of the securities noted will remain in a portfolio at the time you receive this fact sheet. Actual holdings and percentage allocation in individual client portfolios may vary and are subject to change. It should not be assumed that any of the holdings discussed were, or will prove to be, profitable, or that the investment recommendations or decisions we make in the future will be profitable. A list of all securities held in this strategy in the prior year is available upon request.
**Long-term EPS Growth estimates for the Focus Growth portfolio are Polen Capital estimates. Our long-term estimates for the market indices are based off of 10 year historical data capturing different market cycles.
1 The inception date of the large cap equity composite is 1/1/1989
2 Source: Morningstar Direct
Dan Davidowitz, CIO & Portfolio Manager Mr. Davidowitz joined Polen Capital in 2005. Mr. Davidowitz leads the investment team and is the lead Portfolio Manager on the firm's flagship Focus Growth strategy. B.S. Rutgers University, MBA City University of New York, Baruch College Zicklin School of Business. Mr. Davidowitz is a CFA charterholder.
Damon Ficklin, Portfolio Manager & AnalystMr. Ficklin joined Polen Capital in 2003. Mr. Ficklin is Co-Portfolio Manager & Research Analyst on the firm's flagship Focus Growth strategy. B.S. University of South Florida, M.S.A. Appalachian State University, MBA The University of Chicago Booth School of Business. Mr. Ficklin is a Certified Public Accountant(CPA).
Todd Morris, Director of Research & AnalystMr. Morris joined Polen Capital in 2011. Mr. Morris received his B.S. U.S. Naval Academy, MBA Columbia Business School. Mr. Morris served seven years as an officer in the U.S. Navy.
Stephen Atkins, Research AnalystMr. Atkins joined Polen Capital in 2012. B.S. Georgetown University, General Course degree London School of Economics. Mr. Atkins is a CFA charterholder.
Brandon Ladoff, Research AnalystMr. Ladoff joined Polen Capital in 2013. He received his B.S. in Accounting from the University of Florida. He also completed a Certificate in Business Policy at the Wharton School of Business and earned a J.D. from the University of Pennsylvania Law School.
Jeff Mueller, Research AnalystMr. Mueller joined Polen Capital in 2013. B.A. Trinity University in San Antonio, MBA Columbia Business School. Mr. Mueller served 10 years in the U.S. Marine Corp.
Calculation Benchmark: Russell 1000 Growth TR USD Portfolio Date: 9/30/2015
Polen R1000G
Nike Inc Class B
Visa Inc Class A
Starbucks Corp
Alphabet Inc Class C Capital Stock
Priceline Group Inc
TJX Companies Inc
Abbott Laboratories
Regeneron Pharmaceuticals Inc
Accenture PLC Class A
Nestle SA ADR
7.58
7.28
6.42
5.60
5.38
5.15
5.14
4.71
4.70
4.67
0.84
1.38
0.86
1.81
0.65
0.49
0.37
0.62
Investment Team Top Ten Holdings*
Weights
Technology
Consumer Discretionary
Healthcare
Producer Durables
Financial Services
Consumer staples
Materials & Processing
Cash
Utilities
Energy
0.0 10.0 20.0 30.0 40.0
29.1
28.7
13.1
9.2
9.2
4.7
3.3
2.5
Polen R1000G
Active Share 81% -
Price/Earnings Fwd 21.1 17.0
Price/Earnings Trailing 12M 24.0 19.1
Price/Book 4.9 4.5
Price/Sales 6.7 5.2
Net Debt/ Total Capital % -12.9 18.5
Estimated LT EPS Growth %** 16.7 7.2
Market Cap Weighted Avg ($MM) 146,132 126,234
Portfolio Characteristics
Gross Net Alpha Beta Sharpe Std Dev Down Capture Information Return Return Ratio Ratio Ratio
Polen Focus Growth 14.40 13.34 7.01 0.72 0.75 14.81 54.67 0.56Russell 1000 Growth 9.67 9.67 0.00 1.00 0.35 18.37 100 -
Risk (Since Inception 12/31/88)
