Aristotle Capital’s experienced investment team spends the majority of its time studying businesses. We employ a bottom-up, fundamental approach to security selection that requires in-depth research of individual companies and their competitors, suppliers and customers. We concentrate on the factors within management’s control rather than macroeconomic factors, economic cycles or market sentiment.
Our disciplined investment process focuses on identification of the following investment criteria, all three of which are required for investment in any of our portfolios:
- High or improving quality—aids in managing downside risk
- Attractive valuation—provides a margin of safety
- Business-specific catalysts—help us to avoid the “value trap,” which occurs when cheap companies continue to get cheaper