Aristotle Capital Boston
Small Cap Equity
Strategy Overview
- Investment objective is to maximize long-term capital appreciation while mitigating risk relative to the benchmark over multi-year periods
- Diversified, quality-oriented portfolios managed with a long-term time horizon
- Contrarian approach seeks to identify companies with low market expectations and a high probability of fundamental improvement that are trading with attractive upside potential and limited downside risk
- Portfolios consist of companies that we believe can create shareholder value and possess quality management teams, attractive industry dynamics and strong or improving financials
- Fundamental, bottom-up approach to security selection, typically investing in stocks within the market capitalization range of the Russell 2000 Index at the time of purchase
Investment process includes the following tenets:
- Experienced Team: The research team consists of seven individuals averaging over 25 years of industry experience.
- Long-Term Approach: We conduct bottom-up, fundamental research to identify quality-oriented businesses.
- Depth of Research: We believe the overall depth and quality of information gathered leads to a more robust platform.
Strategy Inception Date: July 1, 2002
The Small Cap Equity strategy initially began at a predecessor firm on July 1, 2002; however, the Small Cap Equity strategy has an inception date of January 1, 2015 at Aristotle Boston.
Assets: $1,641.4 million (as of 6/30/2025)
The total assets provided above represent $1,008.8 million of Small Cap Equity, $101.0 million of Small Cap Faith-Based and $351.6 million of Small Cap Ex-Fossil Fuel assets.
Holdings: 80-120
Benchmark: Russell 2000 Index
Individual Position Size: Maximum 4%
Annual Turnover: Typically 20% – 30%
Sector Weights: Maximum +/- 10% versus benchmark
Cash: Typically less than 5%
Vehicles Offered: Separate Account; Mutual Fund; Collective Trust
As of: 6/30/2025
All investments carry a certain degree of risk, including the possible loss of principal. Investments are also subject to political, market, currency and regulatory risks or economic developments. International investments involve special risks that may in particular cause a loss in principal, including currency fluctuation, lower liquidity, different accounting methods and economic and political systems, and higher transaction costs. These risks typically are greater in emerging markets. While Large-capitalization companies may have more stable prices than smaller, less established companies, they are still subject to equity securities risk. In addition, large-capitalization equity security prices may not rise as much as prices of equity securities of small-capitalization companies. Securities of small- and medium-sized companies tend to have a shorter history of operations, be more volatile and less liquid. Value stocks can perform differently from the market as a whole and other types of stocks. The material is provided for informational and/or educational purposes only and is not intended to be and should not be construed as investment, legal or tax advice and/or a legal opinion. Investors should consult their financial and tax adviser before making investments. The opinions referenced are as of the date of publication, may be modified due to changes in the market or economic conditions, and may not necessarily come to pass. Information and data presented has been developed internally and/or obtained from sources believed to be reliable. Aristotle Boston does not guarantee the accuracy, adequacy or completeness of such information.
Aristotle Capital Boston, LLC is an independent investment adviser registered under the Investment Advisers Act of 1940, as amended. Registration does not imply a certain level of skill or training. More information about Aristotle Boston, including our investment strategies, fees and objectives, can be found in our Form ADV Part 2, which is available upon request.
