Institutional Investors :: Investment Strategy

 

Investment Strategy
We attempt to take advantage of the following market inefficiencies:

• Over-extrapolation: Often the market will extrapolate a temporary negative event or time period as a permanent change in the long-term outlook of the company. The result can be significant under-valuation of quality growth companies.

• Restrictive Style Requirements: Many large cap managers are required to closely mimic an index or benchmark, and are therefore forced to invest in unattractive industries or are restricted from taking advantage of attractive small or mid-cap stock opportunities. We do not restrict our managers.

• Multi-Cap Ability: We retain the ability to invest a portion of our funds in mid/small-cap stocks. This benefits us in two ways:

  1. Occasionally, large cap stocks as a class, can get over-valued relative to small/mid-cap stocks, and our ability to shift a portion of our assets appropriately, to mid/small-cap stocks allows us to lower our valuation risk.
     
  2. This ability also enables us to opportunistically invest in smaller growth companies that other managers are forced to miss due to their mandate of tracking their large cap benchmark.

 

Thompson Investment Management, Inc. services involve the management of securities which fluctuate in value due to changes in securities markets, client preferences and other reasons. Thus, Thompson Investment Management does not guarantee any rate of return will be realized, or that losses will not occur, from receiving its services.