Our Process


How We Invest

Proprietary research and discipline

Our Value Universe


Sorting the cheapest stocks in an investment
universe with a proprietary screening tool
enables us to optimize our research focus

 
 

How We Measure Value


Using normalized earnings instead of price-
to-book ratios can provide a more
comprehensive picture of a company’s long-
term earnings potential

Normalized earnings are what we expect a
company to earn across a business cycle.

Stock Selection


Building high active share, concentrated portfolios that are centered around intelligent decisions and research

 
 

From the Ground Up


Engaging regularly with company management to ask questions that get to the bottom of a company’s undervaluation

Environmental, Social, and Governance (ESG)


ESG analysis is an inherent part of our dedication to finding value. At Pzena, ESG integration means understanding how environmental, social, or governance issues might affect long-term normalized earnings. We continue to expand our ESG capabilities, adding a dedicated ESG research analyst to the research team and becoming a signatory of the Principles for Responsible Investment in early 2018. ESG Investing Approach

Contact us for more information
STRATEGIES

Our value philosophy stays the same, our strategies differ by investment universe.

GLOBAL

  • We offer global value portfolios of 40-95 stocks from an investment universe of the 2,000 largest companies worldwide.
  • We offer global value portfolios of 20-30 stocks from an investment universe of the 5,000 largest companies worldwide.

INTERNATIONAL (Non-US)

  • We offer non-US value portfolios of 30-80 stocks from an investment universe of the 1,500 largest non-US companies.
  • We offer non-US value portfolios of 40-70 stocks from an investment universe of the MSCI World ex USA Small Cap Index.

REGIONAL

  • We offer European value portfolios of 40-50 stocks from an investment universe of the 750 largest European companies.
  • We offer Japanese value portfolios of 25-40 stocks from an investment universe of the 750 largest Japanese companies.

EMERGING MARKETS

  • We offer emerging markets value portfolios of 30-80 stocks from an investment universe of the largest companies in non-developed markets.

US

  • We offer US value portfolios of 30-80 stocks from an investment universe of the largest US companies.
  • We offer US value portfolios of 30-80 stocks from an investment universe of 2,000 US companies (ranked 201-1,200 by market cap).
  • We offer US value portfolios of 40-50 stocks from an investment universe of 2,000 US companies (ranked 1,001-3,000 by market cap).
  • We offer US value portfolios of 15-25 stocks from an investment universe of the 3,000 largest US companies.
  • We offer US value portfolios of 50-90 long stocks and 60-100 short stocks from an investment universe of the 1,000 largest US companies.
FUNDS

Client satisfaction is our biggest priority. We cater to our clients’ needs and provide access to our strategies through different vehicles. All our portfolios follow the same process to fulfill our goal of generating long-term alpha.