The Sapphire Star Small Cap strategy invests in domestically listed small capitalization stocks and ADRs that exhibit strong, sustainable, and improving fundamentals over time. The strategy focuses on investing in securities with asymmetrically favorable risk/reward profiles, while they are still inefficiently priced by the market relative to their potential upside. By combining quantitative fundamental analysis with a robust risk/reward assessment the strategy is uniquely calibrated to consistently identify investments capable of providing superior risk-adjusted returns over the long-term.

Universe: U.S. Listed Equities and ADRs

Market Cap Range: $150 MM to $3.5 B

Fundamental Factors:

  1. Trending Top Line Growth
  2. Fair Price for a Great Business
  3. Operational Efficiency and Improvement

Technical Criteria:

  1. Positive Trending Momentum
  2. Consistently Low Volatility
  3. Short-Term Trend Reversal