Greystone’s US Strategic Growth fund is actively managed under a growth discipline to seek long-term capital growth by investing in the equity securities of large-capitalization US companies.

The fund’s investment objective is to earn superior rates of return when compared to the total return of the Russell 1000 Growth Index. We achieve the objective by emphasizing sectors and companies that Greystone forecasts will outperform this index.

Greystone has engaged Goldman Sachs Asset Management (GSAM), a division of Goldman Sachs Inc., as the investment sub-advisor to the Fund.  Goldman Sachs Inc. is a leading global investment banking, securities and investment management firm, headquartered in New York.  As the Fund’s sub-advisor, GSAM is responsible for all the day-to-day investment management decision making related to the portfolio.

The fund adheres to a growth style of investment management: companies with better earnings expectations than the stock market as a whole will also see rising share values.

Throughout the investment process, the sub-advisors take the view that each stock will be owned for many years. In turn, this means research investment ideas are researched far more intensely than short-term stock traders.

When evaluating a potential investment, the fund seeks very specific investment characteristics can drive a company’s growth over the long term. These characteristics include dominant market share, established brand name, pricing power, recurring revenue stream, free cash flow, high returns on invested capital, predictable growth, sustainable growth, long product life cycle, enduring competitive advantage, favorable demographic trends and excellent management.

By focusing on long-term growth potential, the fund minimizes the “noise” of the market, such as short-term trends or momentum activities.  We believe short-term trends often contribute to performance shortfalls, since managers rely on imperfect information to rotate quickly in and out of stocks.

Within the context of these growth criteria, the fund seeks to buy outstanding growth companies at attractive valuations – that are trading at a discount to the intrinsic worth of the business. This strategy offers investors the opportunity to capture stock price appreciation and a margin of safety to help protect against permanent loss of capital.