Investment Process

Asset Mix Management

Genus works with clients and their advisors to derive the appropriate investment policy and asset mix to meet specific objectives, return expectations and predetermined levels of risk tolerance. 

We believe that maintaining the long-term asset mix in a disciplined fashion is the best way to manage volatility and produce the best long-term returns. As a result,  we do not deviate dramatically from the long-term asset mix but manage it within 10% bounds, based on the outlook for the markets. 

We add value through rigorous, bottom-up security selection and strive to consistently outperform our benchmarks over time. 

Equity Strategy

Our equity portfolios are managed by the Genus Institutional Equity team who focus solely on delivering consistent excess returns relative to a benchmark in all market and style cycles.  To achieve this, our team believes it is necessary to have the following three elements:

1.  A style-diversified approach
2.  A process that removes emotion and applies discipline
3.  Strong attention to risk management

► Style-Diversified

We blend attributes of value, growth and quality to create style-diversified portfolios. We focus on under-valued companies with superior fundamentals and earnings growth. We believe this combination leads to low risk and long-term outperformance.

► Quantitative

Our quantitative process removes emotion and applies discipline to the selection of stocks for our portfolios. We use well-known fundamental metrics to evaluate companies, including the ratio of earnings to price (value), change in earnings (growth), and interest coverage (quality). This ensures that our portfolios represent good value, have good growth prospects and are high quality. 

Our process has a 20-year track record of successfully separating buys from sells, or winners from losers. We know it works, and we stick with it.  

► Risk Managed

Risks within each portfolio are carefully controlled via a disciplined investment process and sophisticated risk management tools. We manage overall portfolio risk by diversifying across asset classes and blending investment styles. Within each asset class, we diversify across markets, sectors and securities, and carefully control the exposure to any one market, sector, or security.

Fixed Income Strategy 

The Genus bond portfolios are managed by Montreal-based Addenda Capital, our strategic partner and one of Canada's most successful institutional fixed income managers. 

Addenda's core fixed income style applies multiple investment strategies to the management of bonds. Based on economic and market forecasts derived from their top-down approach, their fixed income team employs a wide range of investment strategies, such as interest rate anticipation, yield curve management, trading among sectors, individual security selection, and credit analysis to moderate risk and enhance portfolio returns. 

Addenda's original approach combines a 12-month overall strategy with a shorter-term tactical strategy that makes it possible to take advantage of market fluctuations to add substantial value to client portfolios.

Key Features & Benefits

► Disciplined approach adheres to long-term asset mix; strategic rebalancing
► Specialist equity and fixed income management by two leading money managers
► Dedicated, experienced and seasoned investment teams
► Reliable and consistent long-term results

Contact Us

We invite you to contact us to learn more about our investment solutions, and look forward to working with you to further your goals.