Why DSM for Global Growth Equities?
- 10 year track record in Global Growth, outperforming the MSCI ACWI with >6% annualized and the MSCI ACWI Growth with >3.5% annualized
- With a strict valuation discipline within a growth strategy DSM differentiates itself from other growth managers
- 100% alignment as investment team invests their own capital wealth alongside you as an investor, 100% employee owned
- Stable team with one investment approach and 19 years track record in managing Quality Growth portfolios only
- ESG fully integrated in investment process
- Concentrated high conviction portfolio with a high active share
The DSM Growth strategies are unique as they use a bottom-up, idea-driven, growth style with a long-term investment horizon, coupled with a distinct valuation discipline. DSM identifies companies, one-by-one, which have growing businesses, impressive fundamentals, above-average profitability, and successful managements. Companies typically have 10% or better historical revenue and earnings growth, generate free cash flow, and have attractive financial returns that are stable or rising. In total, DSM holds about 80 stocks analysed by 8 analysts/PM’s and the CIO. All DSM strategies outperform their benchmarks and most peers over all periods.
Who is DSM Capital Management?
DSM was founded in 2001 and has their headquarters in Palm Beach Gardens, FL. It is an independent firm, employee owned and many employees are invested alongside investors. Among their clients are pension plans, foundations and endowments, other institutions and individual investors. The firm has 25 employees managing their long only, high-conviction growth strategies with one distinct philosophy.
ESG is an important part of DSM’s investment process and is fully integrated into its stock selection, monitoring, and selling processes. DSM assigns a proprietary ESG score to every company that it researches. DSM utilizes MSCI’s ESG Ratings as a starting point to make adjustments to ESG scores across five key categories: environment, customers, human rights / community, labor rights / supply chain, and governance, which are then broken down further into over 20 subcategories. DSM completes in-depth research on ESG issues impacting a company and assigns scores using a consistent in-house methodology.
Principal Investment philosophy
Concentrated portfolios of carefully selected equity securities of quality companies –those that demonstrate predictable earnings growth and are attractively valued –hold potential for long-term outperformance of broad market indexes.