Peter Jones, CFA, joined Ferguson Wellman Capital Management in 2015 and is Vice President of Research. Mr. Jones leads the firm’s Global Sustainable Investing strategy team, is an analyst and a member of the firm’s investment team. He develops and manages the multifactor model used by the investment team for its equity selection process.
Mr. Jones also provides research support for equity strategies and sectors for all portfolios as well as performance analysis for client meetings. Mr. Jones is a native of Portland and graduated from the University of Portland with a B.A. in political science and minors in Spanish and psychology.
Tara Kinateder is an Executive Vice President, a member of Ferguson Wellman Capital Management’s wealth management team and a member of the firm’s Global Sustainable Investing strategy team. Ms. Kinateder is a portfolio manager with clients concentrated in Oregon, Washington and California. She specializes in wealth management planning and preservation through asset allocation and cash flow analysis.
Ms. Kinateder is passionate about guiding individuals and families as they plan for their financial futures by focusing on long-term goals and helping them navigate ongoing life changes. Prior to joining Ferguson Wellman, Ms. Kinateder was a senior vice president and market leader for the Portland, Oregon, office of U.S. Trust. Previously, she worked in New York and Seattle for Alliance Bernstein Wealth Management as a financial adviser and strategic consultant, respectively.
Raised in Georgia, Ms. Kinateder earned her B.A. from Brenau University in Gainesville, Georgia, with a double major in journalism and business, graduating magna cum laude. She received a certificate in personal financial planning from the University of Washington’s Michael G. Foster School of Business and a certificate in investment strategies and portfolio management from the University of Pennsylvania’s Wharton School of Business.
In this exclusive 3,939 word interview with the Wall Street Transcript, Ms. Kinateder and Mr. Jones detail their investing strategy and top picks for investors.
“Global Sustainable Investing — GSI — is the name of our ESG strategy. I would say that ESG and being socially responsible with your investing has really been a part of a topic of conversation for decades. The reason for launching our new investment strategy is to satisfy increasing client demand with a solution that incorporates environmental, social and governance factors with our investment process.”
Read the entire 3,939 word interview in the Wall Street Transcript and get the complete picture.
Peter Strzalkowski, CFA, serves as Co-Team Leader of OppenheimerFunds’ Investment Grade Debt team and is a Portfolio Manager of the Total Return Bond Fund, Oppenheimer Limited-Term Government Fund and Oppenheimer Limited-Term Bond Fund.
Before joining the firm in August 2007, Mr. Strzalkowski served as Managing Partner and Chief Investment Officer of Vector Capital Management, LLC, a structured products money management firm he founded. He received a B.S. from Virginia Commonwealth University.
In this exclusive 3,464 word interview, Peter Strzalkowski explains his investing process in detail.
Mr. Strzalkowski is looking to create alpha above the broadest investment benchmark he can:
“We’ve been slowly de-risking the portfolios as risk premia has come down. We get paid less, so we have less risk on, but that’s still an overweight. And when it comes to mortgage, agency mortgages, we are flat to the benchmark.
When it comes to asset-backs, we’re definitely overweight, and I’m not sure if we’re overweight versus our competitors, but we definitely have an overweight in asset-backs, specifically auto ABS. We do not hold any student loan ABS. We have a small allocation to credit card ABS, and we have a small allocation to private label mortgages, but those are all legacy deals from 10 years ago. They’re just stored in our books.”
“I have fixed currency in terms of risk and where I spend it; I try to do the best possible places, interest rates is another of them. However, this is a big caveat here, whenever the Fed is on the march, whether it’s easing or tightening, the front end of the curve is always affected first, and it has not been any different this time.”
Creating value above benchmark returns is a constant deployment of investment decisions, read the entire 3,464 word interview with Peter Strzalkowski of OppenheimerFunds in the Wall Street Transcript to get the complete detail.
Thomas W. McDowell is Chief Executive Officer and Chief Investment Officer at Rice Hall James & Associates, LLC. He has been with the firm for 34 years and has 38 years of industry experience. He works on the SMID Cap Equity, Small Cap Equity and Micro Cap Equity strategies.
He started at the firm as a portfolio manager and analyst. He assumed leadership of the company in 1994. Earlier, he was a portfolio manager at California First Bank and specialized in the consumer-related industries. He received a B.A. from the University of California, Los Angeles, and an MBA from San Diego State University.
Cara M. Thome is a Portfolio Manager and Analyst at Rice Hall James & Associates, LLC. She has been at the firm for 17 years and has 21 years of industry experience. She works on the SMID Cap Equity, Small Cap Equity and Micro Cap Equity strategies.
Before joining the firm, she worked as an analyst at the equity research department at George K. Baum & Company. She received a B.A. from Truman State University and an M.A. from the University of Exeter.
In this exclusive 3,718 word interview with the Wall Street Transcript, these two award winning portfolio managers explain their top picks in detail.
“Our style is sort of the traditional growth at a reasonable price — GARP — style. We might be the last GARP manager out there at this point. And we’re all generalists here. We have a team of six people plus our CEO, Tom McDowell. Typically, what we look for are growing companies, companies that are growing earnings 15% to 30%, with some kind of valuation that looks attractive.
So we’d look for a p/e of less than a three-year earnings growth rate, or we’ll look at other valuation metrics, just something that demonstrates that the stock is somehow undervalued relative to what we think it’s worth going forward.
We also try to identify an inflection point in the stock…”
Clay Kirkland, CFA, is a Vice President and Portfolio Manager at Intrepid Capital. He is the Lead Portfolio Manager of the Intrepid Disciplined Value Fund and the separately managed Intrepid Disciplined Value portfolio. He is also the Co-Lead Portfolio Manager of the Intrepid Select Fund and the separately managed Intrepid Select portfolio.
Mr. Kirkland focuses on research and valuation of mid- and large-cap equity securities. A CFA charterholder, he earned an MBA from Columbia Business School and received a B.S./B.A. degree, cum laude, in economics from Auburn University.
His top picks are detailed in this exclusive 2,845 word interview in the Wall Street Transcript.
“The Disciplined Value Fund is really an all-cap strategy, but little bit more of a focus, I would say, on midcap names right now. The median market cap for the portfolio is about $9 billion. We have the flexibility to go up as large as Apple (NASDAQ:AAPL) and down to some very small or microcap names.”
The cash portion of their portfolio is a great indicator of their current view on valuations:
“One thing in particular to point out is, we are very valuation-sensitive. As valuations get very elevated or extreme, we will hold more cash. Therefore, in a bull market, late in a cycle, we tend to hold much more cash than the typical fund or our peers. We do this for a few reasons. One being, we don’t want to overpay for a security, and first and foremost, we want to protect capital on the downside. ”
Their in-depth research leads to specific stocks priced below intrinsic value:
“We’re not even assuming that Family Dollar gets close to the margins of Dollar General, which is the best comparison for the banner. Even if they improve to half the margin or if they bridge the gap halfway between current Family Dollar margins and Dollar General margins, you’d see a drastic improvement overall in the financials for the enterprise of Dollar Tree. So right now, as I mentioned earlier, the market is assigning about $2 per share worth of value to the Family Dollar banner, we think it’s worth significantly more.”
Get the complete detail on all these picks and more by reading the entire 2,845 word interview in the Wall Street Transcript.
Brian Washkowiak, CFA, is a Portfolio Manager at Fairpointe Capital, LLC. Mr. Washkowiak is part of the Mid-Cap Investment Team, serving as Co-Portfolio Manager for the midcap strategy, including the AMG Managers Fairpointe Mid Cap Fund, Parvest Equity USA Mid Cap Fund, and institutional and private client accounts. His responsibilities include investment research and portfolio management.
Prior to joining Fairpointe Capital LLC in 2015, Mr. Washkowiak managed a fund at BW Opportunity Partners, LP, focusing on small-cap and midcap investments. He also spent 13 years as a research analyst and portfolio manager at Talon Asset Management, Inc., and was a member of the investment committee. At Talon, Mr. Washkowiak worked with Ms. Zerhusen as an analyst and assistant portfolio manager on the midcap strategy. He started his career at Duff & Phelps, LLC as an analyst in its consulting group. He received a B.A. in finance from Illinois State University.
In this exclusive 2,437 word interview with the Wall Street Transcript, Mr. Washkowiak details his top picks from his current portfolio.
“Here at Fairpointe, we are 100% employee-owned and majority female-owned. And we think there are some differentiators on our team. Thyra Zerhusen is the original architect of the strategy. She created the midcap strategy in 1999, and then, myself, Mary Pierson, Marie Lorden, all are part of that investment team, and we have 28 years of industry experience.”
One example from the recent buy list from Mr. Washkowiak is LKQ.
“We have a position in a company called LKQ (NASDAQ:LKQ). LKQ stands for like, kind, quality. In this market environment, a lot of the auto parts companies, which LKQ is one, have really sold off on concerns about OEM auto demand. What LKQ does is a little bit different. It’s really more of an aftermarket provider. What they provide are alternative parts to the repair and replacement model or market.”
Get more detail on the LKQ investment and others by reading the entire 2,437 word interview in the Wall Street Transcript.
Jason Benowitz, CFA, is Senior Portfolio Manager at Roosevelt Investments. He first went to work at the firm in 2009 as a securities analyst, was promoted to Portfolio Manager in 2011 and to Senior Portfolio Manager in 2013. Prior to Roosevelt, Mr. Benowitz was a principal at Druker Capital, a long/short hedge fund manager, and a Vice President in the U.S. Equity Research Group at Morgan Stanley Investment Management.
He was also an investment banking analyst at Merrill Lynch. Mr. Benowitz received an undergraduate degree in computer science from Harvard College, and an MBA in finance and accounting from The Wharton School at the University of Pennsylvania, where he was a Palmer Scholar.
In this 4,514 word interview in the Wall Street Transcript, Mr. Benowitz displays his incredible stock picking skills within the constraints of the investment philosophy adopted by his firm:
“At Roosevelt, our investment philosophy puts capital preservation first. Our clients come to us with substantial wealth, and our job is to keep it that way. If we can outperform in bear markets and keep pace with rising markets, then we will outperform over a full market cycle with less volatility.”
Their investing philosophy is governed by several themes:
“…One theme we have invested behind for a number of years is health care revival. The innovative science aspect of health care is advancing at a rapid pace. Drug and device companies are exiting ancillary businesses and devoting more resources to development of new therapies. The Food and Drug Administration is more balanced in weighing the costs and benefits of approvals and has streamlined its procedures to more quickly assist patients in need.”
This leads to the detailed rationales behind his top picks:
“…One stock we like now is Allergan (NYSE:AGN). It has a $64 billion market capitalization. Allergan is number one in medical aesthetics, where its flagship brand is Botox. ”
Read the entire 4,514 word interview in the Wall Street Transcript.
Donald Easley, CFA, is a Portfolio Manager in the U.S. Equity Division of T. Rowe Price for the U.S. Tax-Efficient and U.S. Structured Active Mid-Cap Growth Equity Strategies. He works closely with Don Peters, a portfolio manager in the U.S. Equity Division, actively assisting with all aspects of portfolio management. Mr. Easley is an Executive Vice President and Co-Chairman of the Investment Advisory Committee of the U.S. Structured Active Mid-Cap Growth Equity Strategy.
He is a Vice President of T. Rowe Price Group, Inc. Mr. Easley has 18 years of investment experience, 17 of which have been with T. Rowe Price. Prior to joining the firm in 2000, he was a credit analyst with The Bank of New York. Mr. Easley earned a B.A. in economics from Swarthmore College and an MBA in finance and accounting from the University of Chicago.
In this 3,381 word interview with the Wall Street Transcript, Mr. Easley details his investing philosophy and explains his top picks.
It’s called the Diversified Mid-Cap Growth Fund. The ticker is PRDMX, and it’s about a $1 billion fund that invests in midcap growth companies. And I have been involved with the product for about 15 years now, running it with another gentleman named Don Peters. So the strategy itself dates back about two decades, and the fund incepted in the late part of 2003.
“Because they compete in the cellphone space, they’re subject to the pluses and minuses of the cellphone market, so right now, there is a lot of concern around cellphone demand in general. And the stock has been pretty weak, and it’s now trading in the mid-$80, and that is a valuation that’s about 11 times next year’s earnings. They also have a lot of cash on their balance sheet, so if you take that out, the enterprise value to earnings is less than 10 times. So the valuation looks very attractive.”
To get many more detailed recommendations from this experienced and successful portfolio manager, read the entire 3,381 word interview at the Wall Street Transcript.
James Morton is Chief Investment Officer and a Portfolio Manager at Santa Lucia Asset Management Ltd. He has extensive expertise in recovering and small-cap companies, as well as emerging markets. Mr. Morton’s career in the investment industry began in 1985, and he has been a consultant to Mackenzie Cundill since 1996. He is an accomplished author, editor and investment columnist. Mr. Morton holds a degree in law from Trinity Hall, Cambridge University, an M.A. in third-world economics as well as an MBA from Stanford University. In this exclusive 3,925 word interview with the Wall Street Transcript, Mr. Morton details his investing methodology and top recommendations for investors.
“Asia is normally a growth market, and there aren‘t many managers who focus on value or even on income, although at least in income the number is rising, but very few were doing it when we started in 2001. And even today, value is a very, very small subsector within the overall investment universe here — less than 5% of managers are pursuing this sort of strategy.”
It may be a good time to be a value investor in China, although counter-intuitively:
“My good friends at CLSA, a leading broker in Asia, have a conference every September. They’ve been doing this for 25 years now, and they take a poll of institutional investor sentiment. So this year, the sentiment was the lowest it’s ever been…Now, this you could argue is a massive contrarian buy signal…you’ve got a lot of stocks that are off over 40% since their January high.”
This leads to some specific recommendations.
Sure. I mean, the collapse in share prices has opened up a lot of rich bargains for value investors. One I’d like to mention is China Yongda (HKG:3669), which is one of the largest automotive dealers in China. It’s particularly a big BMW (ETR:BMW) dealer. Now, Chinese domestic car production is weak, but import of better-end and luxury models continues to show strong double-digit growth, even in September.
To get the full detail on this and many other recommendations from James Morton, read the entire 3,925 word interview in the Wall Street Transcript.
Geoff MacKay is President and Chief Executive Officer of AVROBIO, Inc. Mr. MacKay is an experienced CEO with proven success leading innovative businesses. While CEO of Organogenesis Inc., the company treated 1 million patients with living cell therapies, received the first FDA CBER allogeneic cell-therapy approval and achieved an unparalleled position within regenerative medicine.
Mr. MacKay was founding CEO of eGenesis, applying CRISPR Cas-9 gene editing to xenotransplantation. Mr. MacKay spent 11 years at Novartis in senior leadership positions within the Global Transplantation & Immunology franchise. Past activities include Chairman of the board of MassBio, Chairman of the board of the Alliance of Regenerative Medicine and Advisory Council to the Health Policy Commission for Massachusetts.
In this exclusive 3,272 word interview with the Wall Street Transcript, Geoff MacKay describes the exciting breakthrough treatments his company is developing.
“The target product profile for all four of our gene therapy programs is to cure these rare diseases in a single dose. This is achievable because the lentiviral gene therapy approach is one that results in the permanent integration of the therapeutic transgene into the chromosomes of the patient’s blood stem cells.
These cells engraft long term in the bone marrow, where they produce nucleated daughter cells, such as white blood cells, which in turn make supra-normal levels of the therapeutic protein. To date, this approach has been used in clinical trials across a growing number of diseases where long-term results have been reported. We do believe that the ex vivo lentiviral gene therapy approach, if successful, has the potential to be a lifelong cure.”
These disease therapies represent billion of dollars of potential annual revenue to AVROBIO:
“…We are currently targeting lysosomal storage disorders, specifically four unique lysosomal storage disorders: Fabry disease, Gaucher disease, Pompe disease and cystinosis. We are applying one technology platform across these four lysosomal storage disorders, as well as building toward developing gene therapies for other diseases in the future.”
Get the complete detail and the most recent status of these treatments by reading the entire 3,272 word interview in the Wall Street Transcript.
Gil Beyen is Chief Executive Officer and Chairman of ERYTECH Pharma. For ERYTECH, Gil Beyen has served as the Chief Executive Officer since May 2013 and Chairman of the board since 2012. Prior to his appointment as Chief Executive Officer, he assisted the company in a consulting role as of 2012 and also served as Chairman of the company’s supervisory board from August 2012 until May 2013.
Between 2000 and 2012, Mr. Beyen was Chief Executive Officer and Director of TiGenix, a company he co-founded. He previously served as the head of the life sciences practice of Arthur D. Little, an international management consulting firm, in Brussels. Mr. Beyen received an M.S. in bioengineering from the University of Leuven in Belgium and an MBA from the University of Chicago.
In this exclusive 2,136 word interview with the Wall Street Transcript, Gil Beyen details the unique way his company will create cancer treatments:
“Another unique property of red cells is that they will end their lives in the spleen, the liver and the bone marrow, within the reticulo-endothelial system. This makes it so that our technology can also be used to transform the red cell into a carrier of certain therapeutic agents to these organs. For example, we are using this in a preclinical program where we use the red cell for immunotherapy.
Here, we load antigens or adjuvants into the red cells, who will carry them — sort of like in a Trojan horse approach — to, for example, the dendritic cells in the spleen, where they activate cytotoxic T cells with demonstrated anti-tumor effect.”
The development of their therapy is well advanced:
“…With our lead product candidate, eryaspase, that has been administered to over 320 patients in different clinical trials, we have observed an improved safety profile compared to native, nonencapsulated asparaginase. ”
Get the complete detail by reading the complete 2,136 word interview with Gil Beyen, CEO and Chairman of ERYTECH Pharma.