SEPARATE ACCOUNT STRATEGIES

LARGE CAP VALUE

SEPARATE ACCOUNT STRATEGIES > LARGE CAP VALUE

OBJECTIVE

The strategy aims to provide long-term capital appreciation through a well-diversified portfolio of large capitalization value equity securities.

INVESTMENT STRATEGY

The Large Cap Value strategy provides exposure to the large capitalization segment of the value equity market through a fundamental, contrarian, bottom-up investment process.

The strategy employs a fundamental value philosophy and a disciplined bottom-up investment process to select equity positions. Thorough reviews are conducted on each company to ensure they are in line with our investment thesis and upside target potential return. Consideration in constructing a well-diversified portfolio includes: new positions added in tranches as the investment thesis is confirmed and individual stock over-weights are typically up to 3% of the benchmark. The portfolio will not hold a company that does not meet the investment selection criteria, regardless of its relative position weighting in the benchmark. The portfolio is diversified by sector without formal limitations to weightings and exhibits a risk factor and average weighted market capitalization profile inline with the benchmark. The strategy has consistently demonstrated high active share versus the Russell 1000 Value index.

CHARACTERISTICS & WEIGHTINGS

  • Fully invested, typically 30 to 50 holdings
  • Position sizes: conviction-weighted, Individual stock over-weights relative to the benchmark, typically up to 3%
  • Market capitalization:  The average weighted market capitalization of the portfolio is expected to be similar to the benchmark, with special consideration given to maintaining a tracking error target of 4% to 7% of the Russell 1000 Value index
  • Position Limitations:
  • Maximum of 10% of the portfolio’s market value
  • Maximum of 10% of the total outstanding shares
  • Industry exposure and sector weights are determined through the bottom-up selection process

PORTFOLIO MANAGERS

RICHARD A. SNOW
CHIEF INVESTMENT OFFICER / PRESIDENT
Bio >
JESSICA W. BEMER, CFA
PORTFOLIO MANAGER / PRINCIPAL
Bio >
JOSEPH F. ARTUSO, CFA
PORTFOLIO MANAGER / PRINCIPAL
Bio >

CONTACT INFORMATION

Snow Capital Management, L.P.
2000 Georgetowne Drive
Suite 200
Sewickley, PA 15143
Main: (724) 934-5800
Fax: (724) 934-5855
Email: info@snowcm.com
Portfolio Characteristics1
as of 6/30/19
SNOW
 LARGE CAP VALUE
RUSSELL
1000 VALUE
Market Cap (Billions)
$87.20
$129.45
Dividend Yield
2.85%
2.55%
EPS Growth – Long Term (I/B/E/S)
5.00%
6.00%
Free Cash Flow Yield
5.40%
4.60%
P/E – Forecast 12-Month
10.84
14.32
Price-to-Book
1.69
2.03
Market Cap Weightings3
as of 6/30/19
SNOW LARGE CAP VALUE
Small (<$2 billion)
0%
Mid ($2 - 10 billion)
18%
Medium Large ($10 - 50 billion)
45%
Large (>$50 billion)
37%
TOTAL
100%
Top 10 Holdings3
as of 6/30/19
% OF STOCKS
JPMorgan Chase & Co.
5.07%
Bank of America Corp.
4.74%
Goldman Sachs Group, Inc.
3.46%
AECOM
3.24%
International Paper Co.
3.12%
MetLife, Inc.
3.04%
Ally Financial, Inc.
3.00%
Laboratory Corp. of America Holdings
2.98%
Broadcom, Inc.
2.98%
Verizon Communications, Inc.
2.95%
TOTAL
34.58%
Industry Allocations3
as of 6/30/19
SNOW LARGE 
CAP VALUE
Commercial Banks
12%
Information Technology (Consolidated)
12%
Consumer Discretionary (Consolidated)
11%
Oil, Gas & Consumable Fuels
9%
Communication Services
7%
Biotechnology
7%
Cash
7%
Materials (Consolidated)
6%
Capital Markets
5%
Industrials (Consolidated)
4%
Consumer Staples (Consolidated)
3%
Health Care Providers & Services
3%
Consumer Finance
3%
Insurance
3%
Real Estate
3%
Utilities
3%
Health Care Equipment & Supplies
2%
Performance Data is best viewed in landscape on your mobile device.
as of 6/30/19
MTD
QTD
YTD
1 Year
3 Year
5 Year
7 Year
10 Year
Since Inception
(7/1/2005)
Composite Gross
6.63%
2.77%
16.19%
2.06%
11.27%
2.08%
10.31%
10.93%
5.75%
Composite Net
6.59%
2.64%
15.89%
1.40%
10.46%
1.34%
9.51%
10.11%
4.95%
Russell 1000 Value
7.18%
3.84%
16.24%
8.46%
10.19%
7.46%
12.09%
13.19%
7.41%
2018
2017
2016
2015
2014
2013
2012
2011
2010
2009
Composite Gross
-14.36%
12.43%
30.56%
-24.20%
11.02%
45.00%
19.76%
-8.27%
13.82%
42.27%
Composite Net
-15.03%
11.53%
29.63%
-24.77%
10.20%
43.95%
18.87%
-8.96%
12.94%
41.12%
Russell 1000 Value
-8.27%
13.66%
17.34%
-3.83%
13.45%
32.53%
17.51%
0.39%
15.51%
19.69%

Snow Capital Management L.P. is a registered investment adviser. Registration of an Investment Advisor does not imply any levelof skill or training. Snow Capital Management L.P. claims compliance with the Global Investment Performance Standards (GIPS®). A fully compliant GIPS presentation along with a complete list and description of all composites is available at www.snowcm.com or by calling 724-934-5800. The Snow Capital Management Large Cap Value composite contains fully discretionary large cap value equity accounts and for comparison purposes is measured against the Russell 1000 Value index. In presentations prior to January 1, 2009, the composite performance included the S&P500 as a comparative benchmark. Although the S&P 500 index is widely employed as a performance benchmark of the broad market, it is not representative of the Large Cap Value Composite and therefore was removed as a comparison benchmark on January 1, 2009. The Russell 1000 Value Index measures the performance of the large-cap value segment of the U.S. equity universe. It includes those Russell 1000 companies with lower price-to-book ratios and lower expected growth values. Indexes are unmanaged. It is not possible to invest directly in an index.

The U.S. Dollar is the currency used to express performance. Leverage is not used in this composite. Investing involves risk; clients may experience a profit or a loss. Past performance is not indicative of future results.

Performance is preliminary. Returns for periods greater than a year are annualized. Returns include the reinvestment of all income. Results are based on fully discretionary accounts under management that are eligible for inclusion in the composite during the performance reporting period, including those accounts no longer with the firm. The performance of any individual portfolio may vary from the Composite’s performance. Pure gross returns are shown as supplemental information and are stated gross of all fees and transaction costs. Net of fee performance returns are calculated by deducting a model fee of 0.75%, which represents the highest applicable annual fee in effect for the respective time period, applied monthly. Prior to January 1, 2010, net returns were calculated utilizing the highest applicable annual fee of 0.80%. Snow Capital’s advisory fees are outlined in our Form ADV Part 2A (Brochure), which is available upon request. Actual investment advisory fees incurred by clients may vary.

Portfolio Characteristics are presented as supplemental information to the GIPS compliant presentation to illustrate an example of selected characteristics of the Snow Capital Management Large Cap Value Composite as of September 30, 2018 and how an individual portfolio might have been invested at that time. These illustrations may not be representative of the Composite’s or an individual portfolio’s current or future investments.

The Industry Allocation, Capitalization Weightings, and Top Ten Holdings are presented as supplemental information to the GIPS-compliant presentation to illustrate an example of the industries and securities in which the Snow Capital Management Large Cap Value Composite was invested on September 30, 2018 and in which an individual portfolio might have been invested at that time. These illustrations may not be representative of the Composite’s or an individual portfolio’s current or future investments. There is no assurance that any of these stocks or sectors will be purchased in the future or are currently held in the portfolio. Top 10 holdings reflect the composite’s cash position but cash is not included as a holding in the list.

INVESTMENT PRODUCTS:  NOT FDIC INSURED   ●   NO BANK GUARANTEE   ●  MAY LOSE VALUE