In our separately managed equity accounts, clients own a portfolio of securities. For these accounts we are able to customize each portfolio based on individual needs such as equity exposure levels, legacy positions, specific investment restrictions, income needs, etc. that may not be met by a mutual fund.
Emerging Growth Composite (as of 9/30/18)
|QTD||YTD||1 YEAR||3 YEAR||5 YEAR||7 YEAR||10 YEAR||SINCE INCEPTION
|Emerging Growth Composite (gross)||12.11%||35.88%||42.60%||21.83%||16.37%||22.40%||18.81%||15.92%|
|Emerging Growth Composite (net)||11.83||34.87||41.19||20.61||15.21||21.19||17.63||14.77|
|Russell 2000 Growth Index||5.52||15.76||21.06||17.98||12.14||17.52||12.65||9.93|
|Emerging Growth Composite (gross)||Emerging Growth Composite (net)||Russell 2000 Growth Index|
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We believe that the proliferation of investment strategies employing short term trading has reduced the investment horizons of many investors, especially those in emerging companies. This has created an opportunity for longer term investors who have the patience and the historical experience to buy and hold as it often takes a number of years for these investments to realize their potential due to the emerging nature of their industries or niches.
We focus on identifying high quality companies in emerging industries and defensible growth niches that have open ended growth potential. We seek to buy the stocks of such companies before they are discovered or when investors are very skeptical about future prospects, and capture compound earnings growth over time.
We use a quantitative screen to help narrow the universe of potential investments. From this screen we apply equity research to these portfolio candidates. Our sources of research data come from visits with company management, discussions with competitors and customers, attendance at broker-sponsored conferences and trade shows, and examination of regulatory filings. We construct long-term revenue and earnings per share forecasts which we use to monitor intermediate progress of our holdings. Ideas are evaluated on a number of factors including, but not limited to, the rate of companies’ revenue growth, existence of a distinct proprietary advantage and/or a leading position in the industry, rising expected operating margins and the presence of a skilled management team. We focus on understanding the long-term goals of the company over a three to five year investment horizon. We often avoid companies that do not have measurable three to five year goals or will not share them with investors. We may sell a position if we believe it is overvalued, fundamentals erode or another more attractive investment is identified.
James L. Callinan
Vice President & Portfolio ManagerView Bio
James L. Callinan
Vice President & Portfolio Manager
Jim Callinan graduated from Harvard College (B.A. Economics), New York University (M.S. Accounting) and Harvard Business School (M.B.A.). Mr. Callinan holds the Chartered Financial Analyst designation.
Prior to joining Osterweis Capital Management in 2016, Mr. Callinan was the CEO of Callinan Asset Management and Portfolio Manager of the Emerging Growth Partners, LP. Before that, he was Co-Founder & Chief Investment Officer at RS Investments and founded the RS Concentrated Small Cap Growth investment strategy. He also co-founded the RS Growth Group LLC at Robertson Stephens Investment Management in 1996 and managed the RS Emerging Growth Fund from 1996 until 2010.
He began his career at Putnam Investments as an equity research analyst in 1987 and served as portfolio manager for the Putnam OTC Emerging Growth Fund from 1994 to 1996.
Mr. Callinan is a member of the Bay Area Make-A-Wish Foundation Board of Trustees and the Jumpstart Northern California Advisory Board, the Weatherbie Capital Advisory Board, the President’s Committee on Communication for Harvard University and the Friends of Harvard Football Board.
Mr. Callinan is a principal of the firm and a Portfolio Manager for the emerging growth strategy.
Matthew C. Unger
Matthew C. Unger
Matt Unger graduated from Trinity University (B.S. Finance, cum laude) and Southern Methodist University, Cox School of Business (M.B.A.). Mr. Unger holds the Chartered Financial Analyst designation.
Prior to joining Osterweis Capital Management in 2016, Mr. Unger worked at Callinan Asset Management as a Research Analyst covering the health care service, medical technology and industrial sectors. Prior to that, he spent three years at RS Investments as a Research Associate covering small cap growth companies in the medical technology and industrial sectors. Before graduate school, Matt worked at Platte River Capital covering the medical device sector from 2008-2010.
Mr. Unger is an Analyst for the emerging growth strategy.
Senior AnalystView Bio
Dave Sherry graduated from Princeton University (A.B. in Economics) and from the Anderson School at UCLA (M.B.A). Mr. Sherry holds the Chartered Financial Analyst designation.
Prior to joining Osterweis Capital Management in 2017, Mr. Sherry was a Managing Director at Inflection Partners LLC, where he founded a long/short strategy that focused on the technology sector. Before that, Mr. Sherry held portfolio manager positions at EGM Capital, Partech International and LGT Asset Management. He began his investment career at Franklin Templeton Investments.
Mr. Sherry is a Senior Analyst for the core equity and emerging growth strategies.
Bryan Wong graduated from Yale University (B.A. in Political Science and International Studies with distinction) and the University of California Berkeley, Haas School of Business (M.B.A., Investment Management Fellow). Mr. Wong holds the Chartered Financial Analyst designation and is a member of the CFA Society of San Francisco.
Prior to joining Osterweis Capital Management in 2014, Mr. Wong was a member of the investment team managing the endowment of the David and Lucile Packard Foundation. Before that, Mr. Wong was an Analyst from 2005 to 2009 at two long/short hedge funds.
Mr. Wong is an Analyst for the emerging growth strategy.
The fee schedule is as follows: 1.25% on the first $10 million, 1.00% on the next $15 million up to $25 million, and 0.75% in excess of $25 million. A discounted rate is available for tax-free institutions, eleemosynary accounts and large institutions.
Clients invested in separately managed core equity accounts are subject to various risks including potential loss of principal, general market risk, small and medium-sized company risk, foreign securities and emerging markets risk and default risk. For a complete discussion of the risks involved, please see our Form ADV Brochure and refer to Item 8.