Approach
The Large Cap Value strategy seeks to outperform its benchmark over a full market cycle via an actively managed approach relying on fundamental research to capture the benefits of high excess capital yield and sustainable dividends.
Investment Philosophy
We believe that successful value investing is best achieved by focusing on companies with high excess capital yield combined with a disciplined risk management overlay to build a portfolio with returns driven primarily by stock selection.
Our key beliefs:
- Focusing on excess capital yield is key to identifying high quality companies
- Active risk driven by stock selection is necessary to deliver superior performance
- Risk management at the portfolio level is necessary to understand drivers of risk and return
Investment Process
Our disciplined, bottom-up investment process focuses on high-conviction stock selection. The process begins by identifying companies with strong capital returns prospects through the triangulation of excess capital yield, relative valuation and qualitative insights from our well-tenured analysts. Excess capital yield is a dynamic measure that isolates the "dry powder" available to management to facilitate value creation. Our sector specific analysts focus on the decomposition of excess capital yield and relative multiple deviation in conjunction with our proprietary multi-factor sector models. This allows our analysts to concentrate their efforts on the highest ranked stocks within their respective sectors while finding their highest conviction ideas through in-depth fundamental research and analysis. Portfolio construction is based on the attractiveness each stock, analyst/portfolio manager conviction, and active weights impact on relative risk exposure and relative factor exposures. Gross yield of the portfolio will always be at or above the yield of the Russell 1000 Value Index.Performance
Performance
As of 10/31/24 | 1 Month | 3 Month | YTD | 1yr | 3yr | 5yr | 10yr | Since Inception (1/01/08) |
---|---|---|---|---|---|---|---|---|
Gross | -0.29 | 4.26 | 17.71 | 32.88 | 10.18 | 13.74 | 10.37 | 10.12 |
Net | -0.54 | 3.50 | 14.88 | 29.08 | 6.99 | 10.45 | 7.17 | 6.93 |
Index* | -1.10 | 2.96 | 15.40 | 30.98 | 6.85 | 10.14 | 8.87 | 7.78 |
* Russell 1000 Value Index
Past performance does not guarantee future results.
Periods greater than one year are annualized. Performance data is considered final unless indicated as preliminary. Monthly performance is based on full GIPS Composite returns. Access the GIPS page for full composite details.
The Composite performance information represents the investment results of a group of fully discretionary accounts managed with the investment objective of outperforming the benchmark. Gross returns are presented after all transaction costs, but before management fees. Net-of-fees returns presented are calculated by subtracting a hypothetical maximum total wrap fee (estimated at 3.00% per annum) from the monthly gross-of-fees returns. The total wrap fee includes transaction costs, portfolio management, investment advisory, custodial and other administrative costs. Wrap fees vary amongst brokerage firms and may be negotiated based on account size and other factors.
Literature
Voya Large Cap Value SMA Representative Account
Date: October 15, 2024
Approved For: Financial Professional or Qualified Institutional Investor Use Only
Investment Team
Vincent Costa, CFA
Chief Investment Officer, Equities
Years of Experience: 39
Years with Voya: 18
James Dorment, CFA
Co-Head of Fundamental Research and Portfolio Manager
Years of Experience: 29
Years with Voya: 16
Gregory Wachsman, CFA
Equity Analyst and Portfolio Manager
Years of Experience: 25
Years with Voya: 7
Disclosures
Principal Risk
The principal risks are generally those attributable to investing in stocks and related derivative instruments. Holdings are subject to market, issuer, and other risks, and their values may fluctuate. Market risk is the risk that securities or other instruments may decline in value due to factors affecting the securities markets or particular industries. Issuer risk is the risk that the value of a security or instrument may decline for reasons specific to the issuer, such as changes in its financial condition.