Disciplined and
rigorous process
Stock picking skills based on repeatable methodology
Strong track record of high quality alpha

IFM Investors’ investment philosophy is that the Australian Small Caps market has a number of inefficiencies that create value-adding opportunities (referred to as a ‘Small Caps premium’) for disciplined, professional investors. We believe that investment opportunities can arise in all sectors of the Small Caps market as well as across the value-growth investment style spectrum, hence we manage a style-agnostic Australian Small Caps strategy.

Investment philosophy

By investing in the IFM Investors Australian Small Caps strategy, investors gain access to an actively managed, style agnostic and diversified portfolio of small capitalisation securities. We employ a rigorous, bottom-up research, evaluation and selection process to identify opportunities across a broad base of small caps investments. This is complemented with disciplined portfolio construction characterised by strict adherence to investment guidelines, a risk-aware approach to sectors and stocks and regular monitoring of investments. We believe that opportunities can arise in all sectors of the small caps market, as well as across the value-growth style spectrum.

We believe that value-adding opportunities can be captured through:

  • Focused, rigorous fundamental research to identify mispriced stocks in the investment universe
  • Application of a consistent and systematic methodology to extract excess returns while maintaining a low relative risk portfolio.