DuPont Capital seeks to identify companies around the world trading at a significant discount to their expected normalized earnings power by effectively integrating proprietary analytics, in-depth fundamental analysis and top down country assessment. By applying a consistent, process-driven approach, the strategy results in a risk controlled portfolio designed to achieve excess returns with below average risk.
DuPont Capital combines proprietary valuation models with in-depth fundamental research to opportunistically identify the most attractively valued securities within the U.S., developed international and emerging markets. The valuation models objectively assess profit trends and potential risks to earnings power for the entire investable universe on a daily basis. In-depth fundamental analysis results in proprietary estimates of normalized earnings power, normalized cash flow generation and the sustainable earnings growth rate. DuPont Capital also evaluates risk at the country level through top down macroeconomic analysis and allocates capital accordingly. The portfolio construction process seeks to avoid uncompensated investment risk and applies a multifaceted approach to risk assessment.