Small Mid & Mid Cap Equity

For Small Mid Cap portfolios, our investible universe is securities with market capitalizations between $500 million and $10 billion, with most holdings between $1 billion and $7.5 billion. The product's inception is May 2006 and is managed by the same investment team as our Small Cap Equity, Mid Cap Equity and Medium-Grade fixed income products.  As of January 31, 2012, GW Capital managed $317.9 million in the Small Mid Cap Equity product. 

For Mid Cap portfolios, our investible universe is securities with market capitalizations between $1 billion and $20 billion.  The product's inception is June 2011 and is managed by the same investment team as our Small Cap Equity, Small Mid Cap Equity and Medium-Grade fixed income products.  As of January 31, 2012, GW Capital managed $413.3 million in the Mid Cap Equity product. 

The Small Mid and Mid Cap equity investment process combines thematic focused, top-down sector/industry trend analysis with bottom-up qualitative and quantitative fundamental issue selection methodologies. Thematically, we focus on companies from industry sectors that feature attractive top-line growth characteristics with strong potential for pricing power. We focus on identifying catalysts which we believe will enhance and improve valuations in the industry/sector and ultimately in underlying companies. We also invest in what we call special situation stocks, or stocks outside our developed themes, when we find companies identified as compelling opportunities. Special situation stocks at times may be more of a "true value" or even growth (GARP) opportunity than those identified thematically. Whether analyzing a stock as part of a theme or as a pure bottom-up purchase, the main driver of the issue selection process is our ability to uncover attractive investment prospects based upon fundamental perspectives. A final, key distinctive element to our approach is the synergies gained and applied to equity portfolios from fixed income research and market data utilized in our Medium-grade bond product.