CVAR

CVAR essentially combines a top-down and bottom-up analysis with an active management strategy to construct a portfolio of US-listed equities it believes are undervalued by other participants in the market. In selecting components for the portfolio, the fund uses a quantitative valuation assessment that utilizes a discounted cash flow model to assess each security's estimated intrinsic value. Next, individual securities pass through a multi-layered review to determine their buy and sell target, where they are purchased if they are at a 20 to 40 percent discount to their calculated intrinsic value. Once target prices are set, they are continuously monitored to inform acquisition and divestiture processes. Top-down, macro valuation factors are also considered to adjust exposure of certain securities and sectors based on the overall macro outlook for equity markets. The fund typically selects 50 to 100 securities across a diversified range of industries.