A Look Inside the Process at Dana: Sector-Neutral, Equal-Weighted Positions and Downside Protection

Posted by Dana Funds Investment Team on Jun 20, 2019 10:57:38 AM

When looking at the table below, the only real takeaway is that it’s been nearly impossible to predict relative sector performance. Notice where each year’s top-performing sector wound up the following year. Despite the randomness of sector performance, the majority of portfolio managers make active sector bets as if they have some kind of edge in doing so.

S&P SECTOR PERFORMANCES&P-500-Sector-Performance-2018-2

Active management doesn’t have to include actively embracing all types of different market risks. At Dana, we manage our large- and small-cap funds to be sector-neutral, so we can focus solely on adding value through disciplined bottom-up stock selection. And this is just one aspect of our approach that separates us from our peers.

In our Process Overview Presentation, we elaborate on risk controls, the factors that go into our quantitative models and how our team conducts robust fundamental analysis that has protected our clients. If you are interested in learning more about our process, please download our presentation here.


Download Dana's Process Overview

The Dana Funds are distributed by Ultimus Fund Distributors, LLC. There is no affiliation between Ultimus Fund Distributors, LLC. and the firms referenced in this blog post.