Portfolio Management: Manager Selection

In selecting managers, Glenmore starts by focusing on only those managers who do not stray from their stated investment objectives. They are focused and disciplined in their approach to selecting investments. Glenmore further screens managers using rigorous statistical analysis. In addition to analyzing traditional measures of risk and return such as the "Sharpe Ratio," Glenmore carefully reviews returns versus relevant benchmarks to ensure that the manager is not taking on unnecessary risk to achieve alpha. Statistical measures, such as the "Information Ratio" which compares active return to active risk, helps to filter out managers that take non value add risk when selecting investments. Finally, we seek out managers that place a significant emphasis on minimizing downside risk. They are defensive when investors are complacent and opportunistic when valuations are attractive.