DHJA has extensive experience in managing Florida public funds. Client relations with Florida funds have inceptions as far back as August 1982. The firm is very familiar with the restrictions in Chapters 175 and 185 of the Florida Statutes. DHJA manages funds for Police, Fire and General Employee plans for Florida municipalities.
The firm’s overall equity philosophy is a disciplined growth approach. DHJA believes that superior and consistent investment results come from: disciplined internal research that focuses on the identification of sustainable above average growth potential in high quality companies; a strong proven sell discipline; and pairing stock selection with essential risk controls. At DHJA, the goal is to find the non-consensus view and to exploit that information edge to outperform both the S&P and the Russell 1000 Growth indices over time using a growth style with risk similar to the S&P. The investment process centers around three basic beliefs: Wall Street is slow to change expectations; stock prices tend to follow changes in expectations; and increases or decreases in earnings estimates tend to persist.
The primary purpose of the fixed income as part of any portfolio is to preserve capital, lower overall volatility and provide liquidity with a high current return. The firm’s goal is to outperform the benchmark indices with higher credit quality, lower risk and less volatility. DHJA’s management style revolves around the core belief that intermediate maturities capture the bulk of the yield of long maturities but with significantly less price volatility. The strategy primarily utilizes intermediate securities with a maturity or average life between two and ten years to limit volatility. Additionally, only high quality issues, primarily U.S. Treasury and government agency securities are purchased. The corporate bonds purchased are from issuers rated a minimum of Single “A” by the major rating services. This quality bias reduces credit risk while ensuring liquidity. In addition to not purchasing long maturities, DHJA does not purchase non-dollar denominated bonds, Yankees, high yield securities, zero-coupon bonds or derivatives.
In balanced accounts, DHJA works with the client to determine risk and return objectives. The balanced product utilizes our large cap growth and fixed income strategies and allows the asset allocation to vary around a target asset mix, set to reflect a client’s risk and return objectives. The firm believes that it is effective asset allocation, or the level of commitment to stocks, bonds or cash at different points in time, which is primarily responsible for managing risk as well as return. Equities are the major swing factor in a balanced portfolio while fixed income provides high current return and lowers portfolio volatility. Equities are generally the dominant asset class due to their long term return characteristics.
Website: Davis Hamilton Jackson & Associates, L.P.
Janna Woods of
Davis Hamilton Jackson & Associates