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  1. Strategies

Mid Cap Growth Equity

Mid Cap Growth Equity

Herndon Capital Management’s growth philosophy evolves from our belief that longer term, stock price movements are driven by the change in earnings. Notably, our philosophy enables our portfolios to include businesses whose earnings are growing at an accelerating rate as well as those whose earnings growth rate is more consistent as long as we believe those businesses will grow in excess of the market longer term. We also believe that some stocks should be avoided, regardless of the underlying earnings power if the reward to risk payoff is not favorable.

The goal of our Mid Cap Growth product is to outperform the Russell Midcap® Growth Index over a market cycle (3 – 5 year) while concurrently managing the risk taken to achieve that objective. 

We begin our process with a universe of stocks that consists of all the stocks in the Russell Mid Cap index and those above $1B in market cap in the Russell 2500 index.  Next we execute our thoughtful and disciplined three-step stock identification and three-step portfolio construction process to build a portfolio of 40 – 60 securities that we believe will enable us to achieve our goal of outperforming the benchmark over a market cycle. 

Performance, Supplemental Information and Disclosures

Our Systematic Process

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