Management & Investment Process

Management

The investment team leverages high degrees of experience and knowledge within a disciplined investment process. Learn more about the Team.
  • N. David Samra
  • Managing Director
  • 32Years Investment
    Experience
  • Brian Louko
  • Portfolio Manager
  • 19Years Investment
    Experience

Investment Process

The Artisan Global Special Situations Strategy applies high degrees of freedom to value investing principles as it seeks special situations that present alternative capital opportunities.

Business Quality

  • Strong free cash flow
  • High/improving returns on capital
  • Strong competitive positions

Undervaluation

  • Determine the intrinsic value of the business
  • Invest at a significant discount to intrinsic value

Capital Structure

  • Invest globally across the full capital structure
  • Identify and invest at optimal attachment point

Risk and Reward

  • Target securities with multiple ways to win
  • Credit downside protection with equity upside
The value of portfolio securities selected by the investment team may rise or fall in response to company, market, economic, political, regulatory or other news, at times greater than the market or benchmark index. The portfolio may invest in companies involved in (or the target of) acquisition attempts or tender offers or in companies involved in or undergoing work-outs, liquidations, spin-offs, reorganizations and bankruptcies. There is potential risk of loss of the entire amount investment in such companies. Investments in securities of financially stressed or distressed issuers involve substantial risks, including the risk that all or a portion of principal will not be repaid. Non-diversified portfolios may invest larger portions of assets in securities of a smaller number of issuers and performance of a single issuer may have greater impact to the portfolio's returns. International investments involve special risks, including currency fluctuation, lower liquidity, different accounting methods and economic and political systems, and higher transaction costs. These risks typically are greater in emerging and less developed markets, including frontier markets. Fixed income securities carry interest rate risk and credit risk for both the issuer and counterparty and investors may lose principal value. In general, when interest rates rise, fixed income values fall. High yield securities (junk bonds) are speculative, experience greater price volatility and have a higher degree of credit and liquidity risk than bonds with a higher credit rating. Use of derivatives may create investment leverage and increase the likelihood of volatility and risk of loss in excess of the amount invested.

Important Disclosures