Essex SMID, Small, & Micro Cap Growth Strategies

The Essex SMID Cap Growth, Small Growth and Micro Cap Growth strategies each share a common investment philosophy and process:

The investment philosophy is based on the belief that the small cap asset class is inefficient. The firm looks for under-followed, under-owned, under-appreciated companies and industries in the early stages of acceleration.

The investment approach is to execute a systematic, fundamental process to identify growth companies whose future growth prospects have yet to be priced into the stock.

The process begins with a quantitative screen, looking for micro to mid-cap companies with improving business fundamentals, as close to their inflection points as can be determined. If and when the firm invests in one of these companies, it strives to invest shortly after the first or second quarter of acceleration.

Companies which pass the quantitative screen and survive the fundamental research process are then allocated across SMID, small, and micro-cap portfolios.

While this approach affords Essex a significant degree of independence from Wall Street’s conventional wisdom, its success relies on Wall Street’s eventual discovery of an agreement with Essex’s investment thesis.

For additional information about the portfolios, as well as Essex's Evanston-based Small Cap Team, click below (PDFs): 

Small Growth Factsheet Q1 2017 The Wall Street Transcript Interview 2016
Small Growth eVestment Profile Q1 2017 The Wall Street Transcript Interview 2015
Small Growth 3 Year Attribution Emerging Manager Monthly Interview
SMID Growth Factsheet Q1-2017 Getting to Know Essex
SMID Growth eVestment profile Q1 2017 Generating Ideas
SMID Growth 3 Year Attribution Research Insights
Micro Cap Growth Factsheet Q1-2017 Investment Process
Micro Cap Growth eVestment Profile Q1 2017 Medical Fund of Cincinnati Hires Essex
Micro Cap Growth 3 Year Attribution Team Biographies


Our team in Evanston is focused exclusively on managing long-only small growth strategies and has worked together for more than 15 years. Our specific approach is to execute a systematic, fundamental process to find companies whose future growth is not fully reflected in the price of the stock.