We consider research the cornerstone of the investment processes that enable us to successfully pursue higher returns. We pride ourselves on our ability to research sectors and individual stocks in a way that eliminates preconceptions and challenges the market consensus.

Our research is distinctive because of a system that encourages close cooperation between analysts and portfolio managers. Analysts uncover investment opportunities through bottom-up research in specific sectors. Complementing this vertical approach is the horizontal, cross-sector focus of our portfolio managers, who have a broad, market-wide viewpoint. This combination ensures multifaceted, cross-sectional analysis.

In the pursuit of higher returns, we conduct the following types of research.

• Acquisition of information on the fundamentals by economists
  

  Gather information related to economic changes, interest and exchange rate fluctuations, and information concerning equities and bonds.

• Research through individual company visits by microanalysts
  

  Acquire extensive information by meeting with top corporate management and through other sources of corporate information to get an early grasp on changing conditions.

• Quantitative analysis
  

  Use quantitative methods to develop investment models, analyze markets and otherwise support investment decision-making.

• Credit research
  

  Perform detailed analysis on the finances and revenue/profit-generation ability of the major domestic and overseas financial institutions and companies that issue bonds to conduct credit analyses and predict rating movements.