Rather than concentrate on market and macroeconomic conditions, the funds will seek undervalued companies poised for strategic change, such as new management, restructuring, spinoffs or downsizings. The fund will primarily invest in mid- and large-capitalization companies with values greater than $1.5 billion, hold stocks for at least a year and actively research and vote on the strategies of the companies invested in.
“Evermore’s active value investment approach is the approach I have practiced since working for Michael Price at Mutual Series Fund,” said Marcus, who is CIO and lead portfolio manager of the Evermore Funds.
“We look for sound companies we believe are trading at deep discounts to their intrinsic values with strategic catalysts in place that should unlock those values,” Marcus added. “Our approach also allows us to tactically seek to take advantage of merger arbitrage, distressed debt and short selling opportunities—activities more typically associated with hedge fund investing.”
