Small Cap Core Strategy

The CQL Small Cap Core strategy targets a balanced, style-neutral equity structure engineered to extract pure stock-picking alpha. Unlike index-tracking portfolios or style-drifting managers, we maintain strict sector and capital neutrality. By isolating industry-specific beta, our process captures superior business models across all economic environments. Our goal is to outperform the broader small-cap universe through objective, factor-backed security selection.

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CQL Small Cap Core

Key Aspects of Philosophy

  • Alpha: 100% generated through security selection
  • Risk: Controls through market cap, beta and sector neutral to Russell 2000
  • Volatility. No macro, timing, or sector rotation

Key Attributes of the Process

  • 28 customized, sector-specific, multi-factor models, which rank stocks against peers
  • Sector, beta and market-neutral
  • Focus on security selection
  • Fundamental review of each holding

Key Performance Targets

  • Alpha: Excess retums over benchmark
  • Batting Average: Outperform in all markets
  • Beta: Risk consistent with the market