A $17 billion investor explains her uncommon tactics for finding the market’s biggest cash cows — a strategy that historically guarded against crashes

Fund and its global counterpart — both of which she manages — have the very specific goal of generating 9% cash return per annum over a full market cycle.

Van Valen's focus on quality dates back much further, to 2005. When the sell-off ensued during the fourth quarter, her US portfolio illustrated how a focus on strong free-cash flow is a viable defense against market drawdowns. It had fully recovered from its losses by March 1 whereas its benchmark, the Russell 1000 Value index, regained its footing more than a month later. Over the past year, her US portfolio has earned an 8.5% total return versus 4.2% for the Russell index.

This differentiated approach means she de-emphasizes many of the commonplace yardsticks that make for attractive investments.

Lol her fund has a mandate to deliver 9% returns per year? What a joke, she will never be heard from again.

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Wells Fargo and Barclays back fintech company OpenFinFinancial services software startup OpenFin has raised $17 million in a funding ... I, for one, would be skeptical of Wells Fargo backing SNL's Church Lady.
Source: Reuters - 🏆 2. / 97 Read more »

Active managers are beating the market again and Goldman has a strategy to ride their coattailsActive managers are having a breakout year and Goldman Sachs has a way to mirror their strategy.
Source: CNBC - 🏆 12. / 72 Read more »

Investors will soon pay zero fees for market trackers, new research suggestsFees for the world's most popular investment funds are in a race to zero, new J.P. Morgan research revealed.
Source: CNBC - 🏆 12. / 72 Read more »