Collins Capital Investments is an asset management firm based in Miami that manages equity and fixed income investments. Founded in 1995, the firm has over $10 billion in assets under management. Collins Capital is known for its strong performance in managing US equity and global equity portfolios. It follows a disciplined investment approach focused on risk management and downside protection. The firm’s flagship US equity strategy has outperformed the S&P 500 Index since inception. Collins Capital’s investment strategies cover a range of sectors and market capitalizations. This article provides an overview of Collins Capital’s investment approach, strategies and performance.
Collins Capital Focuses on Fundamental Bottom-Up Stock Selection
Collins Capital employs a fundamental bottom-up approach to stock selection in its equity strategies. Its investment process focuses on identifying high quality companies with strong management, consistent earnings growth and sustainable competitive advantages. The firm carries out extensive due diligence on each investment idea including management interviews, competitor analysis and valuation modeling. Collins Capital constructs concentrated portfolios of 20-30 stocks based on the highest conviction ideas of its analysts. The portfolios are built from the bottom up without regard to benchmark weights. This rigorous stock selection process has enabled Collins Capital to consistently outperform market indices.
Risk Management Is Integral to Collins Capital’s Investment Approach
While Collins Capital focuses on picking winning stocks, risk management is an integral part of its investment DNA. Its equity portfolios are constructed in a way to minimize downside risk. Position sizes are kept modest and regularly rebalanced. The firm maintains strict sell discipline to quickly eliminate underperforming positions. Collins Capital controls for portfolio level risks by ensuring appropriate diversification across sectors and industries. Its fixed income strategies also employ active risk management to preserve capital and generate consistent income. Overall, Collins Capital’s robust risk framework has allowed it to protect capital during major market downturns.
Collins Capital Offers a Range of US Focused Equity Strategies
Collins Capital’s core expertise lies in US equities. Its flagship strategy Collins Capital US Equity invests in a concentrated portfolio of 20-30 stocks across market caps and sectors. The strategy has consistently outperformed the S&P 500 benchmark since inception in 1995. Collins Capital Long/Short US Equity follows a lower net, hedged approach combining long positions in high conviction stocks with short positions in fundamentally challenged companies. The Collins Capital Focused Growth strategy invests in mid and large cap stocks with strong growth characteristics. Collins Capital also offers small cap and dividend income focused US equity strategies. The firm’s deep research resources and experienced investment team of over 15 analysts and PMs support its suite of US equity solutions.
Global Equities and Fixed Income Strategies Expand Collins Capital’s Capabilities
While US equities form the bulk of its AUM, Collins Capital has expanded into global equities and fixed income in recent years. Its international and global equity strategies follow the same disciplined, fundamental driven approach as its US strategies. Collins Capital’s fixed income strategies invest across multiple sectors and security types. Its core fixed income philosophy is based on actively managing sector exposures and credit risk over interest rate duration. Collins Capital also offers a long/short credit strategy and municipal bond strategy. The expansion into new asset classes has enabled the firm to diversify its product mix and grow its AUM.
In summary, Collins Capital Investments is an accomplished US equity manager with an disciplined investment process focused on bottom up stock selection and risk management. Its capabilities now span multiple equity and fixed income strategies. Collins Capital’s robust investment platform and long term track record makes it an attractive choice for institutional investors.