Redwood Investments LLC Profile Picture Investment Adviser

Redwood Investments LLC

Redwood Investments LLC

  • Founded2004

US Equity Large Cap Core

  • Additional attributes Large cap
  • Strategy Stocks
The U.S. Equity Large Cap Core Portfolio invests in what we believe are high quality, attractively valued blue chip companies. Stocks held in this portfolio are thought to be market leaders with strong products, distribution, management, and financials. The portfolio typically invests in companies that repeatedly report earnings results that exceed analyst and investor expectations.
Our team uses an investment process focused on generating strong performance while managing risk. We seek to do so through prudent diversification, analysis of beta, sector, industry and other factors. We leverage our bottom-up stock selection approach and our quantitative techniques. Our team works continuously to discover new investment ideas.
We use a proprietary investment model that ranks nearly every stock traded based on fundamentals, valuation and quality. Our portfolio management team then conducts fundamental research on the highest-rated stocks. To do so, the team meets with company management, competitors, customers, and suppliers. It also analyzes financial statements and conducts a thorough valuation appraisal. The most attractive stocks are then placed on a short list for possible inclusion in the portfolio.
Once a security is purchased, the investment team continuously monitors its fundamental characteristics as well as its ranking within Redwood’s quantitative model.
The U.S. Equity Large Cap Core Portfolio typically holds 40 to 50 stocks. Initial positions are usually 2% of the portfolio or less. We limit industry concentration to 20% of the portfolio.
A stock is sold when its ranking deteriorates due to earnings disappointments or an unattractive valuation. We may also sell if our research uncovers warning signs that we believe could lead to underperformance. We typically trim positions when a stock appreciates rapidly in an effort to capture exceptional returns, or to prevent an individual security from contributing a disproportionate amount of risk to the portfolio.
None.

Performance

0.0%

Month to date

MTD

4.1%

Quarter to date

QTD

1.6%

Year to date

YTD

Quarterly vs S&P500

Quarterly vs S&P500

Risk score

  • 15.6%

    Best quarter

  • -22.6%

    Worst quarter

  • $30,000 investment min
  • 1% fee

Performance detail

Pre-Covestor performance history
  • Manager (net of fees )

Performance Portfolio inception December 31, 2004

as of August 29, 2016 Manager (net of fees ) S&P 500
Month-to-date 0.0% 0.3%
Quarter-to-date 4.1% 3.9%
Last 365 Days 3.5% 9.6%
Since inception (Annualized) 7.1% 9.3%
2016 (YTD) 1.6% 6.7%
2015 3.5% -0.7%
2014 11.3% 11.4%
2013 28.5% 29.6%
2012 16.8% 13.4%
2011 -1.3% 0.0%
2010 16.4% 12.8%
2009 20.5% 23.5%
2008 -37.4% -38.5%
2007 17.6% 3.5%
2006 11.9% 13.6%
2005 10.8% 3.0%

Risk metrics Last 365 days

as of August 29, 2016 Manager (net of fees ) S&P 500
Volatility 15.7% 15.3%
Sharpe Ratio 0.20 0.61
Sortino Ratio 0.27 0.84
Maximum Drawdown -16.4% -13.3%
Value-at-risk (95%, 1 week) -3.6% -3.6%
vs. S&P 500
Information Ratio - 1.56
Alpha -5.6%
Beta 0.99
R-Squared 0.94

Exposure

24.3%
15.4%
12.8%
12.6%
9.3%
  • Consumer, Non-cyclical
  • Consumer, Cyclical
  • Communications
  • Financial
  • Energy

Top 5 securities

3.5%
3.4%
3.1%
2.9%
2.9%
View all

Portfolio commentary

Latest transactions Average trades per month 2.9

Executed Symbol Security Type Price
08/16/16 FRC First Republic Bank/CA Buy $73.39
08/16/16 ALLY Ally Financial Inc Buy $19.38
08/16/16 T AT&T Inc Sell $42.22
08/16/16 SBNY Signature Bank/New York NY Sell $118.45
08/10/16 PPG PPG Industries Inc Sell $104.13
08/10/16 CXO Concho Resources Inc Sell $129.95
08/10/16 XEC Cimarex Energy Co Buy $128.68
08/10/16 HAL Halliburton Co Buy $44.18
View all


Important Information

  1. Past performance is no guarantee of future results.
  2. Performance of the Portfolio Manager's account is calculated by Covestor on a daily time-weighted basis, including cash, dividends and earnings distributions and broker commissions. Manager returns include trades and positions that fail Covestor's trading rules, as a result, actual client returns will differ. Covestor advisory fees are simulated and applied retro-actively to present the portfolio return "net-of-fees".
  3. Average client returns are calculated by Covestor and are composed of the asset-weighted average returns of all active client investments (some of which may contain investment restrictions) to the underlying portfolio. These daily average returns are then linked together for the timeframe presented. These returns include cash, dividends, and earnings distributions, and reflect the deduction of Covestor advisory fees, brokerage and other commissions and expenses actually paid by clients.
  4. All graph data is as of the end of day for the referenced period, unless otherwise specified. The investment minimum is the minimum investment required to follow a particular portfolio. The minimum amount is determined by Covestor, based on the characteristics of the underlying portfolio. It should not be considered as specific investment advice for your investment situation.
  5. The performance charts are provided for informational purposes only, and should not be used as the basis for making an investment decision. Variables such as corporate actions or foreign exchange may affect daily performance displays. We rely on mathematical formulas, computer programs, and pricing information from third-party vendors to provide these returns. Neither Covestor nor any of its data or content providers shall be liable for any errors in this information or any actions taken by you in reliance upon this information.
  6. Benchmark returns have been calculated by Covestor using a time-weighted calculation of daily index valuations. More
  7. Leverage indicates the level of margin utilized and is calculated by dividing gross exposure by portfolio net liquidation value.
  8. All Portfolio Manager information including personal data, profiles, strategies, monthly investment reports, and historical results outside of Covestor has been provided by the Portfolio Manager. Covestor makes no representation or warranty of its accuracy, completeness or relevance and it does not represent the opinions of Covestor. Transaction history is available upon request. Portfolio classifications are provided by Covestor, and are intended to serve as a general guide.
  9. Not all transactions listed will appear in your account due to Covestor's trading rules and individual client constraints. Eligibility of these securities is monitored periodically, and may change over time. Actual client investment holdings may vary.
  10. Index returns do not reflect any management fees, transaction costs or expenses. Individuals cannot invest directly in an Index. For certain portfolios we use an investable ETF as a benchmark, in these cases returns include management fees, transaction costs and expenses.
  11. This portfolio was launched on Covestor on September 19, 2013. Returns history prior to launch is GIPS verified and provided by the manager. Covestor has not reviewed this performance data but has received manager certification that it adheres to the current strategy.