The Copeland Capital Management, LLC (Copeland) US Large Cap strategy has been added to the SEI Canada U.S. Large Company Equity Fund (the “Fund”).
 

Investment philosophy and process

Copeland’s investment philosophy emphasizes quality and dividend growth. This fundamental strategy has a quantitative screen and uses multi-factor modeling; however, its primary emphasis is on quality and stability. Overall, the investment team adopts a “win by not losing” approach and emphasizes companies with above-average long-term profitability.

The investment team strives to mitigate pitfalls associated with quality investing. Its quantitative ranking model and compensation structure causes it to continually rank existing holdings against alternatives.

Copeland’s requirement for dividend growth provides a systematic sell trigger that many quality-oriented managers lack. This helps to mitigate potential anchoring bias (in which the use of a psychological benchmark carries a disproportionately high weight in the decision-making process) and drive a more standardized sell discipline.

The strategy consists of 30 to 40 stocks.

Role in the Fund

Copeland’s US Large Cap strategy should align with the quality alpha source. We expect Copeland to outperform in volatile and declining markets when investors favour quality and stability over absolute growth. Furthermore, we are seeking to increase our exposure to companies with persistently high profitability in multiple economic sectors represented within the Copeland portfolio and our analysis indicates that Copeland provides better differentiation relative to the other managers in the Fund.

About Copeland

Copeland is a Pennsylvania-based investment boutique focused on dividend growth investing. As of March 2023, the firm had $5.5 billion in assets under management.

Important information

SEI Investments Canada Company, a wholly owned subsidiary of SEI Investments Company, is the Manager of the SEI Funds in Canada.

The information contained herein is for general and educational information purposes only and is not intended to constitute legal, tax, accounting, securities, research or investment advice regarding the Funds or any security in particular, nor an opinion regarding the appropriateness of any investment. This information should not be construed as a recommendation to purchase or sell a security, derivative or futures contract. You should not act or rely on the information contained herein without obtaining specific legal, tax, accounting and investment advice from an investment professional.

This material represents an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events, or a guarantee of future results. The portfolio managers or the allocations of assets to a particular portfolio manager are subject to change from time to time at the Manager’s discretion.

Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus or other offering documents before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated.