Investment Objective
Our goal in the TIM Diversified Equity portfolios is to provide superior risk-adjusted returns and long-term capital appreciation and to outperform relative benchmarks such as the S&P 500 Index over a full market cycle (typically 3-5 years).
Philosophy
- Fundamental and research driven approach to investing in large growth stocks that have market caps greater than $2
billion
- Team-oriented investment decision-making process
- Identify catalysts for secular and fundamental change
- Companies that exhibit sustainable business models, superior managements and strong free cash flow
- Attractive valuations based on discounted cash-flow analysis
Portfolio Structure
- Concentrated portfolio of generally 40 to 60 securities
- Minimum market cap of $2 billion (at time of purchase); no maximum market cap
- Broadly diversified by industry and sector
- Turnover range typically 20-40%
- Generally fully invested
Monthly Returns available upon request:
info@timllc.com
Annualized and calendar year performance returns represent, and are
supplemental information to, the Diversified Equity Composite presentation
and disclosures of Transamerica Investment Management, LLC as provided
within the performance window shown, which are integral part of this
presentation. Returns under one year are not annualized. Diversified Equity
Composite contains fully discretionary diversified equity accounts with
approximately 40-70 issues in growth and core disciplines and for comparison
purposes is measured against the S&P 500 Total Return Index. Gross of fee
returns include transactions costs and accrued income and dividends but do
not reflect the deduction of investment advisory fees. Net of fee
performance is calculated using the monthly fraction of the highest annual
management fee of 0.75%. Past performance is no guarantee of future
results.
Material
such as, but not limited to, portfolio level fundamentals (characteristics)
are deemed supplemental information and complements the performance
disclosures which are an integral part of this presentation. Portfolio
characteristics above reflect a representative account as of June 30, 2010,
and are subject to change without notice. Individual account holdings may
vary based on restrictions, substitutions, cash flows and other factors.
Source for characteristics: Thomson Portfolio Analytics. Risk statistics are
calculated using gross-of-fee returns versus the benchmarks shown-see
Diversified Equity Composite presentation and disclosures for additional
information on benchmarks; risk statistics calculated using net-of-fee
returns may vary. Source for risk statistics: eVestment Analytics.
DIVERSIFIED EQUITY
COMPOSITE PRESENTATION
|
Period |
Total Firm
Assets
(Millions) |
Composite Assets |
Periodic Performance Results |
|
USD
(Millions) |
Number of Accounts |
Composite
Gross |
Composite
Net |
S&P 500 |
Russell 1000® Growth |
Composite Dispersion |
|
2010 Q2 |
13,390 |
1,534 |
8 |
-11.79% |
-11.97% |
-11.43% |
-11.75% |
|
|
2010 Q1 |
16,768 |
1,046 |
≤5 |
4.73% |
4.53% |
5.39% |
4.65% |
|
|
2009 |
16,404 |
1,114 |
6 |
35.86% |
34.87% |
26.46% |
37.21% |
N/A |
|
2008 |
14,464 |
519 |
6 |
-40.25% |
-40.72% |
-37.00% |
-38.44% |
0.4% |
|
2007 |
23,804 |
952 |
8 |
21.10% |
20.21% |
5.49% |
11.81% |
N/A |
|
2006 |
23,380 |
1,212 |
6 |
10.60% |
9.78% |
15.79% |
9.07% |
0.5% |
|
2005 |
19,668 |
1,022 |
≤5 |
10.31% |
9.49% |
4.91% |
5.26% |
N/A |
|
2004 |
22,043 |
1,792 |
13 |
15.28% |
14.43% |
10.88% |
6.30% |
2.2% |
|
2003 |
14,657 |
1,264 |
11 |
30.34% |
29.39% |
28.68% |
29.75% |
2.4% |
|
2002 |
11,633 |
548 |
≤5 |
-17.38% |
-18.01% |
-22.06% |
-27.88% |
N/A |
|
2001 |
11,778 |
142 |
≤5 |
-4.90% |
-5.62% |
-11.93% |
-20.42% |
N/A |
|
2000 |
9,413 |
65 |
≤5 |
14.09% |
13.25% |
-9.10% |
-22.42% |
N/A |
|
1999 |
10,935 |
19 |
≤5 |
10.95% |
10.13% |
21.04% |
33.16% |
N/A |
|
1998 Q4 |
42,234 |
13 |
≤5 |
27.55% |
27.33% |
21.30% |
26.74% |
|
|
1998 Q3 |
|
11 |
≤5 |
-13.63% |
-13.80% |
-9.95% |
-9.09% |
|
|
1998 Q2 |
|
9 |
≤5 |
-2.72% |
-2.90% |
3.30% |
4.54% |
|
N/A – Information is not
statistically meaningful due to an insufficient number of portfolios in the
composite for the entire year.
|
Performance Results as of June 30, 2010
(Results for periods greater than 12 months have been annualized) |
|
|
YTD |
1 YEAR |
3 YEAR |
5 YEAR |
10 YEAR |
INCEPTION |
|
Composite Gross |
-7.62% |
13.23% |
-6.11% |
2.80% |
2.47% |
4.79% |
|
Composite Net |
-7.98% |
12.39% |
-6.81% |
2.03% |
1.71% |
4.01% |
|
S&P 500 |
-6.65% |
14.43% |
-9.81% |
-0.79% |
-1.59% |
1.21% |
|
Russell 1000® Growth |
-7.64% |
13.62% |
-6.91% |
0.38% |
-5.14% |
-0.11% |
Diversified Equity Composite
contains fully discretionary diversified equity accounts with approximately
40 to 70 issues in growth and core disciplines and for comparison purposes
is measured against the S&P 500 Total Return Index. The Russell 1000®
Growth Index was the primary index from April 1, 2005, through December 31,
2006, and is currently presented as a secondary benchmark. Prior to April 1,
2005, the composite was measured against the S&P 500 Total Return Index. The
benchmark used for comparison purposes has shifted between the Russell 1000®
Growth and the S&P 500 Total Return indices as the strategy has shifted
between a focus on growth versus core equities, respectively. This composite
was previously
known as
Diversified Large Growth Composite and Core Equity
Composite. Prior to April 1, 2005, the composite was defined as fully
discretionary diversified equity accounts; it has been redefined to more
accurately reflect the investment strategy. Beginning January 1, 2002, the
minimum account size for this composite is $10 million. Prior to January 1,
2002, no minimum account size was required.
Transamerica Investment Management,
LLC (TIM) is an SEC-registered investment adviser that commenced operations
on January 1, 2000. TIM is controlled by Transamerica Investment Services,
LLC (formerly Transamerica Investment Services, Inc.), which became part of
the AEGON Group of companies on July 21, 1999.
Transamerica
Investment Management, LLC has prepared and presented this report in
compliance with the Global Investment Performance Standards (GIPS®).
TIM’s compliance with GIPS has been verified for the period January 1, 2000,
through
June 30, 2008,
by Ashland Partners & Company LLP. In addition, performance examinations on
the Diversified Equity Composite were conducted by Ashland Partners &
Company LLP for the period since January 1, 2000. A copy of the verification
report is available upon request.
The
Diversified Equity
Composite was created on July 1, 2001, and has an
inception date of April 1, 1998. Performance presented prior to January 1,
2000, was generated under Transamerica Investment Services, Inc. The manager
primarily responsible for performance prior to January 4, 2010, is no longer
an employee of the firm but, as of July 1, 2010, serves as a consultant to
the firm, providing advice on management of the portfolio.
Results are based on fully discretionary accounts under management,
including those accounts no longer with the firm. The U.S. dollar is the
currency used to express performance. Returns are presented gross and net of
management fees and include the reinvestment of all income. Net-of-fee
performance is calculated using the monthly fraction of the highest annual
management fee of 0.75%. The annual composite dispersion measure presented
is an asset-weighted standard deviation calculation based on accounts in the
composite the entire year. Additional information regarding policies for
calculating and reporting returns is available upon request. Past
performance is not indicative of future results and individual account
performance may vary. The firm maintains a complete list and description of
composites, which is available upon request.
The investment management fee schedule for the Diversified Equity Composite
is listed below; actual investment advisory fees incurred by clients may
vary.
First $25 million
0.75%
Next $75
million 0.55%
Next $150
million 0.50%
Remaining
assets 0.45%