Investment Philosophy

Our in-house research team enables us to deliver competitive performance. In addition, we have a strong global research network with in-house analysts based in Tokyo, New York, London, Hong Kong, Shanghai, Singapore and Mumbai. As a whole, we take advantage of Daiwa Securities Group's comprehensive strength and networks in developing our research and analysis framework and system infrastructure as one of the largest securities group companies in Japan.

Our Investment Philosophy:

Our investment management philosophy is based on a mid-to-long-term perspective in which we try to identify hidden values which are not yet fully recognized in the market. Adopting a consistent investment management process and suitable risk control systems, we take a balanced approach emphasizing both fundamental and quantitative analysis.

1. Added-value with our in-house analysis

We seek higher added-value through our unique methodology of integrating the analysis of in-house fundamental analysts, economists and quantitative analysts. Our basic assumption is that the market is not fully efficient.

2. Organizational support from our top-tier research team

Our research team, which is recognized for its top tier research capabilities within the industry, supports our investment process. Fund managers and analysts exchange information and analysis which is gathered internally in Japan and abroad.

3. Coherent investment process

We maintain our coherent investment process through organizational support at each phase of our 'Plan', 'Do' and 'Review' policy.

4. Stable return from mid-to-long-term perspective

We pursue stable excess return from our mid-to-long-term perspective through suitable risk control.

5. Risk control and transparency

We employ a strict investment-risk control and full compliance programme. Separating the risk control function from investment management ensures that our risk control system can adequately monitor our investment process. By means of full disclosure we maintain thorough accountability.