Short Hero

Investment Process

Progress builds every client portfolio consistent with the five interrelated steps in our investment process.

Discover New Talent

Progress maintains a database of 1900+ emerging manager strategies, representing approximately 900 emerging managers. Given our role as a leading manager of early stage emerging managers, we benefit from a certain magnet effect as many new investment companies seek us out. But we also actively look for new managers through diverse sourcing channels and prospecting strategies, including Internet research, networking with a variety of industry contacts and referrals.

Select Best-In-Class Emerging Firms

Our research process combines quantitative and qualitative analysis to narrow the universe of emerging managers. First, we score managers across a variety of discrete factors relating to performance, process, people and organizational stability. We then visit selected firms from the top-scoring firms on our Research List, conducting extensive on-site research to better understand, from a qualitative standpoint, the rewards and risks uncovered through the quantitative scoring process.

Build Portfolios

Progress builds portfolios to meet explicit client guidelines, reflect our conviction in specific managers and control risk both at the individual manager level and the portfolio level. We neutralize investment style exposures to ensure that portfolios are concentrated in our primary area of strength: manager selection. By systematically refreshing the Focus List of best-in-class candidates, we are ready to restructure portfolios as necessary. We restructure portfolios to ensure adherence to client goals and guidelines and to reflect evolving manager risk/reward profiles.

Monitor, Evaluate and Assist Managers

Progress’ quantitative scoring and qualitative due diligence process is systematic and extensive. We maintain updated quantitative scores on every manager, and we visit funded firms on-site at least once a year, with significant interim contact by telephone and in meetings at our offices. The process of manager assistance and the process of manager evaluation and monitoring support one another.

By providing ongoing assistance to the managers, Progress is better able to anticipate and prevent any problems that may affect investment performance. Drawing from our own business experience, we also are in a better position to recognize when positive changes will affect performance, perhaps validating increased portfolio exposure to a manager.

Rebalance Portfolios

Portfolio rebalancing occurs through a constant process of quality control resulting in termination, reallocation and graduation. Progress maintains a manager short list across investment styles, and we conduct a formal review and fund rebalancing twice a year, acting decisively to capture profits and limit losses. We want our managers to succeed. And when they do succeed, growing to mainstream status, we are ready to assist our clients in hiring these graduate managers directly. According to client research, one of the reasons some of our clients hire us is our ability to affect change more quickly than they can internally.


© 2017 Progress Investment Management Company, LLC. All rights reserved. Photos: Cantrell Portrait Design a FINE site
This site has been designed for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any security which may be referenced upon the site.