Conviction
Our conviction analysis identifies how successful managers are at differentiating between out- and under-performers and then weighting their holdings accordingly.

The analysis:
• identifies the alpha generated from high conviction positions and the extent to which alpha is lost from under-weighted holdings
• demonstrates the consistency of these skills over the lifetime of the mandate
• provides complete transparency of every decision taken across each stock, sector or region, through our proprietary trade-adjusted stock level attribution module

In general we find that managers add value from their overweights but lose substantial amounts of alpha from underweights and unintended positions in the portfolio.

Our research demonstrates that a weak performance in identifying which stocks to underweight loses up to 300 basis points per annum.

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