Fiera Capital (TSX: FSZ) is a global independent asset management firm with approximately $200 billion in assets under management (AUM) and 900 employees worldwide. The company provides customized multi-asset solutions across traditional and alternative asset classes to institutional, retail, and private wealth clients across North America, Europe, and Asia.
Attractive valuation
The company has a price-to-earnings ratio of 7.40, price-to-book ratio of 2.18, dividend yield of 7.84%, and market capitalization of $1.10 billion. Debt is very sparingly used at Fiera, as evidenced by a debt-to-equity ratio of just 1.62. The company has excellent performance metrics with an operating margin of 15.88% and a return on equity of 1.49%.
Rational investment approach
The company’s approach to investing is a process-oriented allocation of capital across public and private markets globally in order to deliver consistent and superior investment outcomes. Fiera’s integrated model offers clients the scale, resources, and reach of a global asset manager coupled with the client-centric approach of a multi-boutique firm.
To adapt to the investment landscape’s constant evolution, Fiera’s teams collaborate and draw on the global industry’s most innovative and diverse offerings to craft strategies that meet the client needs.
Diverse strategies
Fiera’s independent team structure allows it to offer a diverse range of investment strategies across asset classes and risk spectrums using a wide variety of investment styles. The company’s flexible approach allows Fiera’s investment teams to adopt techniques that are consistent with the value investment philosophy.
Strong asset management franchise
In addition to managing clients’ accounts on a segregated basis, Fiera manages several investment funds. The funds consist of open-ended and closed-ended investment funds which invest in a range of asset classes. In addition to traditional investment strategies, Fiera offers clients alternative investment strategies spanning a range of asset classes, including infrastructure, agriculture, real estate, Asian credit, private debt, and private equity.
Private alternative investments have garnered increased investor attention due to several unique investment characteristics. Such investments offer attractive returns with a lower degree of volatility and correlation to traditional asset classes as well as steady and predictable cash flows.
Low-risk company
The company adheres to the highest governance and investment risk-management standards and operates with transparency and integrity to create value for customers and shareholders over the long term. Fiera invests in organizations that understand and successfully manage material environmental, social, and governance factors. These businesses tend to be more resilient and of higher quality and are therefore better positioned to deliver sustainable value over the long term.
World-class investment research talent
Fiera is a research-driven investment firm. The company’s disciplined, methodical analysis and the consistent application of a rigorous investment approach has produced superior performance. At Fiera, research is the core of the company’s investment approach and the basis of all of management processes. The company’s independent bottom-up fundamental research is the cornerstone of Fiera’s equity strategies.
Fiera’s investment professionals, including portfolio managers and their teams, provide a deep pool of asset-management talent. The company’s teams have a proven track record of performance in managing accounts and servicing clients seeking to implement broad spectrums of strategies.
