Cambiar searches for quality companies that possess underappreciated catalysts and are trading at an attractive level relative to peers or to the company’s historical normalized valuation ranges. Our integration of ESG factors is intended to be broadly applied to the investment process used across all of Cambiar’s investment strategies.
Cambiar employs a fundamental, bottom-up relative value process that involves a thorough assessment of a company, including its management and risks. This assessment considers a number of financial and economic factors, including, among others, a company’s intellectual capital, established infrastructure, and potential positive fundamental developments. Cambiar’s investment analysts also evaluate the company’s material ESG-related risk exposures and opportunities to determine if those factors could significantly impact—positively or negatively—the company’s performance during the firm’s intended investment horizon.
In performing the analysis of a company, the Cambiar analyst has the ultimate responsibility to evaluate the materiality of a potential ESG-related risk, whether the company has responded to the ESG issue in a constructive manner (as applicable), how important the ESG factors are on a potential investment decision, and what potential impact they may have on the business and its future return.