Pure Growth Investors since 1964

At Fred Alger Management, Inc. (Alger), they believe pure growth companies provide the best long-term investment opportunities. Their team of seasoned analysts is trained to discover the fastest growing companies in the U.S. using independent fundamental research to analyze balance sheets, create financial models, and analyze the earnings and growth potential of each company we study. This approach was developed by their founder, Fred Alger, and has been carried out consistently throughout their history of more than four decades.

Investment Philosophy

They believe that companies undergoing dynamic change provide the best long-term growth opportunities for clients. Where do they find such opportunities?

• In vital, creative firms that offer goods or services to a rapidly expanding marketplace. These include both new and established companies with innovative products and companies with increasing market share.
• In companies that are experiencing a promising life cycle change, such as new management, products, and technologies; or a reorganization, merger, or acquisition.

Investment Process

Independent, rigorous research is a mainstay at Alger. Their disciplined investment process is based on fundamental, original analysis of every company they invest in. Alger analysts:

• Undergo training in the Alger methodology
• Specialize in sectors and industries
• Immerse themselves in the culture and workflow of the companies they cover
• Build proprietary financial models

What is Distinctive about the Alger Culture?

Courage of convictions is a requirement at Alger. With attention to detail and firsthand knowledge of companies, their research analysts draw conclusions about a company’s growth prospects and make timely buy/sell recommendations to portfolio managers.

The portfolio managers weigh the options presented by analysts and decide which to act on. They may challenge analysts’ findings, but analysts are expected to defend their recommendations and back them with data. At the end of the day, the stocks in an Alger managed portfolio rest on the skill and convictions of their analysts.

Why is Independent Research so Effective?

They believe that original research becomes organic. It leads to a deeper understanding of a sector or an industry. It helps us uncover new opportunities early in their growth cycle, before the rest of the marketplace finds them.

This unique perspective has helped Alger take a leadership position among growth managers and to become the manager of choice for many institutional and individual investors. Remaining true to their investment style is a responsibility taken very seriously. They know growth— it’s what they do.

Attributes

• Total assets under management were approximately $8.4 billion as of
  December 31, 2008