 |
The financial services sector has been experiencing long-term growth and consolidation as investing and other financial matters have become part of most Americans' daily lives. This fund is intended to appeal to investors who believe, as we do, that this growth phase will continue over the long-term, especially among mid-cap and small-cap financial services companies - companies that many funds overlook.
While many of the funds that focus on this sector invest mainly in industry giants, the Burnham Financial Services Fund seeks out opportunities among lesser known financial institutions, particularly regional savings and loans. Because these companies typically are followed by fewer analysts, there is a greater potential for identifying opportunities others have missed. These range from stocks that appear temporarily undervalued, to those that may be targets for acquisition by larger companies. (In contrast, the Burnham Financial Industries Fund invests primarily in financial services companies without regard to market capitalization.)
Using proprietary research techniques, we seek out financial services stocks in regions across the country, and in a range of financial industries, including banks, thrifts, brokerage firms, insurance companies, and asset management firms. The manager also looks for firms that forge cost-effective partnerships, buy back their own stock, generate strong cash flow, and/or have "hidden assets" that are not reflected in current stock prices.
|
|
