Global Research On this page Investment Philosophy Since the inception of the firm, our investment philosophy has adhered to the belief that superior long-term performance is achieved by investing in quality businesses at reasonable valuations. Moreover, a focus on non-cyclical businesses with strong balance sheets should lead to lower volatility. We also believe that strong, ethical management teams and good governance practices are the cornerstones of a quality company. Accordingly, fundamental research that integrates material environmental, social and governance risks and opportunities will guide all investment decisions. For more than 65 years, we have built a solid reputation, adhering to a time-tested investment philosophy and process that has weathered countless market cycles. Team-based Approach Jarislowsky Fraser has a team-based approach that anchors a culture of collaborative decision-making within the Global Investment Team, which is currently comprised of 28 portfolio managers and analysts who are responsible for the in-house fundamental research and managing the firm’s equity and fixed income strategies. The Investment Strategy Committee (ISC), the firm’s central risk and investment oversight body, oversees the entire investment process to ensure that investment decisions follow the firm’s long-standing philosophy and process. Equity Management Jarislowsky Fraser’s equity research focuses on four key factors to determine the quality of a company for our portfolios. We construct concentrated portfolios of companies, which we have determined to be of high quality with the probability of providing attractive sustainable growth over a long-term investment horizon: Competitiveness: We seek companies with sustainable competitive advantages in industries with strong secular growth trends. Quality and Ethics of Management: We assess management’s skill, values and reputation, as well as its ability to replicate past success and create consistent long-term value. Financials: We look for companies with the ability to generate, sustain and grow free cash flow. Valuation: We invest in high-quality, undervalued companies with unrecognized growth potential. Fixed Income Management Our fixed income management is a credit-focused approach that relies on deep, fundamental analysis to help generate consistent alpha and is based on three principles that drive our process: Credit premium is a more consistent form of alpha than interest rate risk in part due to its associated carry and roll down. Credit performance can be evaluated through extensive fundamental company and valuation analysis. A portfolio built on sustainable income and downside protection leads to superior risk-adjusted returns. Our Approach to Sustainable Investing Sustainable investing involves an analysis beyond short-term profits, favoring instead factors that support long-term value creation. Consistent with our investment philosophy as long-term investors in high-quality businesses, we integrate material Environmental, Social and Governance (ESG) factors into fundamental investment analysis. We believe a company’s ESG policies and track record are likely to be a helpful lens through which to gauge quality, furthering our ability to invest in the most sound companies. Sustainable investing at Jarislowsky Fraser involves the following: Integrating ESG risks and opportunities into investment decisions; Taking a long-term view; Being engaged investors and demanding high-quality business practices. Our approach is pragmatic and ultimately about identifying and investing in quality businesses, which is core to our mission of delivering growth of capital in a prudent manner. Learn more about our approach to sustainable investing Learn More About Us About Trusted for Quality, Sustainable Investing Institutional Global Solutions for Institutional Investors Private Wealth A Tradition of Trust and Investment Stewardship Sustainable Investing Our Approach to Sustainable Investing About Institutional Private Wealth Global Research News & Insights Contact Client Portal Careers Privacy & Legal Accessibility CONTACT US © 2021 Jarislowsky, Fraser Limited. Canada - English Canada - Français United States - English International - English International - Español