David Simon, CEO and Co-CIO of Twin Capital Management, LLC, is well-established in the investment management industry. As chief investment officer and managing member of Twin Capital, David Simon has more than 30 years of experience helping investors and institutions manage their assets through an active value-oriented and event-driven philosophy. The development of buy lists is one of the ways investment management firms facilitate their clients’ navigation of the financial markets.
Every year, investment management firms release a selection of funds that are deemed the best overall investments for their clients. This is known as a buy list. Teams composed of analysts, market experts, and researchers analyze the performance of thousands of funds. After a series of thorough screenings, between 50-100 funds are classified as high-conviction buys. The funds that make the buy list are typically better able to weather market volatility, and therefore are more likely to be sound investments during down periods. Buy lists tend to vary widely by firm. One way to gauge a buy list’s historical performance to compare it against the average returns of the market.