Effective Investment Implementation
Client assets are managed in a separate account format, providing the highest possible level of customization. Investments themselves are divided into equities, managed directly by Aureus, and specialized external managers, selected and monitored by Aureus. The combination of expert internal equity management and access to premium external managers is, in our opinion, the most effective way to implement an individualized asset allocation model that is truly diversified and global. 
Internally-Managed Equities
Karen Firestone and Thad Davis lead internal equity management at Aureus. Karen has decades of public market investing experience as a fund manager and research analyst at Fidelity. Thad also brings significant investment experience to Aureus having managed institutional portfolios at Putnam Investments and Bear Stearns Asset Management.
The objective of our internally managed portfolios is to provide core equity exposure, in a separate account format. We hold 28-35 names, both domestic and international, and search across both sectors and market capitalizations from small to mega-cap, with a “best ideas” approach. We know all our companies well through visits with management and frequent conversations. An essential quality among our equity holdings is an underappreciated aspect that we have identified and analyzed, which we believe the market will recognize over time. Turnover since inception has been in the 20-25% range, which indicates a strong bias towards long-term ownership of each stock.
Selection and Monitoring of External Managers
David Scudder and Nat Jeppson, lead the selection and monitoring of external managers. David has substantial investment management and asset allocation experience. He was a long-time partner and portfolio manager at Wellington Management Company and, later, an advisor at Harvard Management Company. Additionally, David has significant background in manager evaluation and selection for various private trusts and non-profit institutions. Nat’s investment experience comes from investment banking and private equity related positions at OFFITBANK, Bankers Trust Company, and Allen & Company Incorporated. Nat’s background in hedge fund operations at Lyceum Capital, is also valuable in assessing external managers.
External managers provide significant diversification to client portfolios. Our rigorous selection discipline focuses on a fairly concentrated number of managers that we believe best meet clients’ asset allocation needs. Our approach also stresses investing with specialists, managers focused on a geography or sector as an example. Partnering with specialized managers allows us to implement customized asset allocation with certainly and precision and to monitor their performance with greater accuracy.
Welcome to Aureus Asset Management. Aureus Asset Management offers investors highly sophisticated portfolios.