Overview

Investment Objective

To exceed the return of the Russell 2000® Value Index over the long term through multi-factor diversification.

Investment Universe

Bridgeway focuses on a universe of common stocks within the range of the Russell 2000® Value Index.

Investment Strategies

Management of this strategy is a statistical, bottom-up process that focuses on a universe of common stocks within the range of the Russell 2000® Value Index. This universe of stocks is then narrowed to a robust portfolio through the use of multiple statistical models based on three investment themes: Value Metrics, Company Financial Health, and Price Momentum. Based on Bridgeway's research and experience, selecting what we believe to be the strongest stocks based on these three themes provides diversification, mitigates volatility, and delivers more consistent returns than any one theme could. This produces a robust small-cap value portfolio for clients seeking outperformance of the Russell 2000® Value Index with style purity.

We seek to be 100% invested in small-cap value stocks at all times.

Strategy Basics

Category Small-Cap Value Equity
Benchmark Russell 2000 Value Index
Inception 07/01/2002

Team Managed


Bridgeway Capital Management, Inc. is a Houston-based, SEC Registered Investment Advisor founded in 1993. Registration does not imply a certain level of skill or training. BCM offers equity separate accounts, mutual funds, and sub-advisory services managed primarily in a statistical, evidence-based approach across multiple market capitalizations and investment styles to investors. The firm ascribes to four business values: Integrity, Performance, Efficiency and Service. BCM focuses on efficient trading to complement statistical stock selection and believes that it can add value by managing conflicts of interest, promoting its independence, and aggressively managing trading costs.

Past performance is not a guarantee of future results. Bridgeway Capital Management, Inc. claims compliance with the Global Investment Performance Standards (GIPS®). GIPS® is a registered trademark of CFA Institute. CFA Institute does not endorse or promote this organization, nor does it warrant the accuracy or quality of the content contained herein. A full presentation in compliance with GIPS® and a complete list of composite descriptions are available upon request by contacting Bridgeway Capital Management, Inc. at:

20 Greenway Plaza, Suite 450
Houston, Texas 77046
713-661-3500

info@bridgeway.com

Bridgeway Small-Cap Value Composite - Portfolios in this composite are managed with an objective of seeking to provide long-term total return of capital, primarily through capital appreciation. For purposes of this strategy, Bridgeway defines small-cap as those companies that fall within the market capitalization range of the Russell 2000® Index. Bridgeway selects stocks in the small-cap value category using a statistical approach. Value stocks are those that Bridgeway believes are priced cheaply relative to some financial measures of worth, such as price to earnings, price to sales, or price to cash flow. Portfolios in this composite would appropriately be benchmarked against the Russell 2000® Value Index.

The Russell 2000® Value Index measures the performance of the small-cap value segment of the US equity universe. It includes those Russell 2000® companies with lower price-to-book ratios and lower forecasted growth values. The Russell 2000® Value Index is constructed to provide a comprehensive and unbiased barometer for the small-cap value segment. The Index is completely reconstituted annually to ensure larger stocks do not distort the performance and characteristics of the true small-cap opportunity set and that the represented companies continue to reflect value characteristics.

The currency used to express performance is the US dollar.