Founded in 1981, Sit Investment Associates is a privately held, multi-billion-dollar asset management firm that provides focused investment management expertise, competitive long-term results, and unparalleled service to our clients.
Sit Investment Associates is one of the largest independent, minority-owned investment firms in the U.S. For over 40 years our success has been built on long-term client relationships, which in turn are built on a foundation of trust, commitment, understanding, and expertise. We take pride in serving as a true extension of our clients’ operations. Our highly experienced and knowledgeable investment professionals work directly with clients providing highly individualized service in an increasingly challenging economic and financial environment.
We employ a disciplined, fundamental, research-driven investment process guided by highly experienced and knowledgeable senior investment professionals who interact directly with our clients. As a result, our clients can count on the firm to achieve highly competitive results, coupled with exceptional client service.
We view investing as the practice of applying a consistent philosophy and collaborative decision-making process driven by disciplined, fundamental research. Our broad top-down analysis in tandem with extensive bottom-up analysis enables us to identify, assess and understand the securities in which we invest.
Equity markets retraced some of January’s substantial gains in February as investors priced in a higher terminal fed funds rate on greater-than-expected job growth and inflation. The Consumer Price Index and PCE Price Index for January 2023 exceeded consensus, though both measures should continue to trend down in the coming months. Even so, fed fund futures now discount a more aggressive monetary tightening cycle and a peak rate of around +5.6 percent (up from +4.9 percent at the end of January), putting downward pressure on stock valuation multiples.
In terms of strategy, portfolios remain well diversified as we expect volatility to continue, particularly in the near term, as investors further assess the path of monetary policy and its impact on the economy and corporate earnings. January’s risk-on rotation and a corresponding sell-off in the healthcare sector provided attractive buying opportunities, notably in pharmaceutical and HMO stocks. We have also selectively increased positions in technology, as earnings have stayed relatively resilient. On the other hand, we are reducing exposure to retailers and banks as we expect an economic slowdown to hit these two sectors the hardest.
For our latest full Global Investment Outlook & Strategy Update, download the .pdf document.
Our broad array of investment products encompasses the complete risk spectrum – from capital preservation to capital appreciation—enabling us to meet our clients’ entire range of investment objectives.
We are committed to a disciplined, fundamental, research-driven investment process. As a result, clients can count on the firm to achieve highly competitive results in tandem with exceptional client service.
Sit Mutual Funds is a family of mutual funds covering the entire risk spectrum, from stability of principal to high growth and grounded in our well-defined, hands-on management style and disciplined investment process.