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.
Corporate earnings continue to expand at a robust pace, with bottom-up earnings for the S&P 500 Index up 13.7 percent year over year in the December quarter, well above the consensus of 8.0 percent. Yet, high expectations starting in the March quarter leave much less room for upside earnings surprises.
The Iran conflict has added yet another uncertainty to the economic outlook, with the Economic Policy Uncertainty Index spiking to its highest level since last June. While the financial markets are currently discounting a relatively quick resolution, a sustained rise in oil prices stemming from an expansion of military operations would further stress a U.S. economy already coping with tariffs, persistent inflation, and stagnant employment. With the U.S. midterms around the corner, President Trump could seek to declare victory within just a few weeks (conforming to his initial timeline), leaving the Iranian regime to stagger on. Then again, the parallels to the U.S. invasions of Iraq and Afghanistan are hard to ignore.
As for portfolio strategy, we believe AI disruption fears within software are overblown and, as a result, are adding to select providers, particularly those with proprietary data deeply embedded in customers’ operations. Also, although private credit concerns are hitting financials stocks, we are adding to banks and select capital markets firms, as we expect limited fallout outside of the industry. Lastly, whereas we remain cautious across the consumer sector due to the stagnant job market and persistent inflation (likely exacerbated by rising oil prices), the Iran conflict supports our positive stance on defense and our belief that budgets worldwide will continue to climb.
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.