Davy Global Fund Management Limited

7. Types of Clients                                       culminating in conviction portfolios of high-quality
    DGFM offers management and individual                     stocks held at appropriate valuations.
    discretionary investment management services to
    the following types of clients:                           A proprietary database of c.15,000 stocks across all
                                                              investable markets is the starting point for idea
    π	 AIFs, UCITS and other pooled investment                generation. Information is sourced from multiple data
       vehicles                                               feeds; fundamentals, analyst estimates, ESG and
                                                              market data. This universe is ranked by our definition
    π	 Retail                                                 of quality, ensuring a wide breadth of stocks are
                                                              covered whilst allowing in-depth analysis at company
    π	 Corporates                                             level, giving scale, insight and consistency.

    π	 Corporate Pension Plans                                Bottom-up analysis is performed using a proprietary
                                                              fundamental research template; each report contains
    π	 Public Pension Plans                                   a justification of earnings’ estimates, inherent stock
                                                              risks, and cash flow model with base, bull and bear
    π	 Charitable Organizations                               case valuations. ESG is integrated into the research
                                                              process. It offers alternative, non-financial data and
    π	 Investment Managers and Financial                      can help uncover long-term business risks. Expected
       Intermediaries                                         returns are calculated using a discounted cash
                                                              flow model, where the cost of equity is adjusted for
    π	 Family Offices                                         ESG and other firm specific risks. We engage with
                                                              companies prior to investment and insights gained
    π	 Taft-Hartley Plans                                     from analysis are used to improve the core models.

    π	 Endowments and Foundations                             In terms of risk management, we have an
                                                              independent, dedicated portfolio risk team whose
    π	 Faith-based Investors                                  role is to monitor portfolios in order to ensure client
                                                              guidelines are being adhered to. Portfolios are
    π	 Insurance Companies                                    reviewed to verify our funds meet performance and
                                                              risk targets and any inconsistencies are dealt with
    DGFM offers separate account services.                    swiftly and effectively.
    The minimum account size for a separate account
    for a U.S. client is approximately $10 million.

                                                                    Davy Global Fund Management | Part 2A of Form ADV: Firm Brochure

Portfolios are monitored in terms of tracking error,       the future. Investing in securities involves risk of loss
beta, active share, concentration risk and liquidity       that clients should be prepared to bear.
risk on a rolling monthly, quarterly and annual basis
at meetings attended by the fund management                9. Disciplinary Information
and portfolio risk teams. In addition, through an          Neither DGFM nor any management person of DGFM
independent third-party system, we are able to             has been involved in a legal or disciplinary event that
decompose tracking error according to benchmark            DGFM deems material to a client’s or prospective
risk, sector risk, regional risk, factor risk and stock    client’s evaluation of DGFM’s advisory business or
specific risk.                                             the integrity of its management.

We use Bloomberg’s Asset and Investment Manager            10. Other Financial Industry Activities and
(“AIM”) system for pre and post-trade compliance           Affiliations
to ensure portfolios are consistent with investment        DGFM is wholly-owned by Green Bay Acquisitions
guidelines. The AIM system allows us to hardcode           Limited, which in turn is wholly owned by J&E Davy
rules based on investment guidelines into our trading      Holdings, a non-trading Irish holding company.
system. Pre-trade, fund managers are unable to
generate trades which are in breach of hardcoded           Presently, the Davy Group consists of many
investment guidelines without explicit sign-off from       regulated entities, including: J&E Davy, Davy
authorised persons.                                        Securities, Davy Corporate Finance, DGFM and J & E
                                                           Davy (UK), DGFM Luxembourg S.A.
At a single stock level, we additionally use a “suspect
list” to identify poorly or strongly performing            Established in 1926, the Davy Group is one of
stocks across a range of momentum and sentiment            Ireland’s leading providers of wealth and asset
metrics. Stocks which appear on the “suspect list”         management, capital markets and financial advisory
over consecutive months are discussed in greater           services. The Davy Group is headquartered in Dublin,
detail at our review meetings and must have their          with offices in London, Luxembourg, Belfast, Cork
...