Top performing in the Morningstar Technology Category over 1- and 5- year periods as of Q3 2023

San Francisco – December 22, 2023 – Bailard, Inc. an independent, values-driven asset and wealth manager in the San Francisco Bay Area, is pleased to announce that its Technology Strategy was a top performer in the Morningstar Technology Category for both the 1-year and 5-year periods ending September 30, 2023.

The ranking, compiled by Morningstar, was recently unveiled by Pensions & Investments, the global news source of money management and institutional investing in “Top Performing Separate Accounts and CITs (collective investment trusts).” Every quarter, Morningstar compiles a list of “Top Performing Separate Accounts and CITs” for Pensions & Investments. The top performers are selected based on 1-year and 5-year returns (calculated using the monthly returns input to Morningstar).

The Bailard Technology Strategy placed in the top ten of its Technology Category, posting a 42.7% gross of fee return and 42.2% net of fee return for the 1-year period ending September 30, 2023. For the 5-year period ending September 30, 2023, the Strategy posted a 13.4% gross of fee return and 12.9% net of fee return.

“We see technology as a key growth catalyst for the global economy, with innovation-forward companies creating value across a variety of non-traditional technology industries,” said Dave Harrison Smith, CFA, Executive Vice President of Domestic Equities and Head of Technology Investing at Bailard. Dave continued, “We are excited by the step-function change in innovation and investment opportunities around technology companies today, particularly as the sector undergoes major shifts, like the emergence of Generative AI and the growing demand for cybersecurity solutions.”

Color headshot of Diana Dessonville.Interested in Learning More about the Technology Strategy, or Meeting with the Technology Strategy Team?

Diana L. Dessonville
Executive Vice President | Director, Institutional Client Services
(650) 571-5800

About Bailard, Inc.

Founded in 1969, Bailard is an independent asset and wealth management firm serving individuals, families, and institutions alike. Bailard has built a long‐term asset management track record across domestic and international equities, fixed income, and private real estate, as well as robust, in-house sustainable, responsible, and impact investing expertise. Through it all, Bailard works with clients to align their financial goals with their values. Based in the San Francisco Bay Area with over $5.4 billion in assets under management as of 9/30/2023, Bailard is a majority employee-owned and women-led firm, a Certified B Corporation™, and a Principles of Responsible Investing signatory.

Important Disclosures

The list was compiled through the Morningstar Separate Account/CIT Fund Database, as of the third quarter of 2023, based on data populated as of November 20, 2023. An estimated 42 Separate Account/CIT Funds appeared in the Morningstar Technology universe as of September 30, 2023. There was no fee to be considered for this recognition.

Past performance is no indication of future results. All investments involve a risk of loss.

Risks: The Bailard Technology Composite is not by itself a complete investment program and is best suited for investors who can accept the above average risk generally associated with growth stocks and technology stocks. The strategy is primarily subject to the risk that the market value of investments will fluctuate as stock markets fluctuate plus the style and sector risks associated with a complete weighting in the technology sector, which may be more volatile than the overall stock market. The strategy is also subject to the size risks associated with investments in smaller market cap stocks in addition to its predominant tilt toward large cap stocks. The strategy may invest in American Depository Receipts (ADRs) and Global Depository Receipts (GDRs) which are subject to the same risks as the foreign securities that they evidence or into which they may be converted (including political or economic instability, the impact of currency rate fluctuations and different accounting standards). The strategy may invest in derivative securities, which may be volatile and may increase investment leverage.

The application of various environmental, social, and governance screens as part of a socially responsible investment strategy may result in the exclusion of securities that might otherwise merit investment, potentially resulting in lower returns than a similar investment strategy without such screens or other strategies that use a different methodology to exclude issuers or evaluate ESG criteria. Investors can differ in their views of what constitutes positive or negative ESG characteristics. As a result, the strategy may invest in issuers that do not reflect the ESG beliefs and values of any particular investor.

Adherence with strategy’s ESG criteria is determined at the date of purchase. Individual equity holdings in the strategy may cease to meet the relevant ESG criteria after the initial purchase but may nevertheless remain in the strategy until a future review or rebalance by the Bailard. As a result, certain securities in the strategy or the client’s portfolio as a whole, may not meet the relevant ESG criteria at all times.

In evaluating a security or issuer based on ESG criteria, we are dependent upon certain information and data from third party providers of ESG research, which may be incomplete, inaccurate or unavailable. As a result, there is a risk that we may incorrectly assess a security or issuer. There is also a risk that we may not apply the relevant ESG criteria correctly or that the strategy could have indirect exposure to issuers that do not meet the relevant ESG criteria used by the strategy. We do not make any representation or warranty, express or implied, with respect to the fairness, correctness, accuracy, reasonableness or completeness of such ESG assessment. There may be limitations with respect to availability of ESG data in certain sectors, as well as limited availability of investments with positive ESG assessments in certain sectors. Our evaluation of ESG criteria is subjective and may change over time.

There can be no assurance that this or any investment strategy will achieve its investment objectives. All investments have the risk of loss.

Composite Performance Disclosures

Definition: The Technology Composite (“the Composite”) includes all portfolios invested primarily in the stocks of firms that predominately use technology to drive their business. The Technology Composite is a carve-out (the “Carve-Out”) from a composite (the Bailard Inc. Technology & Science Composite) that was managed to the firm’s all cap growth / technology and science equity strategy. The Carve Out’s portfolio consists of all holdings in the Technology & Science Composite after filtering out health care stocks as defined by GICS. Through June 2016, cash was allocated to the Carve-Out based on the relative value of its holdings within the Technology & Science Composite. Since July 2016 the Carve-Out has been managed as a sub-portfolio with its own cash. As of November 30, 2023, the Composite from which the Carve-Out was drawn consisted of a single mutual fund portfolio, which has been managed in an advisory or subadvisory capacity since 2001. The Composite had a market value of $146.47M as of November 30, 2023. The Composite’s returns are total returns presented net of management fees (“net of fees”) and assume reinvestment of dividends and other earnings. The returns do not reflect a fiduciary fulfilment fee payable to Bailard (where applicable), or custody and other account expenses not payable to Bailard.

Gross of management fee returns were calculated by Bailard’s portfolio accounting system. Through June 2016, net of management fee performance was calculated by netting down the gross return by a model fee of 0.65% (applied by reducing monthly returns by 0.054%). From July 2016, net of management fee performance was calculated by netting down the gross return by a model fee of 0.75% (applied by reducing monthly returns by 0.0625%). This model fee is representative of the fees charged for a separately managed portfolio and is the highest management fee for this strategy.

No representation is made that any account will obtain similar results to those shown above.