GAM has added two new US equity funds to its “Star” range, both of which will be run externally for GAM by US-based managers; GAM Star US All Cap Equity by Manning & Napier and GAM Star US Small & Mid Cap Equity by Advisory Research, Inc.

GAM Star US All Cap Equity seeks to achieve returns through a disciplined bottom-up research driven approach to investment within a global macroeconomic framework. The fund employs an absolute return, deep-value approach and focuses on market survivors in cyclical industries, stocks with low price-to-book values and companies with a sustainable competitive advantage.

The GAM Star US Small & Mid Cap Equity targets value-oriented companies in the Russell 2500 Value Index with market capitalisations of typically between $400 million to $9 billion.

The fund’s investment process emphasises downside protection before upside participation. Detailed analysis of the balance sheet and business plan are the key to picking stocks for this fund, says GAM.