Overview
The strategy seeks to achieve long-term capital appreciation by investing in a concentrated portfolio of 30-50 stocks using a proprietary process that focuses on identifying companies that generate superior and consistent internal returns on capital in order to create shareholder value. The strategy invests primarily in mid-to-large cap foreign equity securities.
Fund objective
The Shelton International Select Equity Portfolio seeks to deliver attractive risk-adjusted returns over time.
Chief Investment Officer, Derek Izuel, featured in Advisor Perspectives with Shelton Capital Management’s 2026 Investment Outlook.
Process
The International Equity team at Shelton Capital manages concentrated, high-conviction portfolios of non-US large-cap and mid-cap companies. Shelton Capital Management offers this strategy through SMAs and a mutual fund.
The strategy seeks to achieve long-term capital appreciation by investing in a concentrated portfolio of 30-50 stocks and combining analysis of the investment merit of each individual stock with prudent risk-management to produce consistent and superior returns.
A distinctive approach to international investing – Inside, Outside, Upside:
By focusing in on a company’s economic returns and its reinvestment rate, more accurate assumptions can be made about the future generation of cash flows – the basis for a company’s stock price. We incorporate this idea into our investment process from start to finish.
Strategy Benefits
- Concentrated portfolio (30-50 stocks) with a high active share and relatively lower tracking error.
- Use data science and machine learning to access insight into the range of possible future outcomes and focus on those that we believe will deliver strong performance while contributing to the risk profile of the portfolio.
- Access to fast-growing, developing markets.
Strategy Considerations
- The Shelton International Select Equity SMA Strategy seeks to deliver attractive risk-adjusted returns over time by investing in American Depository Receipts (ADRs).
- All investments involve risk including the possible loss of principal. There can be no assurance the strategy will achieve its investment objective.
- Foreign currency fluctuations can add volatility to foreign equity prices.
Management Team
Derek Izuel, CFA
Tony Jacoby, CFA
Contact Us for More Information
We have a team of professionals dedicated to supporting the needs of our advisor clients.
Important Information
It is possible to lose money by investing in the strategy. Past performance does not guarantee future results. There are management fees and other charges associated with the Shelton Separately Managed Account programs. Any strategies discussed, including examples using actual securities’ price data, are strictly for illustrative and educational purposes only and are not to be construed as an endorsement or recommendation to buy or sell securities. You should review transaction costs, margin requirements and tax considerations with a tax advisor before entering into any options strategy. There may be additional risks associated with international investing involving foreign, economic, political, monetary, and/or legal factors. International investing may not be for everyone. The information contained in this document is given on a general basis without obligation and on the understanding that any person acting upon or in reliance on it, does so entirely at his or her own risk. Any projections or other forward-looking statements regarding future events or performance of countries, markets or companies are not necessarily indicative of, and may differ from, actual events or results. This information is intended to highlight issues and not to be comprehensive or to provide advice.
The MSCI ACWI ex USA is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed (excluding the United States) and emerging markets. Developed market countries include: Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, and the United Kingdom. Emerging market countries include: Brazil, Chile, China, Colombia, the Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Peru, Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. Net total return indexes reinvest dividends after the deduction of withholding taxes, using (for international indexes) a tax rate applicable to non-resident institutional investors who do not benefit from double taxation treaties. It is not possible to invest directly in an index.
Distributed by RFS Partners, a member of FINRA, and affiliate of Shelton Capital Management.
INVESTMENTS ARE NOT FDIC INSURED OR BANK GUARANTEED AND MAY LOSE VALUE.