Pzena Investment Management: Unraveling The Symbol's Significance

Pzena Investment Management Inc. (PZN) is an American investment management firm founded by Richard Rich Pzena in 1996. Headquartered in New York City, the company has additional offices in London, Melbourne, and Dublin. Pzena specialises in deep value investing, focusing on buying underperforming companies at low prices. The company has a simple investment philosophy, seeking good businesses at low prices. It manages equity mutual funds for a range of clients, including individuals, high-net-worth individuals, and institutional investors.

Pzena Investment Management's stock symbol is PZN

Pzena Investment Management Inc. (PZN) is an American investment management firm that focuses on deep value investing. The company was founded in 1995 by Richard Pzena, who previously served as Director of U.S. Equity Investments and Chief Research Officer at Sanford C. Bernstein. Headquartered in New York City, Pzena Investment Management also maintains offices in London, Melbourne, and Dublin.

Pzena specialises in managing value equities and employs various investment strategies, including large cap, emerging markets, European, global, and mid cap. The firm caters to a diverse range of clients, including institutions, high-net-worth individuals, and mutual funds.

In October 2007, Pzena went public and began trading on the New York Stock Exchange (NYSE) under the stock symbol "PZN." This move made it the first investment company to go public that year since the summer credit market crisis.

However, in July 2022, Pzena announced its intention to delist from the NYSE and return to private ownership. The firm successfully completed this transition on October 31, 2022, offering an all-cash share repurchase at $9.60 per share, representing a 49% premium over the closing share price at the time.

The company was founded in 1995/1996 by Richard Pzena

Pzena Investment Management, a New York-based investment firm, was founded in 1996 by Richard "Rich" Pzena. Richard Pzena, an American investment manager, is also the company's Chief Investment Officer. Before starting Pzena Investment Management, he worked at Sanford C. Bernstein in New York, where he served as Chief Research Officer and Director of U.S. Equity Investments. Barron's has described him as unafraid of taking risks, and his company as pursuing a "deep-value, concentrated portfolio strategy" that has sometimes resulted in volatile returns.

Richard Pzena's philosophy, as quoted on the Pzena Investment Management website, is that "value isn't a factor. It's a philosophy." This philosophy is reflected in the company's investment approach, which focuses on buying good businesses at low prices. They concentrate on underperforming companies, conducting bottom-up research to determine whether their issues are temporary or permanent. Pzena Investment Management considers companies for inclusion in their portfolio based on specific criteria, including low valuation, earnings below historic norms, and the presence of a viable strategy for earnings recovery.

Prior to founding Pzena Investment Management, Richard Pzena had a career in the investment industry. He worked as an oil industry analyst for the Amoco production company in Chicago and New Orleans. He holds a BS and an MBA from the Wharton School of Business, which he received in 1980.

Richard Pzena's leadership and expertise in investment management have contributed to the company's success. Despite underperforming during the bull market of the late 1990s, Pzena Investment Management outperformed during the challenging market years of 2000–2002. They have also established relationships with prominent financial institutions such as John Hancock Financial and Vanguard, further solidifying their presence in the industry.

It is headquartered in New York City with offices in London, Melbourne, and Dublin

Pzena Investment Management (PZN) is headquartered in New York City, United States. The company was founded in 1995 or 1996 by Richard (Rich) Pzena, who remains co-CIO alongside fellow founding partner John Goetz. Pzena is known for its focus on value investing, particularly in underperforming companies.

In addition to its New York headquarters, Pzena Investment Management has offices in several other major global cities. These include London, where the company's UK headquarters are located at 34-37 Liverpool Street, EC2M 7PP. The company also has an Australian base in Melbourne, Victoria, and an Irish office in Dublin 2, D02 T292.

Pzena Investment Management's global presence allows it to serve a diverse range of clients, including institutions, high-net-worth individuals, and mutual funds. The company's expertise in deep value investing has led to partnerships with prominent financial institutions such as John Hancock Financial and Vanguard.

The company has been named among the Best Places to Work in Money Management

Pzena Investment Management (Pzena) is an American investment management firm with a simple investment philosophy: to buy good businesses at low prices. The company has been named among the "Best Places to Work in Money Management" by Pensions and Investments, and this is largely due to its culture of excellence and collaboration.

Pzena's investment strategies include a focus on companies that are underperforming their historically demonstrated earnings power. They conduct fundamental, bottom-up research to determine whether the problems causing the earnings shortfall are temporary or permanent. The company also considers a set of criteria before including a company in its portfolio, such as low current valuation, earnings below historic norms, and the presence of a viable strategy for management to generate earnings recovery.

The company's dedication to value investing with an owner's perspective has earned it an "Above Average Parent" rating. Pzena has remained investor-led since its founding in 1995 or 1996 by Rich Pzena, who remains co-CIO alongside fellow founding partner John Goetz. In 2023, seasoned investment leader Caroline Cai took on the role of CEO, and most of the firm's 29-member investment team are firm veterans with equity ownership.

Pzena has a presence in New York City, London, Melbourne, and Dublin, and has been recognised for its efforts to give back to the community. In February, members of the NYC office volunteered at St. John the Divine, serving over 250 meals to those in need. The company has also been recognised in the top 20 among Americas asset owners and Equity product offerings among consultants in eVestment's Q3 2023 Brand Awareness Rankings.

Pzena's investment philosophy is to buy good businesses at low prices

Pzena Investment Management, founded in 1996 by Richard Pzena, is an American investment management firm with its headquarters in New York City and offices in London, Melbourne and Dublin. The company's investment philosophy is to "buy good businesses at low prices".

Pzena's approach to investing focuses on acquiring underperforming companies that are undervalued relative to their historical earnings power. The company employs a rigorous bottom-up research process to identify temporary earnings shortfalls, aiming to capitalize on market discomfort and uncertainty.

When considering companies for their portfolio, Pzena typically looks for the following criteria:

• Low current valuation compared to normalized earnings power.
• Current earnings below historical averages.
• Temporary issues impacting performance.
• Viable management strategies for earnings recovery.
• Meaningful downside protection if earnings recovery falls short.

Pzena's philosophy emphasizes the importance of a concentrated portfolio focused on these characteristics, aiming to generate substantial excess returns for long-term investors.

Richard Pzena, the company's founder, emphasizes that "value isn't a factor, it's a philosophy". This philosophy guides their investment approach, which prioritizes in-depth analysis and human judgment over reliance on single-metric factor investing. Pzena's strategy involves a nuanced assessment of a company's long-term earnings power, sustainable business model, margin of safety, and industry dynamics.

Pzena's investment philosophy has been successful, as demonstrated by their outperformance during the challenging market years of 2000-2002.

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