Glossary Background

Bottom Up Investing

Bottom-up investing is a stock selection approach that prioritizes the detailed analysis of individual companies and their shares over broader factors like the economy, market trends, or industry conditions. This strategy focuses on a company’s fundamentals—such as financial health, management quality, and growth potential—to identify undervalued or high-performing stocks. Rather than relying on macroeconomic forecasts or sector-wide patterns, bottom-up investors build portfolios from the ground up, emphasizing the unique merits of each business. It’s a meticulous, company-centric method aimed at uncovering opportunities regardless of the larger market environment.