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β Due DiligenceRisks
1. Lack of Diversification: Artisan Partners Asset Management has a specialized focus on a limited number of investment strategies, which means that portfolios allocated to its strategies may not be as diversified as a more broadly diversified portfolio.
2. Market Risk: Investing with Artisan Partners carries market risk, which means that downturns in the markets can have an adverse effect on the fund's performance.
3. Manager Risk: Artisan Partners Asset Management uses a team approach to managing its funds, with individual fund managers responsible for making the investment decisions. As individual decisions can and do affect the overall fund performance, there is an element of risk associated with the ability of the individual fund managers to make prudent investment decisions.
4. Expense Risk: Artisan Partners Asset Management's funds can be expensive to own, as the manager charges higher-than-average annual expenses. This may reduce potential returns and impact performance relative to the market.