How We Invest

Investment Philosophy

The investment style of the Parnassus equity funds is fundamental, U.S., core equity. Our investment philosophy is to own good businesses at attractive valuations. We seek to invest in businesses that have increasingly relevant products or services, sustainable competitive advantages, quality management teams and ethical business practices. Once a company clears these gates, we perform a detailed valuation analysis to confirm that the investment will yield an attractive risk-adjusted return.

The investment style of the Parnassus Fixed Income Fund is core, intermediate-duration, U.S. investment-grade fixed income. Our investment philosophy is to generate a high level of current income consistent with safety, preservation of capital and a responsible investment approach. We believe that risk selection through sound macroeconomic analysis, combined with bond selection based on fundamental research, is the most effective way to construct a risk-balanced, investment-grade fixed income portfolio.