Small Cap Value Fund
The Small Cap Value Fund seeks long-term capital growth from investments in common stocks or other equity securities
Primary Benchmark:
Russell 2000 Value Index
Portfolio Management
Joe Gatz, CFA
Jeff Schwartz, CFA
Total Fund Assets (as of 7/31/2018):
$1.0 billion
Lipper Category:
Small-Cap Core Funds
Morningstar Category:
Small Blend
Strategy Highlights
- The investment universe includes all stocks generally within the market cap range of the benchmark at initial purchase
- Bottom-up portfolio construction is based on intensive fundamental research and valuation analysis
- Seeks to add value through stock selection
- Portfolios are typically characterized by low price/earnings multiples, low price/book multiples, low price/cash flow measures and above-market return potential
Investment Strategy
- The fund normally will invest at least 80% of its net assets (plus any borrowings made for investment purposes) in the equity securities of “small-cap companies,” including preferred stocks, warrants, securities convertible into common or preferred stocks and other equity-like interests in an entity
- The fund may invest up to 20% of its assets in securities of foreign issuers, including emerging markets securities
About Risk
- Equity securities are volatile and can decline significantly in response to broad market and economic conditions.
- Smaller company investments can be more volatile than those of larger companies.
- Value investing carries the risk that a security can continue to be undervalued by the market for long periods of time.
- Foreign and emerging market securities may be subject to greater political, economic, environmental, credit, currency and information risks. Foreign securities may be subject to higher volatility than US securities due to varying degrees of regulation and limited liquidity. These risks are magnified in emerging markets.
1As of the most recent prospectus, the investment advisor has contractually agreed to waive fees and/or reimburse expenses once the expense cap of the fund has been exceeded. This arrangement is set to expire on 1/31/19. When an expense cap has not been exceeded, the fund may have similar expense ratios.
The Russell 2000 Value Index measures the performance of those Russell 2000 companies with lower price-to-book ratios and lower forecasted growth values. The Russell 2000 Index measures the performance of the 2,000 smallest companies in the Russell 3000 Index (a broad market index), representing approximately 8% of the Russell 3000 Index total market capitalization. Indexes are unmanaged and do not incur fees. It is not possible to invest directly in an index.
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Primary Benchmark: Russell 2000 Value Index
Year-to-Date Performance as of 8/10/2018 | | Class N | Class I | Class R | Class
Admin |
|---|
| | 3.77% | 3.74% | 3.56% | 3.43% |
Month-End Performance as of 7/31/2018 Cumulative
Total Return | Class N | Class I | Class R | Class
Admin |
|---|
| 3 month | 5.52% | 5.50% | 5.44% | 5.38% | | Year-to-date | 3.21% | 3.19% | 3.00% | 2.87% |
Average Annualized
Total Return | Class N | Class I | Class R | Class
Admin |
|---|
| Inception Date | 2/1/2013 | 5/13/1991 | 12/31/1996 | 1/2/1998 | | 1 Year | 11.25% | 11.15% | 10.89% | 10.60% | | 3 Years | 10.82% | 10.75% | 10.46% | 10.20% | | 5 Years | 10.50% | 10.43% | 10.15% | 9.88% | | 10 Years | N/A | 10.42% | 10.15% | 9.87% | | Since Inception | 12.06% | 12.31% | 9.90% | 8.92% |
Quarter-End Performance as of 6/30/2018 Cumulative
Total Return | Class N | Class I | Class R | Class
Admin |
|---|
| 3 month | 3.47% | 3.44% | 3.41% | 3.32% | | Year-to-date | 1.08% | 1.05% | 0.92% | 0.80% |
Average Annualized
Total Return | Class N | Class I | Class R | Class
Admin |
|---|
| Inception Date | 2/1/2013 | 5/13/1991 | 12/31/1996 | 1/2/1998 | | 1 Year | 10.94% | 10.87% | 10.59% | 10.32% | | 3 Years | 9.40% | 9.32% | 9.05% | 8.78% | | 5 Years | 11.23% | 11.16% | 10.89% | 10.61% | | 10 Years | N/A | 10.48% | 10.21% | 9.94% | | Since Inception | 11.83% | 12.27% | 9.84% | 8.85% |
|
Lipper Ranking as of 7/31/2018 | | Class N | Class I | Class R | Class
Admin |
|---|
| 1 Year | 836/998 | 849/998 | 869/998 | 885/998 | | 3 Years | 394/824 | 407/824 | 459/824 | 502/824 | | 5 Years | 339/697 | 317/697 | 363/697 | 405/697 | | 10 Years | N/A | 184/501 | 222/501 | 266/501 | | Lipper Category: Small-Cap Core Funds |
Morningstar Ranking as of 7/31/2018 | | Class N | Class I | Class R | Class
Admin |
|---|
| 1 Year | 672/787 | 677/787 | 691/787 | 700/787 | | 3 Years | 312/646 | 323/646 | 358/646 | 390/646 | | 5 Years | 237/547 | 248/547 | 282/547 | 313/547 | | 10 Years | N/A | 133/393 | 166/393 | 202/393 | | Morningstar Category: Small Blend |
Lipper and Morningstar rankings are based on total returns calculated by each ranking entity. Rankings do not take into account sales charges, if applicable, but include reinvestment of dividends and capital gains, if any.
|
Performance data shown represents past performance and is no guarantee of, and not necessarily indicative of, future results. Total return and value will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted. Returns include changes in share price and reinvestment of dividends and capital gains, if any.
Lipper Analytical Services Inc., a Thomson Reuters Company, is a nationally recognized organization that provides performance information for mutual funds. Copyright 2018 © Reuters. All rights reserved. Any copying, republication or redistribution of Lipper content is expressly prohibited without the prior written consent of Lipper. Lipper shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.
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Monthly as of 7/31/2018
| Characteristics | |
|---|
| Number of Holdings | 148 | | P/E (trailing 12 months) | 18.12 | | P/E (forward 12 months) | 16.01 | | 3-5 Year EPS Growth | 11.72 | | ROE (1 year equal weighted) | 16.14 | | Annual Portfolio Turnover as of 9/30/2017 | 25% |
|
| Sector Distribution | |
|---|
| Financials | 25.6% | | Industrials | 19.0% | | Information Technology | 14.8% | | Consumer Discretionary | 11.0% | | Real Estate | 6.7% | | Health Care | 5.5% | | Materials | 5.2% | | Energy | 4.5% | | Consumer Staples | 4.4% | | Utilities | 2.5% | | Cash | 1.0% | |
Portfolio composition statistics are from the adviser’s internal system and may not match the fund’s regulatory documents.
Due to rounding, market capitalization and sector distribution totals may not equal 100%. This portfolio is actively managed and holdings are subject to change. There is no guarantee the Fund continues to invest in securities referenced. Reference to specific securities or holdings should not be considered recommendations for action by investors.
P/E (trailing) is the sum of a company's price-to-earnings, calculated by dividing current stock price by trailing earnings per share for the past 12 months. P/E (forward) measures price-to-earnings ratio using forecasted earnings for the price-to-earnings calculation; the forward measure is not a forecast of the fund’s performance. 3-5 Year EPS Growth is sourced from FactSet and based on long-term EPS growth rate estimates gathered directly from brokers. The portfolio and benchmark statistic is a weighted average of company level estimates. ROE (1-year equal weighted) is the 1-year ROE of all holdings divided by number of holdings. Active share indicates the proportion of the portfolio’s holdings (by market value) that are different than the benchmark. A higher active share indicates a larger difference between the benchmark and the portfolio.
Quarterly as of 6/30/2018
| Characteristics | Fund | Index |
|---|
| Number of Holdings | 147 | 1364 | | P/E (trailing 12 months) | 17.85 | 15.87 | | P/E (forward 12 months) | 15.70 | 14.61 | | 3-5 Year EPS Growth | 12.14 | 9.77 | | ROE (1 year equal weighted) | 16.14 | 11.30 | | Active Share | 89.41% | | | Annual Portfolio Turnover as of 9/30/2017 | 25% | |
| Market Capitalization | Fund | Index |
|---|
| > $2 Billion | 69.0% | 48.0% | | $1 to 2 Billion | 20.1% | 29.2% | | $0.5 to 1 Billion | 7.8% | 14.6% | | < $0.5 Billion | 1.4% | 8.2% | | Cash & Equivalents | 1.7% | N/A | |
| Sector Distribution | Fund | Index |
|---|
| Financials | 25.1% | 28.3% | | Industrials | 18.5% | 11.5% | | Information Technology | 15.1% | 10.6% | | Consumer Discretionary | 10.7% | 11.4% | | Real Estate | 6.9% | 12.1% | | Health Care | 5.5% | 4.6% | | Energy | 5.1% | 7.6% | | Materials | 4.8% | 4.4% | | Consumer Staples | 4.5% | 2.7% | | Utilities | 2.1% | 6.2% | | Telecommunication Services | 0.0% | 0.5% | | Cash | 1.7% | 0.0% | |
Portfolio composition statistics are from the adviser’s internal system and may not match the fund’s regulatory documents.
Due to rounding, market capitalization and sector distribution totals may not equal 100%. This portfolio is actively managed and holdings are subject to change. There is no guarantee the Fund continues to invest in securities referenced. Reference to specific securities or holdings should not be considered recommendations for action by investors.
P/E (trailing) is the sum of a company's price-to-earnings, calculated by dividing current stock price by trailing earnings per share for the past 12 months. P/E (forward) measures price-to-earnings ratio using forecasted earnings for the price-to-earnings calculation; the forward measure is not a forecast of the fund’s performance. 3-5 Year EPS Growth is sourced from FactSet and based on long-term EPS growth rate estimates gathered directly from brokers. The portfolio and benchmark statistic is a weighted average of company level estimates. ROE (1-year equal weighted) is the 1-year ROE of all holdings divided by number of holdings. Active share indicates the proportion of the portfolio’s holdings (by market value) that are different than the benchmark. A higher active share indicates a larger difference between the benchmark and the portfolio.