Stratton Small Cap Value Fund Fact Sheet
Morningstar Style Box
Philosophy and Process
The Fund uses a value investment approach to invest primarily in common stock of small capitalization companies (those with market capitalizations that are below the market capitalization of the largest company in the Russell 2000Â® Index). We believe that undervalued companies with good earnings prospects have superior appreciation potential with reasonable levels of risk. Quantitatively, we focus on a stock's fundamental valuation relative to its peers. Qualitatively, we seek to identify business catalysts which will serve to drive future earnings growth, increase investor interest and expand valuation.
In addition to outperforming the broad market over longer periods of time, we believe that the Small Cap segment of the US equity market, given its less efficient nature, offers significant opportunity to add value through active portfolio management. A combination of a larger investment universe, less research coverage, and strong growth potential creates a favorable backdrop for investment in select under-followed and/or under-appreciated small companies.
Small company stocks are generally riskier than large company stocks due to greater volatility and less liquidity. Value stocks can perform differently than other types of stocks and can continue to be undervalued by the market for long periods of time.
|Class A Shares||Class C Shares||Class Inst'l Shares||Class R6 Shares|
|Subsequent Investment Min.*||$0||$0||$0||$0.00|
|Max. Up Front Sales Charge||5.75%||N/A||N/A||N/A|
|Max. Deferred Sales Charge||N/A||1.00%||N/A||N/A|
Gerald M. Van Horn, CFA®
Shawn M. Gallagher, CFA®
Andrew T. DiZio, CFA ®
Fund Performance as of 03.31.2021
|QTR||YTD||1 Year||3 Years||5 Years||10 Years||Since
|A Shares with 5.75% Sales Charge||10.91%||10.91%||68.94%||7.43%||11.26%||9.60%||10.51%|
|A Shares without Sales Charge||17.68%||17.68%||79.24%||9.57%||12.59%||10.25%||10.74%|
|Lipper Small-Cap Core Median||28.39%||9.32%||9.32%||5.63%||9.75%||9.40%||N/A|
The total expense ratios for Class A, C, and I Shares are 1.23%, 1.98% and 0.98%, respectively. The gross expense ratio for Class R6* Shares is 0.98%. The net expense ratio for Class R6* Shares is 0.88%.
The Fund Administrator, Sterling Capital Management LLC, has contractually agreed to waive its administrative fees, pay Fund operating expenses, and/or reimburse the Fund .10% of the Class R6 average daily net assets for the period February 1, 2021 through January 31, 2022. Performance would have been lower without limitations in effect.
Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than the original cost. To obtain performance information current to the most recent month end, please visit the performance summary.
The performance of the Stratton Small Cap Value Fund reflects the deduction of fees for value-added services associated with a mutual fund, such as investment management and fund accounting fees. The inception date for Class A Shares is 11/16/2015. The inception date for Class C Shares is 11/16/2015. The inception date for Class Inst'l Shares is 04/12/1993. The inception date for Class R6 Shares is 02/03/2020. The performance shown reflects the reinvestment of all dividend and capital gains distributions.
Top Ten Holdings as of 03.31.2021
|On Semiconductor Corp.||3.70%|
|Signature Bank (Ny)||3.69%|
|United Rentals, Inc.||3.39%|
|Casey's General Stores, Inc.||3.29%|
|Community Bank System, Inc.||3.23%|
Current and future portfolio holdings are subject to change and risk. Based on Market Value of securities.
Sector Allocation as of 03.31.2021
Allocations are based on the current weight to funds in the cited Sector. The composition of the fund's holdings is subject to change.
Growth of $10,000 as of 03.31.2021
The Growth of $10,000 chart is hypothetical based upon the performance of A Shares at NAV for the period ended 03/31/2021. It includes the reinvestment of dividends and capital gains.
Risk/Return Statistics vs. Russell 2000® Value Index as of 03.31.2021
Summary Statistics as of 03.31.2021
|Weighted Median P/E||20.24|
|Weighted Average P/B||2.15|
|Weighted Average Market Cap.||$7.49B|
*Annual Turnover Ratio is 12 month rolling calculation.
*Alpha, Beta, R-Squared, Standard Deviation, and Sharpe Ratio are based on a 10-year calculation.
*Click for a glossary of terms
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The Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.