Overview
I
Shares
SMDOX
Inception
Date
09.30.2016
Investment
Min.
$1,000,000
Subsequent
Investment Min.1
N/A
Max. Up Front
Sales Charge
N/A
Max. Deferred
Sales Charge
N/A
1If subsequent investments are made as part of an AIP, the minimum is $25.
Philosophy & Process
To pursue its investment objective of long-term capital appreciation, the Fund normally invests principally in equity securities and will invest, under normal circumstances, at least 80% of its net assets plus borrowings for investment purposes in the securities of small or middle capitalization companies (commonly referred to collectively as "SMID"). Small or middle capitalization companies are defined as companies with market capitalizations within the range of those companies in the Russell 2500â„¢ Index at the time of purchase.
The Fund invests, under normal market conditions, primarily in domestically-traded U.S. common stocks and U.S.-traded equity stocks of foreign companies, including ADRs. The Fund uses a multi-style approach, meaning that it invests across both value- and growth-oriented companies targeting SMID-capitalization levels.
Investment Considerations
The Fund uses a multi-style approach and invests in both growth and value-oriented companies. A growth investment style may be particularly sensitive to market conditions. Value investing involves the risk that an investment made in undervalued securities may not appreciate in value as anticipated or remain undervalued for long periods of time.
The Fund invests in small and middle capitalization companies which may be riskier, more volatile and vulnerable to economic, market and industry changes than investments in larger more established companies. As a result, share price changes may be more erratic or trade less frequently in lesser quantities.
| Term | Class A Shares | Class C Shares | Class I Shares |
|---|---|---|---|
| Ticker | SMDPX | SMDQX | SMDOX |
| Inception Date | 09.30.2016 | 09.30.2016 | 09.30.2016 |
| Investment Min. | $1,000 | $1,000 | $1,000,000 |
| Subsequent Investment Min.2 | N/A | N/A | N/A |
| Max. Up Front Sales Charge | 5.75% | N/A | N/A |
| Max. Deferred Sales Charge | N/A | 1% | N/A |
2If subsequent investments are made as part of an AIP, the minimum is $25.
Portolio Manager
Performance
| Term | QTR | YTD | 1 Year | 3 Years | 5 Years | Since Inception |
|---|---|---|---|---|---|---|
| A Shares with 5.75% Sales Charge | -6.97% | -6.97% | -19.81% | 10.66% | 4.25% | 5.52% |
| A Shares without Sales Charge | -1.28% | -1.28% | -14.89% | 12.88% | 5.50% | 6.49% |
| Institutional Shares | -1.25% | -1.25% | -14.69% | 13.15% | 5.76% | 6.75% |
| Lipper Mid-Cap Core Median | 1.98% | 1.98% | -6.74% | 19.86% | 6.68% | N/A |
The gross expense ratios for Class A, C and I Shares are 1.35%, 2.10% and 1.10%, respectively. The net expense ratios for Class A, C and I Shares are 1.05%, 1.80% and 0.80%, respectively.
The Advisor has contractually agreed to limit certain fees paid by the Fund from 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 SMID Opportunities 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 09.30.2016. The inception date for Class C Shares is 09.30.2016. The inception date for Class Inst'l Shares is 09.30.2016. The performance shown reflects the reinvestment of all dividend and capital gains distributions.
Characteristics
| # | Company Name | Value |
|---|---|---|
| 1 | Cable One, Inc. | 4.17% |
| 2 | Waste Connections, Inc. | 4.15% |
| 3 | Global Payments, Inc. | 3.98% |
| 4 | Encompass Health Corp | 3.75% |
| 5 | Take-Two Interactive Software, Inc. | 3.71% |
| 6 | Arch Resources, Inc. | 3.66% |
| 7 | Gentex Corp | 3.53% |
| 8 | Nextera Energy Partners Lp | 3.52% |
| 9 | Callon Petroleum Co. | 3.43% |
| 10 | F5 Networks, Inc. | 3.16% |
Current and future portfolio holdings are subject to change and risk. Based on Market Value of securities.
Sector Allocation as of 03.31.2023
| Name | Value |
|---|---|
| Industrials | 23.16% |
| Financials | 21.58% |
| Health Care | 9.19% |
| Energy | 9.14% |
| Consumer Dis | 9.13% |
| Comm Services | 7.87% |
| Info Technology | 5.31% |
| Materials | 4.37% |
| Real Estate | 3.84% |
| Utilities | 3.52% |
| Cash | 2.89% |
| Consumer Staples | 0.00% |
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 03.31.2023
The Growth of $10,000 is hypothetical based upon the performance of net A Shares at NAV for the period ended 03.31.2023. It includes the reinvestment of dividends and capital gains.
Statistics
| Term | Value |
|---|---|
| Alpha | 0.00 |
| Beta | 0.00 |
| R-Squared | 0.00 |
| Standard Deviation | 0.00 |
| Sharpe Ratio | 0.00 |
3The Funds composition is subject to change. Annual Turnover Ratio is 12 month rolling calculation. Alpha, Beta, R-Squared, Standard Deviation, and Sharpe Ratio are based on a 10-year calculation.
View a Glossary of Terms.
| Term | Value |
|---|---|
| P/E FY1 | 20.04 |
| Weighted Average P/B | 1.83 |
| Weighted Average Market Cap | $11.44B |
| Annual Turnover | 52% |
SMID Opportunities Fund
Materials
Equity Funds
Insights
05.22.2023 • Andrew Richman, CTFA
Sterling Capital Viewpoint: The Debt Ceiling
Our view on the current market environment in light of the upcoming debt ceiling deadline.
05.05.2023 • Charles Wittmann, CFA®
The Lead - "Perspective on Quality and Dividend Growth"
- In our study, we took a closer look at the characteristics that we believe were additive to performance for the trailing time periods ended December 31, 2022. - BofA Global Research provided data for the performance of ROE over these timeframes, and it performed well relative to the Russell 1000 Value. - We believe dividend growth was additive to our Equity Income strategy over the time periods studied, which is consistent with the data from Ned Davis Research. - As an investment team, we seek to accentuate the benefits of our investment process to deliver positive outcomes for clients.
05.04.2023 • Andrew Richman, CTFA
Fed Raises 25 Basis Points But Sets the Table for a Possible Pause
In a move widely anticipated by the markets, the Federal Reserve (Fed) raised rates an additional 25 basis points to arrange of 5.00% to 5.25%. This is the highest in over 15 years and a 5.0% move in a little over 13 months.
04.27.2023
Press Release: Equity Personnel Updates
Today Sterling Capital announces the resignation of Joshua L. Haggerty, CFA®, Co-Portfolio Manager of the firm’s Special Opportunities strategy, effective immediately. Effective tomorrow, James L. Curtis, CFA® will be promoted to serve as Co-Portfolio Manager of the Special Opportunities strategy.
04.12.2023 • Charles Wittmann, CFA®
The Lead - "Equity Income Fund Wins Lipper Awards"
- In March, the Sterling Capital Equity Income Fund received two Refinitiv Lipper fund awards for the “Best Fund Over 3 Years” and the "Best Fund Over 5 Years” in the Equity Income Funds category. - First, we see the awards as confirmation that the investment team is managing its investments consistent with its stated mission. - Second, we recognize the winners are the clients who have been invested in Sterling Capital Equity Income over the past three and five years. - We are happy and excited that the true winners are our valued clients.
03.24.2023
Sterling Capital Equity Income Fund receives two 2022 Lipper Fund Awards
Sterling Capital Management is delighted to announce that our flagship Equity Income Fund received two Lipper Awards in the March 23, 2023 award ceremony in New York. Co-portfolio managers Chip Wittmann, CFA® and Jeremy Lopez, CFA®, were in attendance to accept this prestigious honor. The Equity Income Fund R6 Share Class (ticker: STREX) won in the three-year performance category, from a peer group of 390 equity income funds. The Equity Income Fund Institutional Share Class (ticker: BAEIX) won in the five-year category, from a peer group of 374 equity income funds.
Contact
Learn more about Sterling Capital solutions and services.
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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.
