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Special Opportunities Fund

Mutual Funds

Special Opportunities Fund


Fund Managers

Photo of Daniel  Morrall

Daniel Morrall

Photo of James  Curtis

James Curtis, CFA®

Overview

R6
Shares

STRSX

Inception
Date

02.01.2018

Investment
Min.

N/A

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

The fund's management team utilizes fundamental analysis overlaid with top-down macroeconomic trends. The fund's objective is long-term capital appreciation. It has a concentrated portfolio of 30 to 35 stocks and has the flexibility to shift among styles and differing market caps (large, small, mid, growth or value) to achieve best perceived combination of underlying growth potential at the lowest available valuation. The management team utilizes screens and various forms of research to search for stocks that meet valuation, growth and financial strength objectives and identify themes that transcend day-to-day economic news flows. Valuation is a key determinant for stocks to enter the portfolio. The team looks for below-average valuations (P/E) with above-average earnings growth with below-average leverage and above-average returns (ROE).

Investment Considerations

The fund is subject to investment style risk which depends where the fund is primarily invested. An investment in growth stocks may be particularly sensitive to market conditions while value stocks may be undervalued for longer than anticipated. The fund may invest in foreign securities subject to risks such as currency volatility, political and social instability or small capitalization companies subject to greater volatility and less liquidity due to limited resources or product lines. The fund may engage in writing covered call options. By selling covered call options, the fund limits its opportunity to profit from an increase in the price of the underlying stock above the exercise price, but continues to bear the risk of a decline in the stock. While the fund receives premiums for writing the call options, the price it realizes from the exercise of an option could be substantially below a stock's current market price.

Fund Facts

Term Class A Shares Class C Shares Class I Shares Class R6 Shares
Ticker BOPAXBOPCXBOPIXSTRSX
Inception Date 06.02.200306.02.200306.02.200302.01.2018
Investment Min. $1,000$1,000$1,000,000N/A
Subsequent Investment Min.2 N/AN/AN/AN/A
Max. Up Front Sales Charge N/A5.75%N/AN/A
Max. Deferred Sales Charge N/A1%N/AN/A

2If subsequent investments are made as part of an AIP, the minimum is $25.

Special Opportunities Fund

Management

View professional designations disclosures

Photo of Daniel  Morrall

Daniel Morrall

Co-Portfolio Manager

Photo of James  Curtis

James Curtis, CFA®

Co-Portfolio Manager

Performance

Fund Performance as of 03.31.2024

Term QTR YTD 1 Year 3 Years 5 Years 10 Years Since Inception
A Shares with 5.75% Sales Charge 0.04% 0.04% 18.94% 4.78% 9.87% 9.91% 10.99%
A Shares without Sales Charge 6.14% 6.14% 26.22% 6.88% 11.18% 10.57% 11.30%
Institutional Shares 6.21% 6.21% 26.53% 7.15% 11.46% 10.85% 11.58%
Lipper Multi-Cap Core Median 11.84% 22.81% 22.81% 7.94% 13.97% 9.87% N/A

The total expense ratios for Class A, C and I Shares are 1.11%, 1.86% and 0.86%, respectively. The gross expense ratio for Class R6 Shares is 0.86%. The net expense ratio for Class R6 Shares is 0.78%.

The Fund Administrator, Sterling Capital Management LLC, has contractually agreed to waive its administrative fees, pay Fund operating expenses, and/or reimburse the Fund .08% 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 Special 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 06.02.2003. The inception date for Class C Shares is 06.02.2003. The inception date for Class Inst'l Shares is 06.02.2003. The inception date for Class R6 Shares is 02.01.2018.  The performance shown reflects the reinvestment of all dividend and capital gains distributions.

Characteristics

Top Ten Holdings as of 03.31.2024

# Company Name Value
1 Amazon.Com, Inc. 5.58%
2 Microsoft Corp. 4.32%
3 Charles Schwab Corp. (The) 4.29%
4 Marvell Technology Inc 4.28%
5 Alphabet, Inc. 4.18%
6 Teva Pharmaceutical Industries, Ltd., Ad 4.13%
7 Intuit, Inc. 3.99%
8 Quintiles Transnational Holdings, Inc. 3.96%
9 Akamai Technologies, Inc. 3.96%
10 Global Payments, Inc. 3.95%

Current and future portfolio holdings are subject to change and risk. Based on Market Value of securities.

Sector Allocation as of 03.31.2024

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 03.31.2024

The Growth of $10,000 is hypothetical based upon the performance of net A Shares at NAV for the period ended 03.31.2024. It includes the reinvestment of dividends and capital gains.

Statistics

Risk/Return Statistics vs. Russell 3000® Index 3 as of 03.31.2024

Term Value
Alpha -1.75
Beta 1.03
R-Squared 91.68
Standard Deviation 16.71
Sharpe Ratio 0.55

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.

Summary Statistics as of 03.31.2024

Term Value
P/E FY1 30.82
Weighted Average P/B 3.73
Weighted Average Market Cap $417.81B
Annual Turnover 41%

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Insights

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