SAN FRANCISCO--(BUSINESS WIRE)--The Ensemble Fund (ENSBX) announced today the net of fees results for their first full calendar year of performance was 12.96%1. This outperformed the S&P 500 by 1.00% and landed them in the top 1% of all funds in the Morningstar US Open-End Large Cap Growth category out of 1,468 funds, based on total returns for 20162. Since the fund’s inception on November 2, 2015 through December 31, 2016 the average annualized return was 7.59% while the S&P 500 was 7.88% over the same period.
“We’re pleased with the first-year performance of the fund,” said Ensemble Fund portfolio manager, Sean Stannard-Stockton, CFA. “While most actively managed funds are so broadly diversified that they have little hope to beat their benchmark, the Ensemble Fund utilizes a focused strategy with active share3 of over 90% indicating that we’re offering a truly differentiated portfolio from the benchmark.”
The Ensemble Fund was launched in November 2015 in the face of a strong industry trend from active to passive funds. “We believe that investors should choose to either go passive or select an actively managed fund that uses a focused, high conviction strategy. We believe that over time, broadly diversified active funds will be almost fully replaced by passive strategies,” said Stannard-Stockton. “But truly active funds that are able to demonstrate superior stock selection skills will thrive as well.” Advisor to the fund, Ensemble Capital Management LLC, launched the fund to mirror their core equity strategy that they’ve implemented for private wealth management clients since 1997.
The fund seeks to achieve long-term capital appreciation. The Fund invests in a focused portfolio of approximately 15 to 25 securities that meet their demanding criteria. Their philosophy revolves around the idea that a small number of core concepts — competitively advantaged business models, talented management teams, understandable businesses and buying stocks at a discount to their intrinsic value — drive the majority of investment outcomes.
Disclosures
1Performance data quoted represents past performance. Past performance does not guarantee future results. 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 their original cost. Current performance may be lower or higher than the performance data quoted. Investors may obtain performance data current to the most recent month-end by visiting www.EnsembleFund.com.
2Name of Ranking Entity: Morningstar, Inc. Summary of ranking criteria: Morningstar sorts the total returns of all mutual funds in the Peer Group in descending order, then splits the list into percentiles to create the percentile ranking. Open End Funds – U.S. – Large Growth: Large cap is defined as the top 70% of market cap of U.S. equity market. Growth is defined based on fast growth (high growth rates for sales, etc.) and high valuations (high p/e and low dividend yields). 1 Year percentile ranking out of 1,468 as of 1/06/2017 © 2016 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
3Active Share measures the amount of stock holdings in an equity portfolio that differ from the benchmark index constituents. It’s calculated by taking one half the value of the sum of the absolute difference between the stock weight in the equity portfolio versus the benchmark index.
Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. The prospectus contains this and other information about the Fund. You may obtain a prospectus at www.EnsembleFund.com or by calling the transfer agent at 1-800-785-8165. The prospectus should be read carefully before investing.
An investment in the Fund is subject to investment risks, including the possible loss of the principal amount invested. There can be no assurance that the Fund will be successful in meeting its objectives. The Fund invests in common stocks which subjects investors to market risk. The Fund invests in small and mid-cap companies, which involve additional risks such as limited liquidity and greater volatility. The Fund invests in undervalued securities. Undervalued securities are, by definition, out of favor with investors, and there is no way to predict when, if ever, the securities may return to favor. The Fund may invest in foreign securities which involve greater volatility and political, economic and currency risks and differences in accounting methods. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. More information about these risks and other risks can be found in the Fund’s prospectus. The Fund is a non-diversified fund and therefore may be subject to greater volatility than a more diversified investment.
Diversification does not assure a profit or guarantee against loss.
1% Prospectus Gross Expense Ratio
2% Redemption Fee on
shares held 90 days or less
No load mutual fund
Distributed by Rafferty Capital Markets, LLC Garden City, NY 11530.
