To open an account or access an existing account by phone, please call: 844-302-7366
Overview
The Mid Cap Core Fund seeks to provide catalyst driven capital appreciation and uncorrelated alpha. The Fund utilizes a high conviction, private equity approach to the public market with Penn Capital’s Complete Capital Structure Analysis®. The Fund seeks to exploit return opportunities by balancing intensive bottom up equity analysis and top down credit risk analysis. The Fund targets mid-capitalization companies, employing leading credit indicators to harvest inefficiencies that capture opportunistic upside and conservative downside factors.
OBJECTIVE
The Penn Capital Mid Cap Core Fund seeks to provide capital appreciation.
STRATEGY
The Fund generally intends to invest in 50 to 90 securities identified by the Advisor’s fundamental, bottom-up value driven research. The portfolio construction process involves both quantitative and qualitative fundamental analysis.
INVESTMENT TYPE EXAMPLES
Common stock, preferred stock, convertible securities, and other investment companies including exchange traded funds (ETFs), American Depository Receipts (ADRs), and real estate investment trusts (REITs).
INDUSTRY EXAMPLES
Consumer Discretionary, Consumer Staples, Energy, Financials, Healthcare, Industrials, Information Technology, and Materials.
Performance
| As of -- TICKER: PSMPX | CUSIP: 707269106 |
1 Mo | QTD | YTD | 1 Yr | 3 Yr | 5 Yr* | Since Inception 11/30/2015 |
| Penn Capital Mid Cap Core Fund | -- | -- | -- | -- | -- | -- | -- |
| Bloomberg 2500 Index | -- | -- | -- | -- | -- | -- | -- |
| Russell 3000 Total Return | -- | -- | -- | -- | -- | -- | -- |
Investment Process
Step 1
FUNDAMENTAL FINANCIAL ANALYSIS
Penn Capital’s analysts and portfolio managers screen for companies with improving financial metrics to determine relative value.
Step 2
QUALITATIVe RESEARCH
Penn Capital’s analysts and portfolio managers perform qualitative research to confirm relative value.
Step 3
Liquidity Outlook/Covenant Analysis
Penn Capital’s analysts and portfolio managers screen for liquidity issues and perform covenant analysis, bank loan availability and asset value analysis.
Step 4
Recommendation
Primary and secondary analysts and portfolio managers present best new idea(s) to entire team for evaluation and consideration.
Step 5
Decision Making
Two step approval process requires approval first by the portfolio manager, and second by either the Director of Research or the Chief Investment Officer.
Step 6
Portfolio Construction
Penn’s Equity Strategy Committee meets weekly to discuss macro-view and to determine sector allocations.
Fees & Expenses
Total Fund annual net operating expenses (after fee waiver/expense reimbursement) are: Institutional Class 1.06%.
Total Fund annual gross operating expenses (before waivers and expenses) are: Institutional Class 1.79%.
The Fund’s advisor has contractually agreed to waive its fees and/or pay for operating expenses of the Fund to ensure that total annual fund operating expenses do not exceed 1.06% of the average daily net assets for the Institutional Class shares of the Fund, respectively. This agreement is in effect until December 31, 2024. The Fund’s advisor is permitted to seek reimbursement from the Fund of fees waived for a period of three years from the date of the waiver or payment to the extent it does exceed the expenses limits.
Portfolio Managers
Eric J. Green, CFA
Chief Investment Officer – Senior Portfolio Manager, Senior Partner
Mr. Green has been with Penn Capital since 1997 and as CIO, he is responsible for guiding the firm’s equity and credit strategies. Mr. Green serves as a Senior Portfolio Manager for Penn Capital’s Small Cap, Small to Micro Cap, Small to Mid Cap and Mid Cap equity strategies. As a member of the Equity Risk Committee, Mr. Green works closely with the equity portfolio management team to contribute ideas specifically in the micro to mid-capitalization range.
Prior to joining Penn Capital, Mr. Green was with the Royal Bank of Scotland and the United States Securities and Exchange Commission where he served as a financial analyst in the Division of Investment Management. Mr. Green is also Vice Chairman of the Board of Directors for the Anti-Defamation League (ADL) Mid-Atlantic Region and was Co-Chairman of the ADL’s 2018 Walk Against Hate. He received a BSBA cum laude from American University and an MBA from the Yale School of Management.
Key Fund Documents
Fund Factsheet
Fund Holdings
Prospectus
Q1 Holdings
SAI (Statement of Additional Information)
Institutional Share Class IRA Application
Institutional Share Class Entity Account Application
Institutional Share Class Application
IRA Transfer Form
IRA Distribution Form
Financial Statement
Q3 Holdings
Tailored Shareholder Report
Semi-Annual Report
Certification of Beneficial Owners Form for Entities
Mutual Funds Redemption Form
Legal Disclaimers
All investments involve risk, including possible loss of principal. The Fund invests in ETFs and is therefore subject to the same risks as the underlying securities in which the ETF invests as well as entails higher expenses than if invested into the underlying ETF directly. As interest rates rise the value of bond prices will decline. Credit risk refers to the loss in the value of a security based on a default in the payment of principal and/or interest of the security, or the perception of the market of such default. High-yield bonds have a higher risk of default or other adverse credit events, but have the potential to pay higher earnings over investment grade bonds. The value of convertible securities tends to decline as interest rates rise and, because of the conversion feature, tends to vary with fluctuations in the market value of the underlying securities. Bank loans in which the Fund may invest have similar risks to below investment grade fixed income securities. In the event of the insolvency of an agent bank, a loan could be subject to settlement risk as well as the risk of interruptions in the administrative duties performed in the day to day administration of the loan. The Fund invests in foreign securities and ADRs, which involves certain risks such as currency volatility, political and social instability and reduced market liquidity.
The performance data quoted here represents past performance. Past performance is no guarantee of future results. Investment return and principal value 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 information quoted. To obtain performance information current to the most recent month-end please call 844-302-PENN (7366).
BEFORE INVESTING YOU SHOULD CAREFULLY CONSIDER THE FUND’S INVESTMENT OBJECTIVES, RISKS, CHARGES AND EXPENSES. THIS AND OTHER RELEVANT INFORMATION CAN BE FOUND IN THE PROSPECTUS AND STATEMENT OF ADDITIONAL INFORMATION, COPIES OF WHICH MAY BE OBTAINED BY CALLING 844-302-PENN (7366). PLEASE READ THE PROSPECTUS CAREFULLY BEFORE YOU INVEST.
Inception date: 7/17/2017. Performance reflects total returns, represents past performance, and is no guarantee of future results. Investment returns and principal values may 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 that shown. All returns assume reinvestment of all dividend and capital gain distributions. Performance reflects the deduction of all actual fees and expenses of the related accounts during the periods shown and not the fees and expenses payable by the Penn Capital Short Duration High Income Fund. Penn Capital mutual funds are distributed by Quasar Distributors, LLC, which is not affiliated with Penn Capital or any of its affiliates. Penn Capital mutual funds are available to U.S. residents only.
Quasar Distributors, LLC.