Fund Description

The fund seeks long-term capital appreciation by investing, under normal circumstances, at least 80% of net assets in equity securities of small-cap companies, generally those within the market-cap range of the Russell 2000 Index at purchase. It uses quantitative analysis of financial data to select companies it believes have favorable characteristics such as earnings quality and returns on equity relative to peers. The evaluation process includes systematic evaluations of new securities with attractive attributes and re-evaluations of portfolio holdings. Risk is managed through diversification, and holdings may be sold to maintain desired characteristics. It may use stock index futures to equitize cash and enhance liquidity and may at times have focused sector exposure. Many of the companies in which the fund invests generally pay little or no dividends.