Fund Description

The fund pursues its investment objective by applying a hybrid research process that uses both quantitative and qualitative criteria. The advisor uses a proprietary model to rank a large stock universe for potential positive alpha adjusted for beta, then the portfolio manager selects small-cap stocks with attractive risk/return characteristics, incorporating risk controls. Under normal circumstances, it invests at least 80% of net assets (including amounts borrowed) in a diversified portfolio of equity securities of small-cap companies, emphasizing U.S. issuers; holdings may include common, preferred and convertible securities. It is designed as a core approach combining value and growth, diversifying across more than one dozen sectors. The advisor allocates assets opportunistically based on market information and is not constrained by investment style parameters; sector and style allocations generally result from a hybrid research process using quantitative and qualitative criteria. It may short up to 25% of net assets, trade actively, lend securities, and invest in Canadian issuers and ADRs.