Strategy. The Fund normally invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities. However, the Fund will not borrow for investment purposes . The Fund invests primarily in a select portfolio of equity securities of companies with small- to medium-market capitalizations (those with market capitalizations, at the time of purchase, of less than $20 billion). Although the Fund invests principally in U.S. companies, the Fund may invest up to 15% of its total assets in equity securities of foreign companies. Equity securities in which the Fund may invest include common stocks, preferred stocks, American Depositary Receipts (ADRs) or other depositary shares or receipts, rights, warrants, exchange-traded funds (ETFs), and options whose reference asset … Show more… The Fund normally invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities. However, the Fund will not borrow for investment purposes . The Fund invests primarily in a select portfolio of equity securities of companies with small- to medium-market capitalizations (those with market capitalizations, at the time of purchase, of less than $20 billion). Although the Fund invests principally in U.S. companies, the Fund may invest up to 15% of its total assets in equity securities of foreign companies. Equity securities in which the Fund may invest include common stocks, preferred stocks, American Depositary Receipts (ADRs) or other depositary shares or receipts, rights, warrants, exchange-traded funds (ETFs), and options whose reference asset is an equity security or equity securities index. In addition to equity ETFs, the Fund may also invest in ETFs generally. The Fund may also purchase and sell (or write) options to hedge its portfolio or enhance returns. The Fund will normally hold a limited number (typically 25 to 50) of companies. However, the Fund may hold fewer or more companies from time to time and invest in companies with larger market capitalizations when Greenhouse Funds LLLP (the Subadvisor), the Funds sub-advisor, believes doing so will help efforts to achieve the Funds investment objective. The Fund will hold a mix of both value and growth stocks as part of the Subadvisors opportunistic approach to investing. The Fund is non-diversified, meaning that it may invest a greater percentage of its total assets in a smaller number of companies than a diversified mutual fund. Given the Subadvisors opportunistic investment strategy, the Fund will generally be overweight in certain sectors and underweight in other sectors, as compared to the sector weightings of the Russell 2000 Index (the Funds benchmark index), based on the Subadvisors judgment of the sectors relative attractiveness and its individual securities selection. The Fund may have little or no exposure to certain sectors. The Funds sector exposures will likely change over time, as macroeconomic, market, sector and company-specific conditions change. In selecting investments for the Fund, the Subadvisor employs bottom-up research and fundamental analyses with a focus on companies that the Subadvisor believes possess a favorable risk/return profile. The Subadvisor seeks attractive opportunities for the Fund by evaluating industry dynamics and competitive forces as well as a companys business model, earnings quality, profitability, cash flows, management acumen and demonstrated capital stewardship. Extensive financial modeling and valuation assessments are then used to calculate the expected risk and return, after which the Subadvisor exercises its experience and judgment to determine timing and position sizing. The Subadvisor seeks companies with the following key attributes: Large addressable market with a well-structured competitive landscape; Attractive business model with a sustainable competitive advantage; Stable or expanding profit margins and return on capital; Positive and growing free cash flow; Disciplined management team practicing intelligent capital deployment; and The presence or prediction of meaningful change including business model, product set, management, capital allocation strategy and valuation. The Subadvisor considers the following factors, among others, in deciding to sell positions: when the price objective has been reached with no change to underlying fundamentals, when a significant negative event changes the Subadvisors view of the companys prospects, when target catalysts are realized or when an investment loses its attractiveness relative to other potential opportunities. The Subadvisor will also trim or sell securities to manage the Funds risk related to position sizing. Although the Subadvisors target investment horizon is generally measured in years, the Subadvisor may from time to time engage in short-term trading for the Fund to take advantage of potential opportunities, which may increase portfolio turnover. Show less