Small Cap Opportunity Fund

CONSISTENCY, EXPERIENCE, AND A PROVEN PHILOSOPHY

FUND BASICS

Benchmark: Russell 2000 Index
Inception Date: December 5, 2008

Institutional: GLSIX (cusip: 56166Y685)
Investor: GLSCX (cusip: 56166Y693)
     
Fund AUM as of 6/30/2017: $76.9M
Strategy AUM as of 6/30/2017: $231.2M
     

Investment Minimums

Investor Class Initial Subsequent
Regular Account $1,000 $500
Retirement Account $500 $200
     
Institutional Class $100,000 $100
     

Fees and Expenses

  GLSIX GLSCX
Management Fee 0.60% 0.60%
12b-1 Distribution Fee 0.00% 0.25%
Other Expenses 0.28% 0.28%
Total Expense Ratio 0.89% 1.14%
     

Additional Information

The Small Cap Opportunity Fund seeks to provide total return.

DISTINGUISHING CHARACTERISTICS

  • The fund consists of securities the manager believes are undervalued in relation to factors such as free cash flow, economic earnings, growth potential or asset value
  • The fund utilizes bottom-up security analysis while using portfolio construction analytics to monitor and manage risk

INVESTMENT PROCESS

The Small Cap team focuses on rigorous fundamental analysis and employs a disciplined valuation approach to select securities for inclusion in its portfolio. A universe of potential investments is initially identified through a series of proprietary screens. After initial analysis, we construct a multi-year free cash flow model for each stock considered for investment to derive an estimate of the stock’s fair value. Portfolios are built by owning those stocks with the highest expected rates of return over the investment time horizon, and methodically replacing those in the portfolio having relatively low expected rates of return with well-researched ideas having higher expected rates of return.

We utilize a number of proprietary tools to measure, monitor and manage portfolio risk.  We believe that Risk Management begins at the security level, and that our analytical approach may help provide a substantial “margin of safety” that may potentially help in protecting capital during market dislocations.

PORTFOLIO MANAGEMENT

Gary Lenhoff, CFA
Portfolio Manager

Gary Lenhoff joined Great Lakes Advisors in 2010, bringing more than 25 years of industry experience. He began his career as an Investment Analyst with Prudential Investment Company and went on to manage a $3.3 billion portfolio of leveraged buyout and equity investments. He then served as a Portfolio Manager for Anderson, Hoagland & Co. in St. Louis from 1993 to 2000. Subsequently, Gary helped build a team of seven analysts at Bricoleur Capital Management, where he assisted in growing a long/short equity hedge fund from $450 million to over $1.3 billion in assets managed. Most recently, he was Chief Investment Officer of his own firm where he was responsible for all aspects of security selection, portfolio construction, and risk management.

Gary became a Chartered Financial Analyst in 1993 after receiving his B.A. in Economics from the University of Rochester, and his M.B.A. with distinction from the University of Michigan.

 

Benjamin Kim, CFA, CPA
Portfolio Manager

Benjamin Kim has over 17 years of stock analysis and selection experience in a number of industries. He serves as a Senior Research Analyst for the Small Cap Portfolio, responsible for equity investments in the Industrial, Technology, and Materials sectors. Prior to joining Great Lakes Advisors, Ben was an Investment Analyst at Harris Associates and a Securities Analyst for Skyline Asset Management. Ben holds a BS in Accounting from Indiana University and an MBA with a concentration in Finance and Economics from the University of Chicago. Ben is a CFA charterholder and a Certified Public Accountant.

 

Bryan Engler, CFA
Senior Research Analyst

Bryan Engler is a Research Analyst where he acts as the health care, consumer discretionary, and consumer staple analyst. Bryan employs rigorous fundamental research in seeking attractive investment opportunities. Prior to joining Great Lakes, Bryan served as a Corporate Advisor at Thomson Reuters consulting a number of public executive teams on matters concerning capital structure and corporate strategy. Bryan holds a BA in Political Science and English from Tulane University. He is also a member of the CFA Institute and the CFA Chicago Society.

 

Slogan: 
CONSISTENCY, EXPERIENCE, AND A PROVEN PHILOSOPHY