CRM Funds / 130/30 Value Fund
130/30 VALUE FUND
The CRM 130/30 Value Fund began in December 2007.
|
$7
million
|
Jay Abramson, Kevin Chin
& Chip Rewey |
| Ticker |
Inception |
Cusip |
Net Expense Ratio1 |
Gross Expense Ratio |
Current Assets |
Minimum Investment |
| CRITX |
12/31/2007 |
12628J402 |
2.11% |
3.80% |
$5 million |
$1,000,000 |
| CRMTX |
12/31/2007 |
12628J303 |
2.36% |
4.01% |
$3 million |
$2,500 |
The 130/30 Value Fund, under normal circumstances, invests at least 80% of its assets in a diversified portfolio of equity and equity related securities of U.S. and non-U.S. companies with market capitalizations at the time of initial purchase similar to those in the Russell 1000 Index (the “Index”) that are publicly traded on a U.S. securities market.
The Fund will hold long equity securities that Cramer Rosenthal McGlynn, LLC (“CRM” or the “Adviser”), the Fund’s investment adviser, has identified as undervalued and take short positions in equity securities that the Adviser has identified as overvalued or poised for underperformance. The Adviser believes that a long/short strategy will enable the Fund to reflect the Adviser’s positive and negative views on individual stocks and to seek higher performance. In rising markets, the fund expects that the long positions will appreciate to a greater extent than the short positions, and in declining markets, the short positions will gain in value relative to the long positions. However, there can be no guarantee that this result will be achieved. The market capitalization range of the Russell 1000 Index changes constantly, and as a result, the capitalization of companies in which the Fund will invest will also change. As of September 30, 2009, the market capitalization range of the Russell 1000 Index was from approximately $360 million to $335 billion.
Supported by an experienced team of investment professionals, the portfolio managers make judgments about the relative
attractiveness of various securities in selecting stocks for the 130/30 Value Mutual Fund. Although the Fund is built from
the bottom up, stock-specific risks, sector weightings and risk/reward characteristics are all taken into account in the
portfolio construction process.
Principal investment risks: The Fund invests in value stocks which can perform differently from the market on whole and may continue to be undervalued for long periods of time. Short positions involve significant transaction costs. Additionally, because the Fund’s loss on a short sale arises from increases in the value of the security sold short, such loss is theoretically unlimited because there is no limit on any such increase in value. The Fund’s use of derivative contracts, such as options on securities and securities indices, may be risky. Using derivatives can disproportionately increase losses and reduce opportunities for gains when stock prices are changing. They can also make the Fund less liquid and harder to value, especially in declining markets.
Top Ten Equity Holdings (as of 12/31/09)
Holdings are subject to change
|
Alcon, Inc.
|
4.68%
|
|
JPMorgan Chase & Co.
|
4.00%
|
|
Tyco International Ltd.
|
3.69%
|
|
CVS Caremark Corporation
|
3.68%
|
|
Roche Holding Ltd.
|
3.60%
|
|
Accenture Limited
|
3.10%
|
|
Bank of America Corporation
|
2.97%
|
|
Omnicom Group, Inc.
|
2.92%
|
|
Stryker Corporation
|
2.88%
|
|
Prudential Financial, Inc.
|
2.75%
|
|
TOTAL
|
34.27%
|
Most Recent Fund Distribution - 2009
As a shareholder of a Fund, you are entitled to dividends and other distributions arising from net investment income and net realized gains, if any, earned on the investments held by the Funds. Dividends and distributions, if any, are declared and paid annually to you. Each Fund expects to distribute any net realized gains once a year.
Distributions are payable to the shareholders of record at the time the distributions are declared (including holders of shares being redeemed, but excluding holders of shares being purchased). All distributions are reinvested in additional Fund shares unless you have elected to receive the distributions in cash.
- Date of Record: 12/14/2009
- Ex-Date: 12/15/2009
- Payment Date: 12/16/2009
| Name |
Short Term |
Long Term |
Ordinary Income |
Total |
| CRM 130/30 Value Fund |
| Institutional Class |
- |
- |
$0.023400 |
$0.023400 |
| Investor Class |
- |
- |
$0.003200 |
$0.003200 |
View historical distribution information.
Performance (as of 12/31/09)
Annual Returns
| Year |
130/30
Value Fund |
Russell
1000 |
| 2009 |
20.78 |
28.43 |
| 2008 |
-33.90 |
-37.60 |
Annual Returns
| Year |
130/30
Value Fund |
Russell
1000 |
| 2009 |
20.50 |
28.43 |
| 2008 |
-34.00 |
-37.60 |
Annualized Returns
| Year |
130/30
Value Fund |
Russell
1000 |
|
Q4'09
|
4.91
|
6.07
|
|
YTD |
20.78
|
28.43
|
|
ICD |
-10.65
|
-10.75
|
-
130/30
Value Fund
-
Russell
1000
Annualized Returns
| Year |
130/30
Value Fund |
Russell
1000 |
|
Q4'09
|
4.92
|
6.07
|
|
YTD |
20.50
|
28.43
|
|
ICD |
-10.82
|
-10.75
|
-
130/30
Value Fund
-
Russell
1000
The information on the Funds’ performance represent past performance, which
does not guarantee future results. If you invest in a Fund, your investment return
and principal value will fluctuate, so that your shares, when redeemed, may be worth
more or less than their original cost. The Funds’ current performance may
be lower or higher than the performance above. For most recent month-end performance,
please click here.
1 The net expense ratio for the CRM 130/30 Value Fund is the ratio listed
in the CRM Funds Prospectus, dated October 28, 2009. This figure will fluctuate
over time. CRM has a contractual obligation to waive a portion of fees through November
1, 2010 and to assume certain expenses. Performance would have been lower in the
absence of fee waivers and expense reimbursements.