Principal Investment Strategies

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The Fund seeks to achieve its investment objective by balancing “long” and “short” positions. To do this, the Fund will buy (take long positions in) equity securities of U.S. companies that the Adviser believes are undervalued and more likely to appreciate and, at the same time, borrow and then sell (take short positions in) equity securities of U.S. companies that the Adviser believes are likely to underperform the long positions over time.

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Strategy Characteristics

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• Beta-adjusted market neutral strategy

• Non-correlated to broad stock & bond markets

• All holdings are constituents of the S&P 500; no ETFs, no options, no swaps or other derivatives

• Strategy utllizes ROTA/ROME® to capture valuation inefficiencies in the market

 

For Investors Who:

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• Seek returns independent of broad market risks and macro events

• Seek portfolio diversification through a non-correlated strategy

• Seek to reduce downside risk without sacrificing upside potential

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ROTA/ROME®, Cognios' value based investment process is a fundamental quantitative stock selection and portfolio construction methodology that seeks to identify companies whose per share intrinsic value has diverged significantly from the current market price of its stock. ROTA/ROME® focuses on a company's Return on Total Assets ("ROTA") and Return on Market Value of Equity ("ROME").