Acuitas US Microcap Fund Institutional Shares (AFMCX)

Overview

This company operates as an investment fund focusing on the high-potential sector of microcap companies. It has a stringent investment criterion, allocating at least 80% of its net assets towards equity securities of microcap companies with strong ties to the U.S. market. These are either companies based in the United States or those generating at least half of their revenues from U.S. activities. This strategic focus is fueled by the belief in the growth potential of microcap companies within the robust U.S. economic landscape.

The fund employs a "multi-manager" approach in its operations. This entails allocating assets among a selection of asset managers, known as "Subadvisers," chosen through a meticulous selection process. The success of this approach hinges on the ability of the fund's adviser to identify and select sub-advisers who are poised to achieve long-term outperformance. The selection process relies on in-depth research and analysis, aiming to uncover investment managers who possess the potential to generate superior returns over an extended period.

Products and Services

• Microcap Equity Investments

  The core product of the fund lies in its investment in the equity securities of microcap companies. By focusing on this subset of the market, the fund taps into the potential for high growth associated with smaller companies. These investments are predominantly in firms that are either headquartered within the U.S. or derive a significant portion of their income from U.S.-based activities, aiming to leverage the dynamic U.S. economy for investment growth.

• Multi-Manager Investment Process

  A distinctive feature of the fund's approach is its use of a multi-manager process. Through this process, assets are allocated among several carefully selected sub-advisers. This diversifies the management strategy, allowing access to the distinct investment philosophies and strategies of various asset managers. The intention is to blend these diverse approaches to achieve a stronger, more stable performance over the long term, capitalizing on the strengths of each sub-adviser.

• Sub-adviser Selection and Monitoring

  An essential service provided by the fund is the ongoing selection and monitoring of its sub-advisers. This process is underpinned by the fund's robust manager research and selection process. A rigorous evaluation framework is employed to identify asset managers who demonstrate the potential for sustained outperformance. This includes analyzing past performance data, investment strategies, risk management practices, and the overall financial health of the potential sub-advisers. Continuous monitoring ensures that the chosen sub-advisers adhere to the fund's investment objective and perform according to expectations.