Brown Advisory Sustainable Growth Fund Institutional Shares (BAFWX)

Overview

The fund is designed to cater to investors looking for income through dividends, focusing on building a diversified portfolio. It commits at least 80% of its net assets, along with any borrowings for investment purposes, towards equity securities that pay dividends. This approach is designed to generate income for investors while also maintaining the potential for capital appreciation. The fund's investment strategy also accommodates investments in both domestic and international markets, allowing for a broad exposure across different sectors and economies. Furthermore, the flexibility to invest in private placements offers the potential for higher returns, albeit with a higher risk profile.

Products and Services

• Domestic and Foreign Common and Preferred Stock

  Includes investment in shares of companies both within and outside the U.S. These investments aim to provide dividend income along with capital appreciation possibilities.

• Convertible Debt Securities

  These are bonds or other forms of debt that can be converted into a predetermined amount of the company's equity, often at a discount. This provides potential upside from equity appreciation while offering income through interest payments.

• American Depositary Receipts (ADRs)

  Represents a specified number of shares in a foreign corporation. ADRs are a way for investors to own foreign stocks more easily, as they are traded on U.S. exchanges and are subject to U.S. trading laws and regulations. This can provide geographic diversification and potential growth opportunities in international markets.

• Master Limited Partnerships (MLPs)

  These are investments in partnerships that often operate in the energy sector, providing the potential for high income through distribution payments. MLPs combine the tax benefits of a limited partnership with the liquidity of publicly traded securities.

• Real Estate Investment Trusts (REITs)

  This includes investments in companies that own, operate, or finance income-generating real estate. REITs offer a way to invest in real estate without having to own the property directly and typically pay high dividends, making them attractive for income-focused investors.

• Exchange Traded Funds (ETFs)

  These are investment funds traded on stock exchanges, much like stocks. ETFs hold assets such as stocks, commodities, or bonds and generally operate with an arbitrage mechanism designed to keep trading close to its net asset value, though deviations can occasionally occur.

• Private Placements in Securities Types

  The fund may also invest in private placements, which are not publicly traded and typically offered to a limited array of investors. Such investments can lead to higher returns but come with higher risks and less liquidity.