Carillon Chartwell Mid Cap Value Fund - Class A (BERAX)

Overview

This investment fund focuses on allocating a significant portion of its resources, at least 80% of its net assets, to acquire common stocks of mid-capitalization companies based in the United States. The strategy underpinning this investment approach is to identify undervalued companies through rigorous analysis conducted by its sub-adviser. The criteria for investment hinge on the prospects of finding companies that are not only undervalued but have resilient business models, strong financial backings in the form of solid balance sheets, and are showing signs of improving fundamentals. Through leveraging historical valuation data, the sub-adviser meticulously selects companies that present a promising investment opportunity while aligning with the fund's emphasis on financial health and potential for appreciation.

Products and Services

The fund's investment portfolio is structured around a core principle of targeting mid-capitalization American companies that are deemed to be trading at values less than their actual worth. Listed below are the primary investment focuses:

• Investment in Mid-Cap U.S. Stocks

  At the heart of the fund's strategy is the investment in mid-cap companies located in the U.S. that are identified as undervalued. These are firms that have reached a stage of development and market presence beyond that of smaller companies but are not yet as large or as established as the biggest industry players. This segment is selected on the basis of perceived growth potential and undervaluation relative to their intrinsic values.

• Value-Based Investment Model

  The value-based investment model is the cornerstone of the fund's approach, where investments are chosen primarily on the basis of their valuation relative to historical data. This involves a thorough analysis of a company's financial health, including its balance sheet strength and the sustainability of its business model, to determine its worthiness for investment. The model seeks out companies that, despite having solid fundamentals, are trading at prices that the sub-adviser believes do not fully reflect their future growth prospects.

• Durable Business and Strong Balance Sheet Focus

  A key criterion for the selection of investments is the durability of the business and the robustness of its financial structure. The fund prioritizes companies that not only have a strong presence in their respective industries but also boast financial stability. This stability is often evidenced by solid balance sheets — a critical factor that underpins the ability of a business to navigate economic challenges and capitalize on opportunities for growth.

• Improving Fundamental Prospects

  The investment strategy also places importance on identifying companies with improving fundamental prospects. This aspect involves looking at tangible indicators of growth such as revenue, profit margins, and cash flow, among others. Companies that show promise in these areas, according to the sub-adviser’s analysis, are considered viable candidates for investment, underpinning the belief that their market valuation will eventually reflect their fundamental strengths.