Baywood ValuePlus Fund Institutional Shares (BVPIX)

Overview

The advisor manages a fund primarily focused on investing in large market capitalization companies to achieve the fund's investment objective. This involves allocating at least 80% of the fund's net assets, alongside any borrowings intended for investment purposes, into the equity securities of these large companies. The strategy encompasses a broad range of equity instruments, including common stocks, preferred shares, convertible securities, and sponsored American Depositary Receipts (ADRs), to provide diversified exposure to large-cap entities. The emphasis on large market capitalization companies is indicative of a strategy that likely values stability and growth potential inherent in established businesses, aiming to tap into their value creation and dividend payout capabilities.

Products and Services

• Equity Securities of Large Market Capitalization Companies:

  Investment in equity securities such as common stock, which represent ownership in companies. These are primarily in large market cap companies, which are typically well-established businesses with a history of performance and stability. This offers the potential for growth and income through dividends, though it also involves market risk.

• Convertible Securities:

  This includes investments in securities that can be converted into a predetermined number of another type, usually common stock, at the option of the investor, potentially allowing for capital appreciation. Convertible securities combine the income potential of bonds or preferred stock with the growth potential of common stock, offering a balanced risk-reward profile suitable for certain investment strategies.

• Preferred Stock and Sponsored American Depositary Receipts (ADRs):

  Preferred stock offers a fixed dividend, which gives it bond-like characteristics, but with a potential for capital appreciation similar to common stock. ADRs allow U.S. investors to invest in non-U.S. companies more easily, offering a way to diversify internationally while dealing in U.S. dollars and through U.S. exchanges. Both instruments are used to tailor the risk and return profile of the fund's investments, enhancing its ability to meet its strategic objectives.