FMI Common Stock Fund Institutional Class (FMIUX)

Overview

The fund is designed for investors seeking exposure to small- to medium-capitalization companies, defined as those with a market capitalization of less than $7 billion at the time of initial purchase. These investments are made in companies that are listed or traded on national securities exchanges or associations in the United States. The fund primarily targets common stocks, dedicating at least 80% of its net assets to this class of investment, under normal market conditions. It has a particular interest in foreign companies, engaging with these entities through American Depositary Receipts (ADRs) or American Depositary Shares (ADSs), which are dollar-denominated securities of foreign issuers traded on U.S. markets. This strategy allows investors to diversify their portfolio internationally while dealing with investments in a familiar format and currency.

Products and Services

• Investment in Small- to Medium-Capitalization Companies

The fund focuses on acquiring stocks of companies with a market capitalization of less than $7 billion. This segment is believed to offer significant growth potential, albeit with a corresponding level of risk. Investments in these companies allow the fund to tap into emerging trends and innovations within various sectors.

• Common Stock Investments

A minimum of 80% of the fund's net assets are invested in common stocks. This includes common stocks of U.S. companies as well as foreign companies. The focus on common stocks is driven by their potential for high returns, which aligns with the fund’s growth-oriented investment strategy.

• Foreign Company Investments through ADRs and ADSs

The fund employs American Depositary Receipts (ADRs) and American Depositary Shares (ADSs) to invest in foreign companies. ADRs and ADSs are financial instruments that represent a specified number of shares in a foreign corporation and are traded on U.S. exchanges. This approach allows the fund to diversify its investment portfolio by including foreign companies while mitigating some of the risks and complexities associated with direct investments in foreign markets.