Kennedy Capital Small Cap Growth Fund Institutional Class (KGROX)

Overview

This fund primarily targets investments in small capitalization companies, committing at least 80% of its net assets (alongside any borrowed capital for investment purposes) to equity securities. Its definition of equity securities is broad, encompassing domestic common and preferred stock, American Depositary Receipts (ADRs), and securities connected to real estate investment trusts (REITs) and shares of investment companies, including but not limited to exchange-traded funds (ETFs) that are designed to track small cap indices. This diversified investment strategy is tailored towards investors looking to capitalize on the growth potential of small cap companies across various sectors.

Products and Services

• Equity Securities of Small Capitalization Companies:

  Investing primarily in equity securities of small cap companies, this product offers investors the opportunity to participate in the growth potential of these firms. By focusing on small capitalization companies, the fund seeks to benefit from the higher growth rates often associated with smaller firms, albeit with a potentially higher level of risk compared to investments in larger, more established companies.

• Domestic Common and Preferred Stock:

  The fund includes investments in both common and preferred stocks of domestic companies. Common stocks offer the potential for capital appreciation and dividends, while preferred stocks provide a fixed dividend yield, which can offer a more stable income stream. This blend of stock types aims to balance growth potential with income generation.

• American Depositary Receipts (ADRs):

  ADRs represent a way for the fund to invest in non-U.S. companies while the securities are traded on U.S. stock exchanges. This allows the fund to diversify its investment portfolio internationally, mitigating the risk through geographic diversification, and tapping into the growth potential of foreign markets.

• Securities of Real Estate Investment Trusts (REITs) and Shares of Investment Companies:

  The inclusion of REITs provides exposure to the real estate sector without necessitating direct investment in property. REITs often offer high dividend yields, which can contribute to the fund's income generation. Furthermore, investing in shares of other investment companies, including ETFs that track small cap indices, allows the fund to diversify its holdings and gain exposure to a wide array of small capitalization companies efficiently.