Payson Total Return Fund (PBFDX)

Overview

The described fund is an investment entity that focuses on allocating capital into the equity of companies based within the United States, particularly aiming at those classified within the large and mid-capitalization segments. The fund’s investment strategy leans towards holding a diversified portfolio comprised mainly of common stock and convertible securities. This strategy targets companies that are deemed to have solid growth potential or value, fitting within specified market capitalization parameters. Large capitalization companies, as per the fund’s adviser, are defined as having market values exceeding $12 billion. Meanwhile, mid capitalization companies fall into a narrower range, with market caps between $2 billion and $12 billion. This classification system allows the fund to diversify its investments across a spectrum of companies that are believed to have different levels of risk and growth opportunities, thereby appealing to investors looking for balanced exposure to the U.S. equity market.

Products and Services

• Investment in Common Stock

Common stock represents shares of ownership in a company and entitles the shareholder to dividends and voting rights. The fund earmarks a significant portion of its resources towards acquiring common stocks of large and mid-cap domestic companies. This offers investors an opportunity to partake in the equity of established businesses with a track record of growth and stability, as well as emerging companies poised for significant expansion.

• Investment in Convertible Securities

Convertible securities are bonds or preferred shares that can be converted into a predetermined amount of the company's common stock, typically at the discretion of the bondholder. This fund capitalizes on convertible securities as a means to potentially enhance returns on investment by combining the income features of bonds with the growth potential of stocks. Investing in convertible securities of large and mid-cap companies allows the fund to participate in the upside potential of these companies' stock with potentially less risk than investing directly in common stocks.