RiverPark/Next Century Growth Fund Institutional Class (RPNIX)

Overview

The described fund is focused on investing primarily in the equity securities of small cap companies, defined by their market capitalization. Specifically, the fund commits at least 80% of its net assets, along with any funds borrowed for the purpose of investment, into these equity securities. The criteria for selecting these small cap companies is based on their market capitalization being below that of the largest company in the Russell 2000® Index, evaluated on a rolling three-year basis. This indicates an investment strategy that leans towards potentially high-growthsmall and medium-sized enterprises (SMEs), which may present higher risks but also the opportunity for significant returns. The use of the Russell 2000® Index as a benchmark for defining small cap entities ensures that the fund’s investments are aligned with dynamic market conditions and capitalization shifts within the index.

Products and Services

The primary product offered by the fund is the investment in equity securities of small cap companies. This product is structured to offer investors exposure to the potential growth of SMEs. The investments are carefully selected based on a rigorous process that considers the market capitalization of targeted companies in relation to the largest company in the Russell 2000® Index. This methodology aims at identifying companies that, while smaller in size compared to their larger counterparts, offer promising growth potential and can therefore contribute to the fund’s overall performance.

• Equity Securities Investments - This encompasses the purchase of stocks or equity in small cap companies that meet the set criteria of having a market capitalization less than the largest entity within the Russell 2000® Index. This allows investors to gain direct exposure to the financial performance of these companies. The equity selection process is guided by thorough market analysis and a strategic overview of the companies' operational framework, making these investments particularly suited for those seeking to diversify their portfolio with smaller companies’ stocks.
• Borrowings for Investment Purposes - To enhance the scope of investments and potentially increase returns for investors, the fund also considers strategic borrowings. These funds are used directly for the purpose of investing in additional equity securities meeting the fund’s criteria. Borrowing allows the fund to capitalize on investment opportunities that may arise, providing a leveraged position that could enhance the yield from its equity investments. Such strategies, however, also imply a higher risk, which is reflective of the aggressive investment stance of the fund.