Touchstone Focused Fund Class A (TFOAX)

Overview

The fund is designed to offer investors the opportunity to invest in a portfolio primarily made up of equity securities, which include both common stock and preferred stock. With a strategy that focuses on allocating at least 80% of its assets towards these securities, the fund strives to cater to investors seeking exposure to equity markets. It demonstrates flexibility in its investment approach by considering companies of all market capitalizations, which allows it to tap into the growth potential of various sectors across the board. While it is prepared to invest in securities listed on exchanges as well as those traded over-the-counter (OTC), it maintains a concentrated portfolio by holding between 25 to 45 companies. This approach underscores a focus on selecting what it considers to be high-quality investments rather than diversifying across a broader range of equities. Despite its concentrated nature, the fund aims to keep liquidity by ensuring that residual cash and equivalents constitute less than 10% of the fund's net assets. Being non-diversified, it seeks to achieve its investment goal through a focused and selective investment strategy.

Products and Services

• Equity Securities Investing

This involves the fund allocating at least 80% of its assets towards equity securities, which encompasses investments in common stocks and preferred stocks. The aim is to provide investors with access to the equity market's potential for returns, through a curated portfolio of stocks that span various market capitalizations.

• Flexible Capitalization Approach

The fund does not limit itself to companies of a specific market cap, hence it invests in small, mid, and large-cap companies. This strategy allows the fund to explore opportunities across the entire market spectrum, from well-established companies to emerging growth businesses, in pursuit of its investment goal.

• Concentrated Portfolio

Maintaining a portfolio that holds between 25 to 45 companies, the fund focuses on investing in a limited selection of what it believes to be high-quality stocks. This concentrated approach is indicative of the fund's investment philosophy, which prioritizes the quality of investments over the quantity.

• Liquidity Management

Despite its concentrated investment strategy, the fund ensures that it maintains liquidity. It does this by holding residual cash and cash equivalents, which are expected to represent less than 10% of the fund’s net assets. This strategy aids in managing the fund's cash flow needs without compromising its investment objectives.

• Non-Diversified Fund Structure

As a non-diversified fund, it channels its investments into a more select group of assets. This structural choice reflects the fund's strategy of seeking to achieve its investment objectives through a focused portfolio, as opposed to spreading its investments across a wide array of securities.