Small-Mid Cap Value
Long-term capital appreciation through investments in small capitalization companies that we believe are undervalued; companies generally have a market capitalization within the upper and lower boundaries of the Russell 2500 Value Index at time of purchase.
We seek to identify market inefficiencies and catalysts leading to long-term appreciation, with an emphasis on change and restructuring at the industry or corporate level. We focus on complex situations that are difficult to evaluate and understand in a timely fashion, and often have little or no Wall Street support or coverage. We believe this lack of research coverage and positive attention drives investor uncertainty and avoidance, enabling us to purchase attractive stocks at a discount to our assessment of fair market value.
We use fundamental research to identify potential investment opportunities, focusing on catalysts and event-driven situations. Within that universe, we use bottom-up analysis to identify companies that we believe have strong business models, solid growth potential and reasonable valuation parameters.
|Small-Mid Cap Value (Gross)|
|Small-Mid Cap Value (Net)|
|Russell 2500 Value Index|
Source: Keeley Teton Advisors, LLC / US Bank NA. Past performance does not guarantee future results. Quarterly and YTD returns are not annualized. Inception date of the strategy is September 30, 2006. Net-of-fees composite returns were calculated based upon the investment advisory fees for the client portfolios contained within the composite. Advisory fees are negotiable and a table of standard fees is contained in the firm’s Form ADV Part 2A which is available at no cost at Keeley Teton Advisors, LLC. All performance results are net of commissions and transaction costs, and have been presented gross and net of investment advisory fees for illustrative purposes. Dividend income is recorded on ex-dividend date or as soon after the ex-dividend date as the information becomes available to Keeley Teton Advisors, LLC. Interest income is recorded on the accrual basis. Performance results for the index includes reinvested dividends but, unlike the strategy’s returns, do not reflect the payment of sales commissions or other expenses incurred in the purchase or sale of the securities included in the index. The performance data quoted represents past performance and current returns may be lower or higher. The investment return and principal will fluctuate so that an investor’s portfolio, when liquidated, may be worth less than the original cost/balance. As with any investment, there is a potential risk of loss. Smaller and medium-sized company stocks are more volatile and less liquid than larger, more established company securities.
The Russell 2500 Value Index is unmanaged and cannot be invested in directly. It measures the performance of those Russell 2500 companies with lower price-to-book ratios and lower forecasted growth rates. Index performance is presented for informational purposes.
The growth chart presented above represents cumulative performance with a beginning value of 100 at the inception date (09/30/2006) and is based on compounded monthly performance data (gross and net) versus the index shown. Direct investments into an index are not possible.
In our pioneering approach to value investing, we focus on companies moving through complex change to unlock hidden value. We seek to identify market inefficiencies and catalysts for value creation such as restructuring, marketplace shifts and ownership and operational changes.learn more