Ticker: 
PSMPX
  |  CUSIP: 
707269106
AS OF 

Penn Capital Mid Cap Core Fund

Nav Daily $ Change Daily % Change Year To Date Inception Date Share Class
$12.34
-$0.15
-1.20%
1.48%
Institutional

Overview

The Mid Cap Core Fund seeks to provide catalyst driven capital appreciation and uncorrelated alpha. The Fund utilizes a high conviction, private equity approach to the public market with Penn Capital’s Complete Capital Structure Analysis®. The Fund seeks to exploit return opportunities by balancing intensive bottom up equity analysis and top down credit risk analysis. The Fund targets mid-capitalization companies, employing leading credit indicators to harvest inefficiencies that capture opportunistic upside and conservative downside factors.

Objective

The Penn Capital Mid Cap Core Fund seeks to provide capital appreciation.

Strategy

The Fund generally intends to invest in 50 to 90 securities identified by the Advisor’s fundamental, bottom-up value driven research. The portfolio construction process involves both quantitative and qualitative fundamental analysis.

Investment Type Examples

Common stock, preferred stock, convertible securities, and other investment companies including exchange traded funds (ETFs), American Depository Receipts (ADRs), and real estate investment trusts (REITs).

Industry Examples

Consumer Discretionary, Consumer Staples, Energy, Financials, Healthcare, Industrials, Information Technology, and Materials.

Performance

AS OF 05/31/2023
Ticker: PSMPX | CUSIP: 707269106
MTD QTD YTD 1 Year 3 Year 5 Year 10 Year Since Inception
Penn Capital Mid Cap Core Fund
-4.65%
-5.71%
-2.30%
-11.62%
5.03%
2.73%
n/a
6.19%
Bloomberg 2500 Index
-1.85%
-3.20%
-0.06%
-5.25%
10.51%
4.67%
n/a
7.69%
AS OF 05/31/2023
Ticker: PSMPX | CUSIP: 707269106
Penn Capital Mid Cap Core Fund
MTD -4.65
QTD -5.71
YTD -2.30
1 Year -11.62
3 Year 5.03
5 Year 2.73
10 Year n/a
Since Inception
6.19
Bloomberg 2500 Index
MTD -1.85
QTD -3.20
YTD -0.06
1 Year -5.25
3 Year 10.51
5 Year 4.67
10 Year n/a
Since Inception
7.69

Investment Process

Step 1
Fundamental Financial Analysis

Penn Capital’s analysts and portfolio managers screen for companies with improving financial metrics to determine relative value.

Step 2
Qualitative Research

Penn Capital’s analysts and portfolio managers perform qualitative research to confirm relative value.

Step 3
Liquidity Outlook/Covenant Analysis

Penn Capital’s analysts and portfolio managers screen for liquidity issues and perform covenant analysis, bank loan availability and asset value analysis.

Step 4
Recommendation

Primary and secondary analysts and portfolio managers present best new idea(s) to entire team for evaluation and consideration.

Step 5
Decision Making

Two-step approval process requires approval first by the portfolio manager, and second by either the Director of Research or the Chief Investment Officer.

Step 6
Portfolio Construction

Penn Capital’s Equity Strategy Committee meets weekly to discuss macro-view and to determine sector allocations. All portfolio managers combine expertise (credit and equity) to develop and apply a macro view

Fees & Expenses

Total Fund annual net operating expenses (after fee waiver/expense reimbursement) are: Institutional Class 1.06%.

Total Fund annual gross operating expenses (before waivers and expenses) are: Institutional Class 1.70%.

The Fund's advisor has contractually agreed to waive its fees and/or pay for operating expenses of the Fund to ensure that total annual fund operating expenses do not exceed 1.06% of the average daily net assets for the Institutional Class shares of the Fund, respectively. This agreement is in effect until April 1, 2023. The Fund’s advisor is permitted to seek reimbursement from the Fund of fees waived for a period of three years from the date of the waiver or payment to the extent it does exceed the expenses limits.

Portfolio Managers

Eric J. Green, CFA

Chief Investment Officer – Senior Portfolio Manager, Senior Partner

Mr. Green has been with Penn Capital since 1997 and as CIO, he is responsible for guiding the firm’s equity and credit strategies. Mr. Green serves as a Senior Portfolio Manager for Penn Capital’s Small Cap, Small to Micro Cap, Small to Mid Cap and Mid Cap equity strategies. As a member of the Equity Risk Committee, Mr. Green works closely with the equity portfolio management team to contribute ideas specifically in the micro to mid-capitalization range.

Prior to joining Penn Capital, Mr. Green was with the Royal Bank of Scotland and the United States Securities and Exchange Commission where he served as a financial analyst in the Division of Investment Management. Mr. Green is also Vice Chairman of the Board of Directors for the Anti-Defamation League (ADL) Mid-Atlantic Region and was Co-Chairman of the ADL's 2018 Walk Against Hate. He received a BSBA cum laude from American University and an MBA from the Yale School of Management.