Portfolio Guidelines

  • Typically 40–60 positions
  • Maximum position size is 7%
  • Top 10 holdings are typically greater than 25% of net assets
  • Maximum industry exposure is 20%
  • Maximum sector exposure is 30%

Market Capitalization

The portfolio typically invests at least 80% of its net assets in medium market capitalization
companies, defined as those companies with a market capitalization between $1.5 billion and
$20 billion (or, if greater, the maximum market capitalization of companies generally within
the capitalization range of the Russell Midcap Index) at the time of purchase.

Top Ten Equity Holdings
As Of June 30, 2017

Loews Corp. Financials 4.2%
Willis Towers Watson PLC Financials 3.3
BankUnited, Inc. Financials 3.2
Axalta Coating Systems Ltd. Materials 3.0
Whirlpool Corp. Cons. Discretionary 2.7
LifePoint Health, Inc. Health Care 2.7
BorgWarner, Inc. Cons. Discretionary 2.7
Boston Scientific Corp. Health Care 2.6
Cimarex Energy Co. Energy 2.5
Post Holdings, Inc. Consumer Staples 2.3
Total As % Of Net Assets 29.3%
Total Number Of Equity Holdings 59

This is presented as supplemental information.

Sector Allocation1
As Of June 30, 2017

Mid Cap Composite Russell Midcap Index Russell Midcap Value Index
Financials 27.1% 14.3% 19.7%
Cons. Discretionary 19.1 14.6 12.1
Industrials 10.0 13.6 11.4
Consumer Staples 9.1 4.4 4.3
Info. Technology 6.8 14.8 6.3
Health Care 5.3 10.5 7.1
Real Estate 4.4 9.9 14.6
Materials 3.5 5.7 5.1
Energy 2.5 5.5 7.9
Utilities 1.7 6.2 10.6
Telecom 0.0 0.6 0.9
Cash & Other 10.3 0.0 0.0

This is presented as supplemental information.

Portfolio Characteristics Vs. Benchmark2
As Of June 30, 2017

Mid Cap Composite Russell Midcap Index Russell Midcap Value Index
Median Forward P/E 16.0x 19.9x 19.1x
Median Trailing P/E 19.8x 23.2x 21.2x
Weighted Average Dividend Yield 1.2% 1.7% 2.1%
Median Price / Book 2.2x 2.8x 2.2x
Median Price / Sales 1.7x 2.4x 2.1x
Median Market Cap. $8.3B $7.1B $6.6B
Weighted Average Market Cap. $11.4B $13.5B $13.3B
Portfolio Turnover 5 Year 15% —   —  
Active Share3 vs. Core4 / Value5 Benchmark 93% / 91% —   —  
Upside/Downside Capture Ratio6 vs. Core Benchmark4 92% / 84% —   —  
Upside/Downside Capture Ratio6 vs. Value Benchmark5 94% / 90% —   —  

This is presented as supplemental information.

1 Cash & Other may include cash, treasuries, money market funds, and short duration fixed income funds

2 Source: FactSet.

3 Source: Morningstar Direct. Active share measures the difference between portfolio holdings and the benchmark. The higher the active share, the greater the difference.

4 The Russell Midcap Index is the core benchmark.

The Russell Midcap Value Index is the value benchmark.

Source: eVestment Analytics based on quarterly returns (gross of fees) from 1/1/14 – 6/30/17.

back to top