RMB Mendon Financial Long/Short Fund

 

PORTFOLIO MANAGER

Portfolio Manager, RMB Mendon Financial Services Fund and RMB Mendon Financial Long/Short Fund
Fact Sheet PDF
Holdings PDF
Commentary PDF
 

FUND FACTS

$247.1
Total Net Assets in Millions
(9/30/17)
Morningstar
Rating Overall
(198 funds in the long-short equity category based on risk-adjusted returns)
$2,500
Minimum Investment
Class A & C
2%
Redemption Charge

For each fund with at least a three­-year history, Morningstar calculates a Morningstar Rating™ based on a Morningstar Risk-­Adjusted Total Return measure that accounts for variation in a funds’ monthly performance (including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.) The Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its three-­, five­-, and ten-year (if applicable) Morningstar Rating metrics. The RMB Mendon Financial Long/Short Fund Class A was rated as of 9/30/17 against the following number of U.S. domiciled financial funds over the following time periods: 198 funds in the last three years, 93 funds in the last 5 years, and 27 funds in the last 10 years. With respect to these Long-Short Equity funds, RMB Mendon Financial Long/Short Fund Class A received a Morningstar rating of 5, 5, and 5 stars for the 3, 5, and 10 year periods, respectively. Past performance is no guarantee of future results.

RMBFX
Class A
74968B100
CUSIP
4/30/2004
Inception Date
2.11%
Expense Ratio
5/1/17
5.00%
Maximum Sales Charge
RMBCX
Class C
74968B209
CUSIP
4/30/2004
Inception Date
2.81%
Expense Ratio
5/1/17
1.00%
Maximum Sales Charge
RMBIX
Class I
74968B308
CUSIP
8/19/2015
Inception Date
1.82%
Expense Ratio
5/1/17
No Sales Charge
 

PHILOSOPHY

Investment Philosophy
The RMB Mendon Financial Long/Short Fund seeks capital appreciation. The Fund pursues its goal by investing at least 80% of its net assets (including borrowing, if any) in the common stocks of U.S. companies of any market capitalization that are in the financial services sector. The portion invested in small, medium, or large companies is expected to vary over time based on the sub-advisor’s view as to how to achieve the fund’s objective. The Fund is non-diversified.

Investment Approach

  • Seek companies with strong management, sound financial practices, and a defensible business niche
  • Focus on firms with sustainable growth in earnings, revenue, and cash flow
  • Identify undervalued equities that are temporarily distressed and have M&A potential
  • May “short” up to 25% of net assets
  • May use futures, options, and derivatives to hedge positions
 

PROCESS

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PERFORMANCE

RMB Mendon Financial Long/Short Fund
Quarter1 Year3 Year5 Year10 YearSince Inception**
As of 9/30/2017
Class A
RMBFX
4/30/2004 Inception
NAV1.59%12.05%10.46%12.27%7.92%9.11%
SEC Return*-3.51%6.47%8.59%11.12%7.37%8.70%
KBW Bank Index TR4.40%42.95%13.91%17.29%1.59%2.84%
Class C
RMBCX
4/30/2004 Inception
NAV1.40%11.27%9.68%11.47%7.16%8.35%
SEC Return*0.40%10.27%9.68%11.47%7.16%8.35%
KBW Bank Index TR4.40%42.95%13.91%17.29%1.59%2.84%
Class I
RMBIX
8/19/2015 Inception
NAV1.69%12.43%
5.96%
KBW Bank Index TR4.40%42.95%
14.84%

The performance data quoted represents past performance and is not a guarantee of future results. The investment return and principal value of an investment will fluctuate, so that those shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the data quoted due to market volatility. To obtain performance as of the most recent month end, please call 1-800-462-2392.

 

HOLDINGS

Top Ten Holdings
As of 10/31/17
Pinnacle Financial Partners 9.27%
Park Sterling Corporation 6.59%
Triumph Bancorp, Inc. 6.53%
Opus BK Irvine Calif 5.41%
First Foundation, Inc. 5.24%
Bank of America 5.04%
Atlantic Capital Bancshares, Inc. 3.97%
Live Oak Bancshares 3.84%
Seacoast Bkg Corp FL 3.78%
IberiaBank Corp 3.77%
Holdings Statistics
As of 10/31/17
45
Total Number of Holdings
53.44%
% Assets in
Top 10 Holdings
85.03%
Turnover Ratio
 

FUND MATERIALS

Commentary

As of 10/31/17
Download

Holdings

As of 9/30/17
Download

Fact Sheet

As of 9/30/17
Download

Semiannual Report

As of 6/30/17
Download

Semiannual Letter

As of 6/30/17
Download

Prospectus

5/1/17 as Supplemented 7/31/17
Download

Summary Prospectus

As of 5/1/17
Download

Statement of Additional Information (SAI)

As of 5/1/17
Download

Annual Report

As of 12/31/16
Download

Annual Letter

As of 12/31/16
Download

* SEC return includes maximum sales charges and all expenses.

© 2017 Morningstar, Inc. All Rights Reserved. The information contained herein: 1) is proprietary to Morningstar and/or its content providers; 2) may not be copied or distributed; and 3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. The Morningstar style Box™ reveals a fund’s investment strategy. For equity funds, the vertical axis shows the market capitalization of the long stocks owned and the horizontal axis shows investment style (value, blend or growth).

The Funds’ investment adviser, RMB Capital Management, LLC, has adopted a contractual expense limitation agreement for each fund through May 1, 2018, reducing the applicable fund’s operating expenses so that the fund’s total return and yield is increased. This may be continued from year to year thereafter if agreed upon by all parties. In the absence of such waivers and/or reimbursements, the applicable Fund’s total return and yield would be lower.

All investing involves risk including the possible loss of principal. The RMB Mendon Financial Long/Short Fund is a sector fund. These types of funds may be susceptible to factors affecting their industries, and the fund’s net asset values may fluctuate more than a fund that invests in a wider range of industries. Because this fund concentrates its investments in one sector of the economy (financial services) and it invests in derivative securities (currently RMB Mendon Financial Long/Short Fund engages in short sales of equities), investors should consider the risk that the fund may experience greater volatility than funds that invest across several sectors.

Different classes of shares carry different fees and expenses. The RMB Mendon Financial Long/Short Fund currently offers three classes (A, C and I shares). Class A has a maximum front-end sales charge of 5.0%, Class C has a maximum contingent deferred sales charge of 1.0%, and Class I has waived load with $100,000 minimum investment. Class A sales charges are waived for clients of investment intermediaries, or for those who purchase shares via no-transaction fee platforms. Each share class charges a 2.00% short-term redemption fee on proceeds from shares redeemed (either by selling or exchanging into another fund) within 30 days after purchase.

Index Definition

  • The KBW Bank Index is an unmanaged index comprised of 24 geographically diverse stocks representing national money center banks and leading regional institutions. The index includes dividends reinvested.

An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.