(PUB) Investing 2016

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23 Morningstar FundInvestor July 2016
Data through June 30, 2016 FINRA members: For internal or institutional use only.
Polen Growth Investor Ticker
POLRX
Yield
0.0%
Total Assets
$1,137 mil
Mstar Category
Large Growth
Benchmark 1: Russell 1000 Growth TR USD
Benchmark 2: S&P 500 TR USD
Morningstar Analyst Rating 06-10-16
´
Morningstar Pillars
Process ∞ Positive
Performance ∞ Positive
People ∞ Positive
Parent ¶ Neutral
Price § Negative
Morningstar Analyst Rating
Morningstar evaluates mutual funds based on five key pillars, which its
analysts believe lead to funds that are more likely to outperform over the
long term on a risk-adjusted basis.
Analyst Rating Spectrum
Œ „ ´ ‰ Á
Pillar Spectrum
∞ Positive § Negative ¶ Neutral
10.0
12.0
14.0
16.0
18.0
20.0
Historical Profile
Return
Risk
Rating
Above Avg
Low
QQQQ
Above Avg
7 7 7 7 7 7 7 Investment Style
Equity
Growth of $10,000
Investment Values of
Fund
Investment Values of
Benchmark 1
& ) ) & & ( Performance Quartile
(within Category)
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 06-16 History
. . . . 11.39 12.09 13.38 16.13 17.46 19.14 18.54 NAV
. . . . . 6.15 11.14 22.16 15.97 14.35 -3.13 Total Return %
. . . . . 3.51 -4.12 -11.32 2.92 8.68 -4.50 +/- Bmark 1
. . . . . 4.04 -4.87 -10.23 2.28 12.97 -6.97 +/- Bmark 2
. . . . . 0.00 0.00 0.06 0.00 0.00 0.00 Income Return %
. . . . . 6.15 11.14 22.10 15.97 14.35 -3.13 Capital Return %
. . . . . 2 89 98 3 1 63 Total Rtn % Rank Cat
. . . . . 0.00 0.00 0.01 0.00 0.00 0.00 Income $
. . . . . 0.00 0.06 0.20 1.25 0.83 0.00 Capital Gains $
. . . . . 6.35 1.74 1.51 1.52 1.50 . Expense Ratio %
. . . . . -0.50 -0.26 -0.01 -0.08 -0.14 . Income Ratio %
. . . . . 23 35 51 40 33 . Turnover Rate %
. . . . 0 46 106 82 30 111 135 Net Assets $mil
Performance 06-30-16
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Total
2012 15.80 -7.29 5.01 -1.42 11.14
2013 5.90 -2.47 6.30 11.27 22.16
2014 0.25 3.83 1.49 9.78 15.97
2015 3.38 2.05 0.65 7.69 14.35
2016 -0.16 -2.98 — — —
Trailing Total
Return%
+/- Bmark
1
+/- Bmark
2
%Rank
Cat
Growth of
$10,000
3 Mo -2.98 -3.59 -5.44 98 9,702
6 Mo -3.13 -4.49 -6.97 63 9,687
1 Yr 4.99 1.97 1.00 3 10,499
3 Yr Avg 14.96 1.89 3.30 2 15,193
5 Yr Avg 11.75 -0.60 -0.35 15 17,427
10 Yr Avg — — — — —
15 Yr Avg — — — — —
Tax Analysis Tax Adj Rtn% %Rank Cat Tax-Cost Rat %Rank Cat
3 Yr (estimated) 13.69 1 1.11 27
5 Yr (estimated) 10.97 9 0.70 24
10 Yr (estimated) — — — —
Potential Capital Gain Exposure: 8% of assets
Rating and Risk
Time
Period
Load-Adj
Return %
Morningstar
Rtn vs Cat
Morningstar
Risk vs Cat
Morningstar
Risk-Adj Rating
1 Yr 4.99
3 Yr 14.96 High -Avg QQQQQ
5 Yr 11.75 +Avg Low QQQQ
10 Yr — — — —
Incept 11.76
Other Measures Standard Index Best Fit Index
Alpha 4.0 3.0
Beta 0.91 0.84
R-Squared 79 87
Standard Deviation 11.55
Mean 14.96
Sharpe Ratio 1.26
Portfolio Analysis 03-31-16
Total Stocks: 22
Share change since 12-31-15 Sector YTD Ret % % Assets
TVisa Inc Class A Finan Svcs -4.00 7.28
TNike Inc B Cnsmr Cyc -11.17 6.91
TAlphabet Inc C Technology — 6.25
TStarbucks Corp Cnsmr Cyc -4.18 6.14
TTJX Companies Inc Cnsmr Cyc 9.58 5.15
TThe Priceline Group Inc Cnsmr Cyc -2.08 5.11
TAccenture PLC A Technology 9.46 5.03
TOracle Corp Technology 12.87 4.77
TAutomatic Data Processing Industrl 9.69 4.65
TAlphabet Inc A Technology -9.57 4.33
TAdobe Systems Inc Technology 1.97 4.28
TNestle SA ADR Cnsmr Def — 4.22
TFastenal Co Industrl 10.22 4.15
TO'Reilly Automotive Inc Cnsmr Cyc 6.98 4.05
TCelgene Corp Hlth Care -17.64 3.95
TFacebook Inc A Technology 9.19 3.86
TApple Inc Technology -8.14 3.73
YBny Mellon Cash Reserve E — — 3.36
TRegeneron Pharmaceuticals Hlth Care -35.67 3.32
TGartner Inc A Technology 7.40 3.23
Current Investment Style
Large Mid Small
Value Blend Growth Market Cap %
Giant 52.3
Large 37.9
Mid 9.8
Small 0.0
Micro 0.0
Avg $mil:
81,894
Value Measures Rel Category
Price/Earnings 25.65 1.15
Price/Book 6.09 1.62
Price/Sales 4.02 1.74
Price/Cash Flow 16.63 1.36
Dividend Yield % 1.02 0.75
Growth Measures % Rel Category
Long-Term Erngs 13.20 1.10
Book Value 7.37 0.96
Sales 7.53 1.04
Cash Flow 13.38 1.13
Historical Erngs 15.54 1.27
Profitability %
Return on Equity 30.90
Return on Assets 13.84
Net Margin 19.08
Sector
Weightings
% of
Stocks
Rel
Bmark 1
h Cyclical 37.93 1.31
r BasicMat 0.00 0.00
t CnsmrCyc 28.42 1.52
y FinanSvcs 9.51 1.95
u Real Est 0.00 0.00
j Sensitive 46.00 1.08
i CommSrvs 0.00 0.00
o Energy 0.00 0.00
p Industrl 9.14 0.71
a Technlgy 36.86 1.48
k Defensive 16.06 0.57
s CnsmrDef 4.38 0.42
d Hlthcare 11.68 0.66
f Utilities 0.00 0.00
Composition - Net
Cash 3.8
Stocks 96.2
Bonds 0.0
Other 0.0
Foreign 4.4
(% of Stock)
Morningstar's Take by Andrew Daniels 06-10-16
Polen Growth's disciplined process and solid team have
contributed to superior performance over the long term.
The fund's high fees are its weakness, but it still earns a
Morningstar Analyst Rating of Bronze.
The fund's inception was in 2010, but the firm has
successfully run this strategy as a separate account--
Polen Focus Growth--since 1989. Since then through
March 2016, the separate account produced an
annualized gross return of 14.5%, trouncing the Russell
1000 Growth Index's 9.8% return. The separate account
is also solid on the downside, losing considerably less
than the Russell 1000 Growth in the 2000-02 dot-com
bust and the 2008 financial crisis. The mutual fund has
also posted impressive results. During the trailing five-
years ended May 2016, the fund has outperformed 93%
of its large-growth peers. Its Sharpe ratio--a measure of
risk-adjusted returns--also beats the benchmark's and
typical peer's.
Though firm founder David Polen was at the helm
from 1989 until his death in 2012, the firm had been
succession planning for years. It hired current
comanagers Damon Ficklin and Dan Davidowitz in 2003
and 2005, respectively. Both served as analysts and
comanagers alongside Polen, so the fund remains in good
hands.
Davidowitz and Ficklin continue to apply the same
process of identifying high-quality firms with strong
earnings potential, abundant free cash flow, low debt
levels, and high and sustainable returns on equity. The
managers typically won't own cyclical and capital-
intensive firms. The team dives deep into specific firms
by assessing industry dynamics, identifying competitive
advantages, meeting with company management and
stakeholders, and building free cash flow valuation
models.
The managers invest in firms across the growth
spectrum, so it can perform well in different market
environments. Though the bulk of assets are invested in
seculargrowers,theteamalso invests instable firmswith
underappreciated growth, durable growth firms for more
uncertain times, and firms with significant growth
potential in key assets. The resulting portfolio is
concentrated at approximately 20 stocks.
Address: FundVantage Trust (Polen) Minimum Purchase: $3000 Add: $100 IRA: $2000
WILMINGTON DE 19809 Min Auto Inv Plan: $2000 Add: $100
888-678-6024 Sales Fees: No-load, 2.00%R
Web Address: Management Fee: 1.00%
Inception: 12-30-10 Actual Fees: Mgt:1.00% Dist:0.25%
Advisor: Polen Capital Management, LLC Expense Projections: 3Yr:$450 5Yr:$795 10Yr:$1769
Subadvisor: None Income Distribution: Annually
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