Once seen as just a growth shop, Wasatch has clearly established a leadership role on the value side as well. It's great to pass our ten year mark for value investing, but far more rewarding to do so with such strong long-term results for our clients.
SALT LAKE CITY (PRWEB) January 8, 2008
"This is a major milestone for Wasatch" said Founder and Chairman Sam Stewart. "Once seen as just a growth shop, Wasatch has clearly established a leadership role on the value side as well. It's great to pass our ten year mark for value investing, but far more rewarding to do so with such strong long-term results for our clients."
When the Small Cap Value Fund was launched in 1997 Wasatch was in fact a growth shop. As such, the research team recognized a keen advantage in recognizing high quality growth companies that had hit a temporary setback (internally referred to as "Fallen Angels"). As Portfolio Manager Jim Larkins describes it "these companies no longer fit the profile for our growth funds, but we knew that the companies were trading at great values relative to their long-term potential." The Small Cap Value fund was created to capture this opportunity.
In typical Wasatch fashion, The Small Cap Value Fund is managed by a team of portfolio managers. Jim Larkins and John Mazanec are the lead managers of the Fund. Jim has managed the Fund since its inception, originally as a senior analyst and then becoming a portfolio manager in 1999. John was named as a co-portfolio manager in 2002.
Fifth Wasatch Equity Fund to Reach 10 Years - All in Top 10% of Their Peer Group
The Wasatch Small Cap Value Fund is the fifth Wasatch equity fund to pass the 10-year mark. All of the funds in this elite group rank in the Top 10% of their respective Morningstar categories for the ten year period ending 12/31/07.
"We could not have achieved these results on the Small Cap Value Fund without Wasatch's thorough and collaborative culture" said Mr. Larkins. "Knowing companies intimately and vetting value ideas with our internal growth team is invaluable in our stock selection."
The Impressive and Growing Wasatch Value Franchise
Following in the footstep of the Small Cap Value Fund, Wasatch launched a Micro Cap Value Fund (WAMVX) in 2003. This Fund will reach its 5th anniversary in July, and also finds itself near the top of its class - with a total return ranking in the Top 7% of the 671 funds in its Morningstar category of Small Growth for the three years ending 12/31/07. "We are thrilled to see our approach to value investing playing out across multiple funds" said Dr. Stewart.
Last August Wasatch launched its third value fund, the Wasatch Heritage Value Fund (WAHVX), applying the same value investing approach to mid and large cap companies. The lead portfolio manager on the Heritage Value Fund is Brian Bythrow, who is also a lead portfolio manager of the Micro Value Fund with John Malooly.
About Wasatch Advisors
Wasatch Advisors is the investment manager to Wasatch Funds(R), a family of no-load mutual funds, as well as separately managed institutional and individual portfolios. Wasatch Advisors pursues a disciplined approach to investing, focused on bottom-up, fundamental analysis to develop a deep understanding of the investment potential of individual companies. The Portfolio Managers employ a uniquely collaborative multiple eyes(TM) process to leverage the knowledge and skill of the entire Wasatch Advisors research team in making investment decisions. Founded in 1975 and headquartered in Salt Lake City, Wasatch Advisors has roughly $8 billion under management as of December 31, 2007.
Investing in small and micro cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds.
Being non-diversified, the Wasatch Heritage Value Fund can invest a larger portion of its assets in the stocks of a limited number of companies than a diversified fund. Non-diversification increases the risk of loss to the Fund if the values of these securities decline.
Investments in value stocks can perform differently from the market as a whole and other types of stocks and can continue to be undervalued by the market for long periods of time. Loss of principal is a risk of investing.
An investor should consider investment objectives, risks, charges and expenses carefully before investing. To obtain a prospectus, containing this and other information, visit http://www.wasatchfunds.com or call 800.551.1700. Please read it carefully before investing. Past performance is not a guarantee of future performance.