The KAR Small Cap Core Portfolio is a domestic small-cap portfolio that invests in high-quality companies purchased at attractive valuations. It is a high-conviction strategy that utilizes a bottom-up fundamental research approach to identify what we believe are the best companies at the most attractive prices within the high-quality universe.
Highlights
Asset Class: Small Cap Equity
Primary Index: Russell 2000 Index
Inception Date: April 1, 1992
Holdings Range: 20-40
Sector Constraint: Seek broad diversification, but no sector constraints
Non-U.S. Holdings: Up to 20%
Portfolio Turnover: 25% – 35%
Top Five Holdings
Company |
Percent of equity (%) |
---|---|
EMCOR Group | 10.0 |
Simpson Manufacturing | 7.6 |
FTI Consulting | 7.2 |
Primerica | 6.2 |
CorVel | 4.6 |
Total | 35.6 |
Sector Diversification
Holdings are subject to change. Holdings and weightings are based on a representative portfolio. Individual Investors’ holdings may differ slightly. The sector information represented above is based on GICS sector classifications. Data is obtained by FactSet Research Systems and is assumed to be reliable.
Portfolio Characteristics
Concept | KAR Small |
Russell 2000® |
---|---|---|
Quality | ||
Return on Equity-Past 5 Years | 24.0% | 9.8% |
Debt/EBITDA | 0.5x | 2.2x |
Earnings Variability-Past 10 Years | 30.1% | 83.6% |
Growth | ||
Earnings Per Share Growth-Past 10 Years | 14.0% | 10.9% |
Dividend Per Share Growth-Past 10 Years | 12.3% | 5.5% |
Capital Generation--[ROE x (1-Payout)] | 17.8% | 8.2% |
Value | ||
P/E Ratio-Trailing 12 Months | 24.8x | 36.1x |
Dividend Yield | 1.2% | 1.4% |
Free Cash Flow Yield* | 4.9% | 2.5% |
Market Characteristics | ||
$ Weighted Average Market Cap-3 Year Avg | $7.0 B | $3.2 B |
Largest Market Cap-3 Year Avg | $19.5 B | $18.8 B |
Historical Returns (Institutional)
Period | KAR Small Cap Core (gross) |
KAR Small Cap Core (net)‡ |
Russell 2000® Index |
---|---|---|---|
Annualized Returns (%)† As of June 30, 2024 | |||
2nd Quarter | (4.75) | (4.96) | (3.28) |
Year to Date | 3.16 | 2.70 | 1.73 |
1 Year | 17.82 | 16.78 | 10.06 |
3 Year | 10.23 | 9.24 | (2.58) |
5 Year | 14.98 | 13.96 | 6.94 |
7 Year | 17.41 | 16.37 | 6.85 |
10 Year | 16.30 | 15.27 | 7.00 |
Inception* | 13.85 | 12.84 | 8.91 |
Annual Returns (%) | |||
2023 | 33.95 | 32.77 | 16.93 |
2022 | (9.92) | (10.74) | (20.44) |
2021 | 19.24 | 18.18 | 14.82 |
2020 | 23.17 | 22.08 | 19.96 |
2019 | 40.88 | 39.65 | 25.52 |
2018 | (0.83) | (1.72) | (11.01) |
2017 | 36.61 | 35.42 | 14.65 |
2016 | 19.10 | 18.05 | 21.31 |
2015 | 2.37 | 1.45 | (4.41) |
2014 | 7.51 | 6.55 | 4.89 |
2013 | 30.10 | 28.96 | 38.82 |
2012 | 13.42 | 12.42 | 16.35 |
2011 | 10.14 | 9.16 | (4.18) |
2010 | 25.00 | 23.90 | 26.85 |
2009 | 32.09 | 30.93 | 27.17 |
2008 | (27.64) | (28.30) | (33.79) |
2007 | 3.16 | 2.24 | (1.57) |
2006 | 13.43 | 12.43 | 18.37 |
2005 | 7.78 | 6.82 | 4.55 |
2004 | 23.37 | 22.28 | 18.33 |
2003 | 34.34 | 33.17 | 47.25 |
2002 | (12.74) | (13.53) | (20.48) |
2001 | 6.16 | 5.21 | 2.49 |
2000 | 21.38 | 20.30 | (3.02) |
1999 | 6.09 | 5.15 | 21.26 |
1998 | 21.39 | 20.32 | (2.55) |
1997 | 20.82 | 19.76 | 22.36 |
1996 | 27.00 | 25.89 | 16.49 |
1995 | 17.47 | 16.43 | 28.45 |
1994 | 2.75 | 1.83 | (1.82) |
1993 | 20.00 | 18.94 | 18.88 |
1992|| | 9.65 | 8.92 | 10.16 |
Performance Statistics (Institutional)
Concept | KAR Small |
KAR Small |
Russell 2000® |
---|---|---|---|
Alpha | 6.36 | 5.41 | 0.00 |
Sharpe Ratio | 0.74 | 0.67 | 0.33 |
Information Ratio | 0.52 | 0.42 | N/A |
Beta | 0.70 | 0.70 | 1.00 |
Downside Capture | 56.54 | 58.11 | 100.00 |
Tracking Error | 9.43 | 9.43 | N/A |