The KAR Small Cap Focus Portfolio is a domestic small-cap focus 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
Primary Index: Russell 2000 Index
Inception Date: April 1, 2014
Holdings Range: 15-35
Sector Constraint: Seek broad diversification, but no sector constraints
Non-U.S. Holdings: Up to 20%
Portfolio Turnover: 25% – 45%
Top Five Holdings
Company |
Percent of equity (%) |
---|---|
Primerica | 9.5 |
Landstar System | 9.3 |
Toro | 8.5 |
Ryan Specialty Holdings | 6.8 |
Rightmove | 4.8 |
Total | 38.8 |
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® |
---|---|---|
Return on Equity-Past 5 Years | 25.6% | 8.8% |
Debt/EBITDA | 0.8x | 2.4x |
Earnings Variability-Past 10 Years | 45.1% | 78.8% |
Earnings Per Share Growth-Past 10 Years | 13.2% | 9.8% |
P/E Ratio-Trailing 12 Months | 28.2x | 40.4x |
$ Weighted Average Market Cap-3 Year Avg | $4.9 B | $3.2 B |
Historical Returns (Institutional)
Period | KAR Small Cap Focus (gross) |
KAR Small Cap Focus (net)‡ |
Russell 2000® Index |
---|---|---|---|
Annualized Returns (%)† As of March 31, 2025 | |||
1st Quarter | (7.54) | (7.73) | (9.48) |
1 Year | (0.30) | (1.10) | (4.01) |
3 Year | 6.57 | 5.72 | 0.52 |
5 Year | 13.17 | 12.28 | 13.27 |
7 Year | 10.46 | 9.59 | 5.41 |
10 Year | 13.47 | 12.57 | 6.30 |
Inception* | 12.88 | 11.99 | 6.47 |
Annual Returns (%) | |||
2024 | 13.85 | 12.95 | 11.54 |
2023 | 27.00 | 26.01 | 16.93 |
2022 | (15.96) | (16.64) | (20.44) |
2021 | 9.57 | 8.71 | 14.82 |
2020 | 24.69 | 23.71 | 19.96 |
2019 | 29.31 | 28.30 | 25.52 |
2018 | 7.47 | 6.62 | (11.01) |
2017 | 46.78 | 45.65 | 14.65 |
2016 | 20.21 | 19.26 | 21.31 |
2015 | (5.61) | (6.37) | (4.41) |
2014 | 6.73 | 6.10 | 3.73 |
Performance Statistics (Institutional)
Concept | KAR Small |
KAR Small |
Russell 2000® |
---|---|---|---|
Alpha | 7.27 | 6.42 | 0.00 |
Sharpe Ratio | 0.64 | 0.59 | 0.23 |
Information Ratio | 0.63 | 0.55 | N/A |
Beta | 0.74 | 0.74 | 1.00 |
Downside Capture | 63.26 | 64.57 | 100.00 |
Tracking Error | 10.13 | 10.13 | N/A |