West Loop Realty Fund
The Fund's investment objective is to achieve current income and long-term growth of capital.
The Fund seeks to achieve its investment objective by investing in equity Real Estate Investment Trusts (REITs) and other real estate related entities. Under normal market conditions, the Fund will pursue its investment objective by investing at least 80% of its net assets (plus any borrowings for investment purposes) in income-producing equity securities, including common stocks, preferred stocks, convertible securities, rights, and warrants, of publicly traded companies participating in the real estate sector, such as Real Estate Investment Trusts (“REITs”).
The Fund is structured to provide investors with:
• A focused portfolio, under normal market conditions, of approximately 20 to 30 investments in REITs and other companies participating in the real estate sector, diversified by property type, geographic location and issuer strategy, in an attempt to maximize risk-adjusted returns. The Fund’s portfolio companies may be of any size market capitalization, including small- and mid-capitalization companies. The Fund’s strategy is long only.
• Access to Experienced professional REIT investment team with extensive knowledge and industry contacts with property management teams.
• Access to a unique approach that allocates across three sub-strategies:
Bruce G. Garrison and Matthew R. Werner are the lead portfolio managers for the Fund.
Bruce G. Garrison, CFA: Bruce manages public equity REIT portfolios for clients at Chilton Capital Management, LLC, the Fund's Sub-advisor. Prior to Chilton, he served as a Director in the Investments Group at Salient Partners, compiling an 11-year track record managing REIT portfolios. Bruce began his career as a REIT analyst in 1972 with Morgan Guaranty Trust in New York. His career on the sell side culminated in him becoming Managing Director with a leading investment bank in New York, where he participated in over $4 billion of financings (primarily equity) involving REITs. Bruce is a member and former governor of the National Association of Real Estate Investment Trusts (NAREIT). Bruce received his B.B.A. and M.B.A. from the University of Texas at Austin. Bruce is a CFA charter holder, a member of the CFA Institute, and the CFA Society of Houston.
Matthew R. Werner, CFA: Mr. Werner is an analyst and portfolio manager for the firm’s REIT strategy. Prior to joining CCM in 2011, he served as Associate in the Investments Group at Salient Partners. Mr. Werner has a B.S. (Honors) from Boston College, Carroll School of Management. He is a CFA charter holder and member of the CFA Institute and the CFA Society of Houston and a member of the National Association of Real Estate Investment Trusts (NAREIT).
Effective September 30, 2014, the Fund changed its fund name from “Chilton Realty Income & Growth Fund” to “West Loop Realty Fund.” Chilton Capital Management, LLC remains as the Fund’s sub-advisor. The Fund’s investment objective, principal investment strategies and principal risks remain the same.
The Fund’s Statement of Additional Information (SAI) provides additional information about each portfolio manager’s method of compensation, other accounts managed by the portfolio managers and the portfolio managers’ ownership of securities in the Fund.
Investors should consider the Fund’s investment objective, risks, charges and expenses carefully before investing. The prospectus, which contains this and other information about the Fund should be read carefully before investing. A copy of the prospectus may be obtained by calling (800) 207-7108.
RISKS AND OTHER DISCLOSURES:
An investment in the West Loop Realty Fund is subject to risk, including the possible loss of principal amount invested and including, but not limited to, the following risks, which are more fully described in the prospectus:
• The Fund invests in Real Estate Investment Trusts (REITs), which involve additional risks compared to those from investments in common stock. REITs are dependent upon management skills; generally may not be diversified; and are subject to heavy cash flow dependency, defaults by borrowers, self-liquidation, and tax risks.
• Investments in REITs involve risks including, but not limited to, market risk, interest rate risk, equity risk and risks related to the real estate market.
• The Fund will be closely linked to the performance of the real estate markets. The Real Estate industry is subject to certain market risks such factors as property revaluations, interest rate fluctuations, rental rate fluctuations and operating expenses, increasing vacancies, rising construction costs and potential modifications to government regulations.
• REITs are subject to declines in the value of real estate risks related to general and local economic conditions and decreases in property revenues. Continued disruptions in the financial markets and deteriorating economic conditions could adversely affect the value of the Fund’s investments.
• As a non-diversified fund, the Fund may focus its assets in the securities of fewer issuers, which exposes the Fund to greater market risk than if its assets were diversified among a greater number of issuers.
• The Fund’s investments will be concentrated in the real estate sector. The focus of the Fund’s portfolio on a specific sector may present more risks than if the portfolio were broadly diversified over numerous sectors.
• Foreign investment risk. These risks include currency fluctuations, economic or financial instability, lack of timely or reliable financial information or unfavorable political or legal developments. Foreign companies are generally subject to different legal and accounting standards than U.S. companies.
• The Fund invests in small and mid-cap real estate companies, which may involve less trading and, therefore, a larger impact on a stock’s price than customarily associated with larger, more established company stocks.
• The Fund is newly organized and has no operating history. As a result, prospective investors have no track record or history on which to base their investment decisions.
• In order to qualify for the favorable tax treatment generally available to regulated investment companies, the Fund must satisfy certain diversification requirements. The Fund’s strategy of investing in a relatively small number of securities may cause it inadvertently to fail to satisfy the diversification requirements. If the Fund were to fail to qualify as a regulated investment company, it would be taxed in the same manner as an ordinary corporation, and distributions to its shareholders would not be deductible by the Fund in computing its taxable income.
Distributed by Foreside Fund Services, LLC.
Companies with superior balance sheets, established track records, and moderate growth
Companies with moderate operating leverage, established track records, and high growth, both internal and external
Companies with high operating leverage, less established track records, and high growth, both internal and external
Quarterly Fact Sheet
July 23, 2014 (Asset TV) - Portfolio Manager, Matt Werner, speaks with Asset TV regarding Real Estate Investment Trusts (REITs) including the effects of Mergers and Acquisitions (M&As)
Role of Active REIT Managers in Investor Portfolios
Role of REITs