At the individual stock level, we search for events that suggest investor misbehavior.

Investors Make Mistakes.

We Look For Them.

There are two kinds of mistakes that produce buying opportunities: over-reaction and under-reaction.

 

Other investors may over-react to bad news and losses (e.g., panic). Or they may under-react to good news (e.g., not pay attention).

Over-reaction 

...to historical, negative information

Under-reaction

...to new, positive information

Mutual Funds

U.S. small-cap blend mutual fund seeks long-term capital appreciation with similar risk levels and characteristics to its benchmark, the Russell 2000® Index.

  • Seeks to capitalize on behavioral biases that may cause the market to over-react to old, negative information or under-react to new, positive information.

  • Looks for companies with one or both of:

    • significant insider buying or stock repurchases (over-reaction)

    • large earnings surprises (under-reaction)

  • Invests in domestic stocks with market capitalization similar to those included in the Russell 2000® Index

For more info click here

U.S. small-cap growth mutual fund seeks long-term capital appreciation with similar risk levels and characteristics to its benchmark, the Russell 2000® Growth Index.

For more info click here
  • Seeks to capitalize on behavioral biases that may cause the market to under-react to new, positive information.

  • Looks for companies with:

    • large earnings surprises (under-reaction)

  • Invests in domestic stocks with market capitalization similar to those in the Russell 2000® Index

U.S. mid-cap value mutual fund seeks long-term capital appreciation with similar risk levels and characteristics to its benchmark, the Russell MidCap® Value Index.

  • Seeks to capitalize on behavioral biases that may cause the market to over-react to old, negative information.

  • Looks for companies with: 

    • significant insider buying or stock repurchases (over-reaction)

  • Invests in domestic stocks with market capitalization similar to those included in the Russell MidCap® Value Index

For more info click here

U.S. mid-cap value mutual fund seeks long-term capital appreciation with similar risk levels and characteristics to its benchmark, the Russell MidCap® Index.

  • Seeks to capitalize on behavioral biases that may cause the market to over-react to old, negative information.

  • Looks for companies with: 

    • significant insider buying or stock repurchases (over-reaction)

  • Invests in domestic stocks with market capitalization similar to those included in the Russell MidCap® Index

For more info click here
Fuller & Thaler Behavioral Unconstrained Equity Fund
(FTZIX)*                    

U.S. all-cap mutual fund seeks long-term capital appreciation.

  • As an “unconstrained” fund, stock selection is driven primarily by long-term capital appreciation potential. 

  • Seeks to capitalize on behavioral biases that may cause the market to over-react to old, negative information or under-react to new, positive information. 

  • Looks for companies with:

    • significant insider buying or stock repurchases (over-reaction)

    • large earnings surprises (under-reaction)​

  • Invests in domestic stocks with market capitalization similar to those included in the Russell 3000® Index

Fuller & Thaler Behavioral Micro-Cap Equity Fund
(FTMSX)*

U.S. micro-cap mutual fund seeks long-term capital appreciation with similar risk levels and characteristics to its benchmark Russell Microcap® Index.

  • Microcap stocks are generally less liquid, leading to higher volatility and more room for potential investor error

  •  Looks for companies with:

    • significant insider buying or stock repurchases (over-reaction)

    • large earnings surprises (under-reaction)​

  • Invests in domestic stocks with market capitalization similar to those included in the Russell Microcap® Index

U.S. small-mid core mutual fund seeks long-term capital appreciation with similar risk levels and characteristics to its benchmark, the Russell 2500® Index.

  • Seeks to capitalize on behavioral biases that may cause the market to over-react to old, negative information or under-react to new, positive information. 

  •  Looks for companies with:

    • significant insider buying or stock repurchases (over-reaction)

    • large earnings surprises (under-reaction)​

  • Invests in domestic stocks with market capitalization similar to those included in the Russell 2500® Index

Collective Investment Trust Funds

Fuller & Thaler Small-Cap Core Equity Collective Trust**

U.S. small-cap blend Collective Investment Trust (CIT) seeks long-term capital appreciation with similar risk levels and characteristics to the Russell 2000® Index.

  • Seeks to capitalize on behavioral biases that may cause the market to over-react to old, negative information or under-react to new, positive information.

  • Looks for companies with either: 

    • significant insider buying or stock repurchases (over-reaction)

    • large earnings surprises (under-reaction)

  • Invests in domestic stocks with market capitalizations similar to those in the Russell 2000® Index

Sub-Advised Mutual Funds

Offered by JPMorgan Distribution Services, Inc.

The list includes the mutual fund and CIT clients of Fuller & Thaler. Fuller & Thaler did not use performance based criteria to determine which clients to include on the list. It is not known whether the listed clients approve or disapprove of Fuller & Thaler or the advisory services provided.

*Fuller & Thaler Asset Management is the advisor to the Fuller & Thaler Behavioral Small-Cap Equity Fund, the Fuller & Thaler Behavioral Small-Cap Growth Fund, the Fuller & Thaler Behavioral Mid-Cap Value Fund, the Fuller & Thaler Behavioral Unconstrained Equity Fund, the Fuller & Thaler Behavioral Small-Mid Core Equity Fund, and the Fuller & Thaler Behavioral Micro-Cap Equity Fund which are distributed by Unified Financial Securities, LLC (Member FINRA). Unified Financial Securities, LLC is not affiliated with JPMorgan Distribution Services, Inc.

Investors should consider the investment objectives, risks, and charges and expenses of a mutual fund carefully before investing. The prospectus contains this and other information about the fund and may be obtained by calling 888-912-4562. The prospectus should be read carefully before investing.

Mutual fund investing involves risk, including loss of principal.  There is no guarantee that this, or any, investment strategy will succeed; the strategy is not an indicator of future performance, and investment results may vary.  Diversification does not ensure a profit or guarantee against loss.  Small cap investing involves risks not associated with investing in more established companies, such as greater price volatility, business risk, less liquidity and increased competitive threat.

**The Fuller & Thaler Small-Cap Core Equity Collective Investment Trust is a collective investment fund sponsored by Comerica Bank & Trust, N.A. and sub-advised by Fuller & Thaler Asset Management, Inc.​

This website is directed only to US institutional investors. Fuller & Thaler may only transact its investment advisory business in states where it is notice-filed as an investment adviser or otherwise exempt from state requirements. The information on this website is neither an offer to sell nor a solicitation of an offer to buy any product or service in any jurisdiction where such offer, solicitation, purchase or sale would be unlawful. Nobel Prize is a trademark of the Nobel Foundation.

Copyright 2018 Fuller & Thaler. All rights reserved.

The Behavioral Edge

®

Fuller & Thaler Asset Management, Inc.

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