Small Cap Equity Fund
Carrying the highest degree of risk of any of United Church Funds’ domestic funds, the Small Cap Equity Fund invests primarily in a diversified portfolio of US small capitalization stocks — typically with a weighted average market capitalization under $1.5 billion.
Three organizations manage portions of the Small Cap Equity Fund on behalf of UCF —
Dimensional Fund Advisors
The US small cap value portfolio managed by DFA
seeks to purchase a broad and diverse group of the common stock of US small cap companies perceived to be value stocks at the time of purchase — companies with market capitalizations within the smallest 10% of the market universe, or smaller than the 1,000th largest US company. After identifying the aggregate market capitalization break, DFA applies a value screen to the universe — securities are considered value stocks primarily because a company’s shares have a high book value in relation to their market value. Launched in 1981, DFA currently manages over $235 billion in various strategies based on the seminal research by noted professors Eugene Fama and Kenneth French.
Fiduciary Management, Inc.
Fiduciary Managment, Inc. (FMI)
manages a US large cap portfolio for UCF, employing equity investing strategies, with a focused value approach firmly rooted in fundamental research. Founded in 1980, FMI manages over $15 billion in assets for domestic and international institutions, individual investors and Registered Investment Advisors. FMI also manages a US small cap portfolio for the UCF, utilizing the same disciplined, fundamentally-based approach.
Westfield Capital Management
manages a US small cap growth portfolio, utilizing a team approach to stock analysis based on in-depth, fundamental investing. With a focus on domestic growth equities, Westfield seeks high earnings growth companies trading at reasonable price-earnings ratios and valuations. Founded in 1989, Westfield is located in Boston and manages over $14 billion.