Got U.S. Small Cap Exposure? Advisors Rush to Invest in Small Cap Funds Before They Close

FRANKLIN, Tenn., Aug. 16, 2013 /PRNewswire/ -- With interest rates at near all-time lows, the stock market making new highs, and a U.S. domestic economy on the mend, most financial advisors and investors have begun to realize that having exposure to U.S. equity strategies investing in small capitalization companies can generate substantial returns over the long run.  "In my opinion," states Satuit's CIO Robert Sullivan, "equity investors should build their exposure around smaller capitalization strategies, especially now with the U.S. economy stabilizing.  The more exposure a company has to the U.S. economy, the better. The more exposure an investor has to companies with exposure to the U.S. economy, the better." The problem that investors are faced with however is the lack of capacity in those strategies.

Over the last year, approximately 80 U.S. domestic focused small cap and mid cap mutual fund equity strategies have closed to new investors. While 80 funds may not seem like a lot of funds, Mr. Sullivan points out that the remaining strategies are "at or near capacity. Given the move higher in equities this year, more of these strategies could very well be closing before the end of the year."

Satuit's three U.S. domestic focused equity strategies, Satuit Capital U.S. Emerging Companies Fund (SATMX), Satuit Capital U.S. Small Cap Fund (SATSX) and Satuit Capital U.S. SMID Cap Fund (SATDX) "are focused on U.S. domestic equity securities," states Mr. Sullivan.  "Our flagship fund, SATMX, has a 13 year track record and consistently ranks as one of the better long term performing small cap growth strategies. The strategy has $190 million of assets.  We do not expect to close the fund till $750m of assets."

Satuit's two other offerings went effective April 1^st of this year.  SATSX focuses on U.S. small cap stocks while SATDX focuses on U.S. SMID cap stocks. "Both strategies have been funded by Satuit employees and have approximately $225,000 of assets in each strategy so we certainly are aligned with any shareholders who invest with us."  In terms of capacity, Mr. Sullivan notes that the funds SATSX and SATDX have $3Billion and $8Billion of capacity respectively. "We are a long way from being capacity constrained in any of our product offerings."

For a Prospectus or information about the Funds and SMA availability, please contact James Espinales, Director of National Accounts at 973-568-6799 or visit our web site www.satuitcapital.com

You should carefully consider the investment objectives, potential risks, management fees, and charges and expenses of the Funds before investing. The Funds' prospectus contains this and other information about the Funds, and should be read carefully before investing. You may obtain a current copy of the Funds' prospectus by also calling 1-866-972-8848 or by clicking on the tab entitled Prospectus at our web site, www.satuitcapital.com.

Past performance is no guarantee of future results. The investment return and principal value of an investment in the Funds will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance of the Funds may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by calling 1-866-972-8848. 

This presentation is based upon information available to the public and is intended for informational purposes only. Under no circumstances is it to be used as or considered as an offer to sell, or a solicitation of any offer to buy, any security mentioned in the article.

Funds whose investments are concentrated in a specific industry or in smaller capitalized companies may be subject to a higher degree of market risk than funds whose investments are diversified and may not be suitable for all investors. 

Funds distributed by Rafferty Capital Markets, LLC.

SOURCE Satuit Capital Management, LLC and Satuit Funds Management, LLC