Eventide Gilead Fund Announces Results at March 31, 2010
BOSTON, MA–(Marketwire – 04/19/10) – The Eventide Gilead Fund (NASDAQ:ETGLX – News), a mutual fund practicing values-based and socially responsible investing, achieved a one-year performance return of 49.44% for its retail class shares compared with the S&P 500 Index return of 49.77% for the period from April 1, 2009 through March 31, 2010. Since inception on July 8, 2008, the Fund reported a total annualized return of 10.97% compared with a -2.49% total annualized return for the S&P 500.
“Consistent with our long-term approach to investing, we were pleased with the Fund’s ability to generate strong performance even as the overall market registered dramatic gains during the past year,” said Robin John, co-founder of the Gilead Fund. “As the significant rally began, our Fund, which had not suffered the same dramatic declines as the market, was well-positioned to participate in selective opportunities while maintaining a low risk and volatility profile.”
Utilizing a unique five-pillar strategy that combines quantitative analytics with intensive research and qualitative assessments, the Gilead Fund is designed to capitalize on opportunities in both bull and bear markets. A critical component of the Fund’s values-based investing process is to select companies that operate with integrity and with a commitment to benefiting employees, shareholders and society. The Fund focuses on investing opportunities correlated to specific company or sector trends, rather than general market trends.
David Barksdale, co-portfolio manager, commented: “Overall market improvements during the past year have been heavily influenced by large-cap financial stocks. However, we avoided this sector because our analysis indicates numerous issues related to asset quality and capital strength remain unresolved. We did identify a number of opportunities we believe can generate excellent long-term performance, and have also established some hedges to mitigate potential market volatility. There continues to be a great deal of economic uncertainty.”
The Eventide Gilead Fund uses an investment process developed by portfolio manager Finny Kuruvilla MD, PhD that uses multi-dimensional analytics with a goal of high returns relative to the market and low volatility. Hallmarks of the fund’s investment process include dynamic fundamental analysis, proprietary technical models, Capital Asset Pricing Model risk management, values-based screens and the ‘Masters Select’ strategy which utilizes a collective intelligence of today’s top performing fund managers and research analysts.
One of the Fund’s positions is in Domtar Corporation, which produces paper and wood-related products. With low inventory levels and strong cash generation, the company has recently traded at a one-year high, nearly seven times greater than Spring 2009 levels. Equally important, Gilead’s managers note the company’s strong commitment to sustainability and environmental responsibility.
“The company has proven a paper manufacturer can perform well while respecting the environment,” explained Dr. Kuruvilla. “Domtar’s commitment to using renewable energy sources, minimizing its carbon footprint, nurturing renewable resources and supporting recycling is a perfect fit to our values-based investing strategy. The company’s ability to differentiate itself and demonstrate a high level of leadership is an excellent example of the type of investment we want in the Eventide Gilead Fund.”
Another example of the Fund’s belief that values-based investing can also be smart investing is Summer Infant, Inc., the Fund’s top equity holding as of March 31, 2010. The company designs, markets and distributes products for children under three years old. Kuruvilla notes the company has demonstrated strong revenue and profit gains with minimal product safety issues and a strong commitment to environmentally responsible reusable, recyclable and low-impact disposable products.
“In addition to its focus on quality, safety and sustainability, the company boasts a great management team with modest compensation and a strong alignment with employee welfare and shareholder value,” said Kuruvilla. “We believe it’s a relatively undiscovered gem with significant long-term potential for doing good and building shareholder value.”
The S&P 500 is an index created by Standard & Poor’s and is considered to represent the performance of the stock market generally. It is not an investment product available for purchase. Domtar Corporation comprised 2.41% of the Fund’s net assets and Summer Infant, Inc. comprised 4.08% of net assets portfolio as of March 31, 2010. Portfolio holdings are subject to change.
Performance is historic and does not guarantee future results. Investment return and principal value will fluctuate with changing market conditions so that when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. To obtain the most recent month end performance information or the fund’s prospectus please call the fund, toll free at 1.877.453.7877. You can also obtain a prospectus at www.eventidefunds.com
An investor should consider the Fund’s investment objectives, risks, charges and expenses carefully before investing or sending money. This and other important information about the Eventide Gilead Fund can be found in the Fund’s prospectus. Please read the prospectus carefully before investing. The Fund is distributed by Matrix Capital Group, Inc., New York, NY 10017.
The Eventide Gilead Fund
Media: Cindy Martin
Capital Insight Partners
News › Eventide Gilead Fund Announces Results at March 31, 2010
Mutual funds involve risk including the possible loss of principal. Past performance does not guarantee future results. The Funds’ ethical values screening criteria could cause them to under-perform similar funds that do not have such screening criteria.
This information is for use with concurrent or prior delivery of a fund prospectus, which can be obtained at https://www.eventidefunds.com/prospectus or by calling 1-877-771-EVEN (3836). Investors should consider a fund’s investment objectives, risks, charges and expenses carefully before investing or sending money. Eventide Mutual Funds are distributed by Northern Lights Distributors, LLC, Member FINRA/SIPC, which is not affiliated with Eventide Asset Management, LLC.