LSOFX: Investment Process
The LS Opportunity fund employs a traditional long/short, research-driven, bottom-up stock selection process whereby investment decisions are based upon extensive analysis of the business and financial fundamentals.
Quantitative analysis emphasizes company balance sheets, including reconciling a “GAAP” net worth and public market value to an intrinsic value or private market value (PMV). Upside opportunity focuses on generating excess cash (free cash flow yield), the ability to redeploy excess cash to enhance shareholder value, and good franchises undergoing significant positive change. On the short side, the strategy targets weak or deteriorating fundamentals, which, combined with unattractive valuations, indicate significant downside risk.
Qualitative analysis focuses on direct contact with target companies, the quality of management, promising products/services, existence of management incentives and a catalyst to improve shareholder performance.
There is no guarantee that this, or any, investing strategy will be successful.
Investment in shares of a long/short equity fund have the potential for significant risk and volatility. A short equity strategy can diminish returns in a rising market as well as having the potential for unlimited losses. These types of funds typically have a high portfolio turnover that could increase transaction costs and cause short-term capital gains to be realized.
You should carefully consider the investment objectives, potential risks, management fees, and charges and expenses of the Fund before investing. The Fund's prospectus contains this and other information about the Fund, and should be read carefully before investing. You may obtain a current copy of the Fund's prospectus by calling (877) 336-6763. The performance data quoted represents past performance; past performance does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
Fund is distributed by Unified Financial Securities, LLC, 9465 Counselor's Row, Suite 200, Indianapolis, IN 46240. (Member FINRA)
Diversification does not ensure a profit or guarantee against loss.
Long Short Advisors is registered as an investment adviser with the Securities and Exchange Commission.
Information contained on this website does not constitute an offer to sell, or a solicitation of an offer to buy shares of the Fund, nor shall any shares be offered or sold to any person in any jurisdiction in which such offer, solicitation, purchase, or sale would be unlawful under the securities laws of such jurisdiction.
This site also is not intended to provide specific individual advice including, without limitation, investment, financial, legal, accounting, or tax advice.