Small Cap Diversified Value Fund (HWVIX)


The performance data quoted represents past performance and does not guarantee future results. Current performance may be lower or higher. Investment return and principal value of the fund will fluctuate, and shares may be worth more or less than their original cost when redeemed. Click quarter-end or month-end to obtain the most recent fund performance.

Strategy & Objective

The Fund seeks capital appreciation using a disciplined, value-oriented investment process. Through our consistent process and independent research, we own small cap companies that we believe are undervalued relative to their tangible assets, have sustainable cash flow and potential for improving business performance. The Fund is well diversified and seeks to own small U.S. based companies that offer the best combination of value and potential for price appreciation. The Fund typically holds 350-400 securities and generally invests in small companies with a market capitalization ranging from $100 million to $4 billion.

  • Employs timeless investing principles
  • Exploits excessive investor reaction often exhibited in the stocks of small size companies
  • Capitalizes on limited analyst coverage and the potential return opportunity of small companies

Read more about the small cap diversified value strategy

As of 10/31/2019
Ticker HWVIX
Cusip 44134R651
Open to New Investors Yes
Minimum Investment $250,000
Inception Date 06/30/2014
Net Expense Ratio* 0.80%
Gross Expense Ratio* 1.06%
Dividend Schedule Annual
Capital Gains Schedule Annual
Size of Fund (millions) $117
Size of Class (millions) $115

* As of 06/30/2019
As of 11/13/2019



Judd Peters, CFA
19 Years with H&W
22 Years of Experience

Ryan Thomes, CFA
11 Years with H&W
17 Years of Experience

Mr. Peters and Mr. Thomes coordinate the day-to-day management of the Small Cap Diversified Value Fund portfolio. They also represent the Small Cap Diversified Value Fund to current and prospective shareholders.

To view the full investment team, click here.  You will be leaving the mutual fund site and a separate browser window will open to the advisor site.

The Advisor has contractually agreed to waive fees through August 29, 2020.

You should consider the Hotchkis & Wiley Small Cap Diversified Value Fund's investment objectives, risks, and charges and expenses carefully before you invest. This and other important information is contained in the Fund's summary prospectus and prospectus, which can be obtained by calling 800-796-5606. Read carefully before you invest.

Mutual fund investing involves risk. Principal loss is possible.  Investing in smaller and/or newer companies involves greater risks than those associated with investing in larger companies, such as business risk, significant stock price fluctuations and illiquidity. The Fund may invest in foreign securities which involve greater volatility and political, economic and currency risks and differences in accounting methods.

Diversification does not assure a profit nor protect against loss in a declining market.

©2019 Morningstar, Inc. All Rights Reserved. The information contained herein (1) is proprietary to Morningstar (2) may not be copied or distributed and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future performance.

The Morningstar Style BoxTM reveals a fund’s investment strategy. For equity funds the vertical axis shows the market capitalization of the stocks owned and the horizontal axis shows investment style (value, blend or growth).

The Overall Morningstar Rating is based on risk adjusted returns, derived from a weighted average of the 3, 5, and 10 year (if applicable) Morningstar metrics. HWVIX received 5 stars for the three year period ended 9/30/17 among 336 Small Value Funds, respectively. Ratings for other share classes may differ. Morningstar Proprietary Ratings reflect risk-adjusted performance as of 9/30/17. The Morningstar Rating™ for funds, or “star rating”, is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history, without adjustment for sales loads. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product’s monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating™ for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and -year (if applicable) Morningstar Rating™ metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/2% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. Past performance is no guarantee of future results.

The Hotchkis & Wiley Funds are distributed by Quasar Distributors, LLC