INVESTMENT OBJECTIVE
The Cardinal Small Cap Value Fund seeks to achieve long-term capital appreciation.
PHILOSOPHY/PROCESS
Cardinal uses a value investment strategy based on proprietary fundamental research. Value investing involves buying stocks that, in the view of Cardinal, are out of favor or undervalued relative to their peers. We emphasize companies with the ability to generate discretionary cash flow after spending what is required to maintain the business at its current level of revenue, and to redeploy such cash flow to enhance value.
We also look for the following characteristics:
- Stable and predictable business model
- Motivated and competent management
- Unduly depressed valuation
- Catalyst for positive market revaluation
In-house fundamental research is the centerpiece of our investment process. We focus on gathering information on companies that, in our view, are not well known to most institutional investors, by developing opinions on companies or businesses that are contrary to prevailing thinking, or by investigating corporate events that may signal a company’s undervaluation. Once investment opportunities are identified, we research prospective companies by analyzing regulatory financial disclosures, and by speaking with industry experts and company management. The purpose of this research is to gain an understanding of the company’s business model, competitive advantages and capital allocation discipline. The information gathered in the due diligence process is incorporated into a proprietary discounted cash flow model, which is used to guide our buy and sell prices for each company.
Performance
Net Of Fee Monthly Performance
Net Of Fee Quarterly Performance
Cardinal Capital Management, L.L.C. (the “Adviser”) has contractually agreed to reduce its fees and/ or reimburse expenses in order to keep Total Annual Fund Operating Expenses (excluding interest, taxes, brokerage commissions, Acquired Fund Fees and Expenses, other expenditures which are capitalized in accordance with generally accepted accounting principles and extraordinary expenses (collectively, “Excluded Expenses”)) from exceeding 0.99% of the Fund’s Institutional Class shares’ average daily net assets until February 28, 2024 (the “Contractual Expense Limit”). In addition, the Adviser may receive from the Fund the difference between the Total Annual Fund Operating Expenses (not including Excluded Expenses) and the Contractual Expense Limit to recoup all or a portion of its prior fee waivers or expense reimbursements made during the three-year period preceding the recoupment if at any point Total Annual Fund Operating Expenses (not including Excluded Expenses) are below the Contractual Expense Limit (i) at the time of the fee waiver and/or expense reimbursement and (ii) at the time of the recoupment. This Agreement may be terminated: (i) by the Board of Trustees (the “Board”) of The Advisors’ Inner Circle Fund II (the “Trust”), for any reason at any time, or (ii) by the Adviser, upon ninety (90) days’ prior written notice to the Trust, effective as of the close of business on February 28, 2024.
Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. Returns are shown net of fees and expenses and assume reinvestment of dividends and other income. The investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. For additional performance information, please call 1-844-CCM-SEIC (1-844-226-7342).