Small-Cap Fundamental Value Fund

Shining sun behind green mountains
Fact Sheet

Investment approach

The fund uses a research-driven approach to invest primarily in U.S. equity securities of small-cap companies that the portfolio manager believes are mispriced relative to a fundamental assessment of their underlying value. The manager defines small-cap as having a market capitalization of less than $6 billion at time of purchase. The fund may invest up to 15% of its net assets in non-U.S. and emerging market securities, typically through sponsored American Depository Receipts (ADRs).

Fund profile

The fund is a concentrated portfolio of primarily domestic equities that the manager believes have a market price that does not necessarily equate to company value, and thus the manager seeks to capitalize on market inefficiencies that arise in the small-cap universe. The manager incorporates fundamental analysis and valuation discipline into selecting undervalued investments for the portfolio that focuses on out-of-favor or under-followed, cash-generating companies with sustainable business models, strong finances, competent management, and a demonstrable record of profitability and self-funded growth. The fund may also invest in cyclical companies or companies experiencing a temporary setback when the current company valuation represents an attractive discount to the company’s long-term earnings potential.

Portfolio Sector

(As of Mar 31, 2025)

Sector Fund Benchmark
Communication Services 7.8 3.2
Consumer Discretionary 10.1 8.7
Consumer Staples 4.6 2.5
Energy 6.6 6.9
Financials 31.8 30.7
Health Care 2.6 8.5
Industrials 9.7 12.3
Information Technology 7.6 6.0
Materials 7.8 3.9
Real Estate 5.7 11.4
Utilities 5.8 5.9
Source: U.S. Bank. Sector breakdown (excluding cash and equivalents)and Fund holdings(including cash and equivalents) are subject to change at anytime. The information provided in this material is not intended to be and should not be considered to be a recommendation or suggestion to engage in or refrain from a particular course of action or to make or hold a particular investment or pursue a particular investment strategy, including whether or not to buy, sell, or hold any of the securities mentioned. It should not be assumed that investments in such securities have been or will be profitable. Sectors are based on the Global Industry Classification Standard (GICS®) classification system.

Characteristics

(As of Mar 31, 2025)

Portfolio Attribute Fund Benchmark
Number of Holdings 66 1,427
Wtd. Avg. Market Capitalization ($B) 3.2 2.8
Earnings Growth 3-5 Yr. Est (%) 7.9 11.9
Price-to-Earnings Ratio (P/E, FY1) 12.5 12.3
Price-to-Earnings Ratio (P/E, FY2) 10.7 10.6
Source: Fund net assets provided by U.S. Bank and are as of the last day of the quarter and include all share classes. Characteristics exclude cash and equivalents and are derived from FactSet® and are applicable to the investor share class only. Performance figures and charts include the reinvestment of dividend and capital gain distributions. Returns would have been lower during the specified periods if the payment of certain fees by the Fund had not been waived or expenses reimbursed. Earnings growth 3-5 year estimate is not a measure of the Fund’s future performance.   Mutual fund investing involves risk. Principal loss is possible. Investments in foreign securities and ADRs entail certain risks not associated with investments in domestic securities, such as volatility of currency exchange rates, and in some cases, political and economic instability and relatively illiquid markets.  The Brown Advisory funds are distributed by ALPS Distributors, Inc. 1290 Broadway, Suite 1000, Denver, CO 80203. Brown Advisory Funds and ALPS are not affiliated.
Total assets under management value as of 03/31/2025. 
Sector allocations are subject to change and should not be considered a recommendation to buy or sell any security.
Click here for a current prospectus. Please read and consider it carefully before investing. You may obtain a hardcopy of the prospectus by calling 1-800-540-6807.
Click here for index and financial term definitions.

Average Annual Total Returns % (As of Mar 31, 2025)

Share Class Three Months One Year Three Year Five Year Ten Year Since Inception
Investor (BIAUX), Inception: 12/31/2008 -6.30 0.09 5.49 16.78 6.41 11.21
Russell 2000® Value Index -7.74 -3.12 0.05 15.31 6.07 9.42
Gross Expense Ratios: 0.95% (Institutional), 1.10% (Investor), 1.35% (Advisor).
Net Expense Ratios: 0.95% (Institutional), 1.10% (Investor), 1.35% (Advisor).
Returns greater than one year are annualized.
The benchmark index shown represents the Fund's performance benchmark index, which is different from the Fund's regulatory benchmark index. The Fund’s regulatory benchmark index is the Russell 1000® Index and it is included in the Fund's prospectus. The Fund’s prospectus can be obtained by contacting the Fund at 1-800 645-3923 or by visiting the Fund’s website.
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than original cost. For monthly and quarterly performance information, please call 1-800-540-6807.
Performance data does not reflect the 1.00% fee on shares redeemed or exchanged within 14 days of purchase, and if it had, returns would be lower.
 
 
Mutual fund investing involves risk. Principal loss is possible. Investments in foreign securities and ADRs entail certain risks not associated with investments in domestic securities, such as volatility of currency exchange rates, and in some cases, political and economic instability and relatively illiquid markets. 
The Brown Advisory funds are distributed by ALPS Distributors, Inc. 1290 Broadway, Suite 1000, Denver, CO 80203. Brown Advisory Funds and ALPS are not affiliated.
Total assets under management value as of 03/31/2025. 
Click here for a current prospectus. Please read and consider it carefully before investing. You may obtain a hardcopy of the prospectus by calling 1-800-540-6807.
Click here for index and financial term definitions.

Top Holdings

(As of Mar 31, 2025)

Name Percentage
Bancorp Inc/The 3.0
Nomad Foods Ltd 3.0
Eagle Materials Inc 2.9
Talen Energy Corp 2.8
NCR Atleos Corp 2.7
Eastern Bankshares Inc 2.6
Old National Bancorp/IN 2.3
OSI Systems Inc 2.2
Signet Jewelers Ltd 2.2
Hanover Insurance Group Inc/The 2.2
Total % of Net Assets 26.1
Mutual fund investing involves risk. Principal loss is possible. Investments in smaller capitalization companies generally carry greater risk than is customarily associated with larger narrower markets, limited financial resources and less liquid stock. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. Investments in lower-rated and non-rated securities present a greater risk of loss to principal and interest than higher-rated securities. Investments in foreign securities and ADRs entail certain risks not associated with investments in domestic securities, such as volatility of currency exchange rates, and in some cases, political and economic instability and relatively illiquid markets. These risks are greater in emerging markets. In addition, the fund is susceptible to risks from investments in ETFs, REITs, derivatives and private placements.
©2025 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (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 results. 
The Morningstar Rating™ is a trademark of Morningstar, Inc. Morningstar Rating™ is for the Investor share class only; other classes may have different performance characteristics. “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. 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 10-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/20% 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.” Morningstar Rankings represent a fund’s total-return percentile rank relative to all funds that have the same Morningstar Category. The highest percentile rank is 1 and the lowest is 100. It is based on Morningstar total return, which includes both income and capital gains or losses and is not adjusted for sales charges or redemption fees. Brown Advisory Small-Cap Growth Fund was rated against U.S. domiciled Small Growth funds over the following time periods: 582 funds in the last three years, 559 in the last five years, and 399 in the last ten years for the period ending 03/31/2025. With respect to these Small Growth funds, Brown Advisory Small-Cap Growth Fund received a Morningstar Rating of 5 stars, 4 stars and 3 stars for the three-, five- and ten-year period, respectively. The Morningstar category represents a universe of open-end U.S. funds with similar objectives.
Total assets under management value as of 03/31/2025. Fund holdings includes Cash and Equivalents which was 4.5% as of 03/31/2025 and is provided as supplemental information. 
Inception date for Investor share class.
The Brown Advisory funds are distributed by ALPS Distributors, Inc. 1290 Broadway, Suite 1000, Denver, CO 80203. Brown Advisory Funds and ALPS are not affiliated.
The minimum investment requirements are waived for qualified retirement plans under Section 401(a) of the Internal Revenue Code (\"IRC\"), and plans operating consistent with 403(a), 403(b), 408, 408(A), 457, 501(c) and 223(d) of the IRC.
Estimated EPS Growth Rate is not a measure of the fund's future performance.
Fund holdings are subject to change and should not be considered a recommendation to buy or sell any security.
Click here for a current prospectus. Please read and consider it carefully before investing. You may obtain a hardcopy of the prospectus by calling 1-800-540-6807.
Click here for index and financial term definitions.