Westcore Global Large-Cap Dividend Fund

Quantitative Equity

Style: World Stock Retail Class: WTMVX Institutional Class: WIMVX

Investment Strategy

The Westcore Global Large-Cap Dividend Fund invests primarily in large well-established, dividend-paying companies, both in the United States and in developed foreign markets.

We combine our proprietary quantitative screening and independent fundamental research to identify and thoroughly assess the ability of companies to pay and consistently grow their dividends. We build this portfolio of 25 to 30 stocks with an emphasis on achieving a balance between current yield, dividend-growth and capital preservation.

This Fund is available in both the retail and institutional class.

Management Team

We build this portfolio with the goal of helping investors preserve their capital while also growing income over time. – Alex A. Ruehle, CFA

Derek R. Anguilm, CFA

Derek R. Anguilm, CFA

Partner, Co-Director of Value Research, Portfolio Manager

Troy Dayton, CFA

Troy Dayton, CFA

Partner, Co-Director of Value Research, Portfolio Manager

Mark M. Adelmann, CFA, CPA

Mark M. Adelmann, CFA, CPA

Partner, Portfolio Manager, Analyst

Lisa Z. Ramirez, CFA

Lisa Z. Ramirez, CFA

Partner, Portfolio Manager, Analyst

Paul A. Kuppinger, CFA

Paul A. Kuppinger, CFA

Vice President, Portfolio Manager, Quantitative Analyst

Alex A. Ruehle, CFA

Alex A. Ruehle, CFA

Partner, Portfolio Manager, Analyst

Fund Information & Investment Minimums

Retail Class Institutional Class2
Ticker WTMVX WIMVX
CUSIP 957904881 957904527
Inception Date 6/1/1988 9/28/2007
Distribution Frequency Quarterly Quarterly
Minimum to open a new regular account: $2,500 $250,000
Minimum to open a new retirement, education1 or UGMA/UTMA account: $1,000 $250,000
Minimum to open an Automatic Investment Plan Account: $1,000 $250,000
Automatic Investments: $25/month per Fund -
Minimum to add to any type of account: $25 -
Retail Class
Ticker WTMVX
CUSIP 957904881
Inception Date 6/1/1988
Minimum to open a new regular account: $2,500
Minimum to open a new retirement, education1 or UGMA/UTMA account: $1,000
Minimum to open an Automatic Investment Plan Account: $1,000
Automatic Investments: $25/month per Fund
Minimum to add to any type of account: $25
Institutional Class2
Ticker WIMVX
CUSIP 957904527
Inception Date 9/28/2007
To open a new regular account: $250,000
To open a new retirement, education1 or UGMA/UTMA account: $250,000
To open an Automatic Investment Plan Account: $250,000
Formerly the Westcore Blue Chip Dividend Fund.
Investments in foreign companies are subject to special risks, including currency fluctuations, social, economic, and political uncertainties, which could increase volatility.
Dividends are not guaranteed. A company’s future abilities to pay dividends may be limited and a company may cease paying dividends at any time.

The risk profile spectrum provides an approximate illustration of the relative volatility of the Westcore Family of Funds determined by using each fund’s 5-year annualized standard deviation as of 3/31/17. If the fund’s retail class has less than five years of operations as of that date, the standard deviation of the fund’s Morningstar category is used instead. Standard deviation is a statistical measure of the historical volatility of a fund, which we believe can assist in classifying a fund within a risk spectrum. The placement on the risk spectrum (Low to High) is based on the comparison of each Fund’s standard deviation measure, as described above, in relation to the universe of funds with a 5-year standard deviation measure as obtained from a third-party fund database. We believe those measures are accurate but have not independently verified them. Please refer to the prospectus for each fund’s specific risks. Also a fund’s measure of volatility is subject to change without notice as market or economic conditions change, and such changes may include significant and nonrecurring volatility events. Historical volatility is not necessarily indicative of future volatility and there is no guarantee that in any time period any one fund will be more or less volatile than any other fund.

CFA is a trademark owned by CFA Institute.
Lisa Z. Ramirez, CFA is a registered representative of ALPS Distributors, Inc.
Please see the prospectus for more detailed information regarding investment minimums. The Funds reserve the right to change the amount of these minimums from time to time or to waive them in whole or in part, including the right to waive the Institutional Class minimums, if in the Advisor’s sole opinion, the investor has adequate intent and availability of assets to reach a future level of investment in the Fund that is equal to or greater than the minimum.
1 A description of the retirement and education accounts available for investment in the Westcore Funds may be found in the SAI for the Funds. Please call 800.392.CORE (2673) to request a free copy of the SAI or click here to download.
2 The minimum investment in the Institutional Class shares is $250,000. Investors generally may meet the minimum investment amount by aggregating multiple accounts with common ownership within the Fund. Common ownership includes individual and joint accounts as well as accounts where an investor has beneficial ownership through acting as a custodian for a minor account or as a beneficiary to a trust account. In addition, Institutional Class accounts offered through a financial intermediary may meet the $250,000 minimum investment amount by aggregating multiple accounts within the Fund, however each separate account must meet a minimum investment requirement of $10,000. Exceptions to the Institutional Class minimums may apply for qualified requirement plans and other account types with lower or no networking and/or omnibus fees charged to the Funds.
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 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.
© 2017 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.

Investment Team

Derek R. Anguilm, CFA
Derek R. Anguilm, CFA

Partner, Co-Director of Value Research, Portfolio Manager

2000 to Present: Denver Investments
1999: Everen Securities, Research Assistant
Education:

BS – Metropolitan State College of Denver
Member of CFA Institute and CFA Society Colorado

Troy Dayton, CFA
Troy Dayton, CFA

Partner, Co-Director of Value Research, Portfolio Manager

2002 to Present: Denver Investments
2001 to 2002: Jurika and Voyles, Equity Research Analyst
1998 to 2001: Dresdner RCM Global Investors, Equity Research Associate
1996 to 1998: Jurika and Voyles, Equity Research Associate
1996: Citibank, Trading Support Officer
Education:

BSBA – Colorado State University
Member of CFA Institute and CFA Society Colorado

Mark M. Adelmann, CFA, CPA
Mark M. Adelmann, CFA, CPA

Partner, Portfolio Manager, Analyst

1995 to Present: Denver Investments
1979 to 1995: Deloitte & Touche, Senior Manager
Education:

BS – Oral Roberts University
Member of CFA Institute and CFA Society Colorado
Member of the American Institute of CPAs and the Colorado Society of CPAs

Lisa Z. Ramirez, CFA
Lisa Z. Ramirez, CFA

Partner, Portfolio Manager, Analyst

1989 to Present: Denver Investments
Education:

BS – University of Colorado; MBA – Regis University
Member of CFA Institute and CFA Society Colorado

Paul A. Kuppinger, CFA
Paul A. Kuppinger, CFA

Vice President, Portfolio Manager, Quantitative Analyst

2006 to Present: Denver Investments
2003 to 2006: Rocky Mountain Wealth Advisors, Principal
2002 to 2003: Curian Capital, Vice President of Research
1998 to 2002: Prima Capital, Director of Research
1997 to 1998: KPMG, Research Analyst
1993 to 1995: Westcap Investors, Trader
1990 to 1993: Wilshire Associates, Supervisor of Performance Measurement
Education:

BA – The Colorado College; MBA – University of Colorado
Member of CFA Institute and CFA Society Colorado

Alex A. Ruehle, CFA
Alex A. Ruehle, CFA

Partner, Portfolio Manager, Analyst

2008 to Present: Denver Investments
2006 to 2007: First Western Financial Services, Inc., Intern
Education:

BS and MBA – University of Denver
Member of CFA Institute and CFA Society Colorado

Jennifer B. Oldland
Jennifer B. Oldland

Vice President, Analyst

2006 to Present: Denver Investments
Education:

BS – Colorado State University

Guangyan (Yan) Qin, CFA
Guangyan (Yan) Qin, CFA

Vice President, Analyst

2008 to Present: Denver Investments
2007: Investment Protection Services, Wealth Management Intern
2007: First Data Corporation, Treasury Analyst Intern
2005: China Construction Bank, Intern
Education:

BS – University of International Business and Economics, Beijing, China; MS – University of Denver
Member of CFA Institute and CFA Society Colorado

Robbie A. Steiner, CFA
Robbie A. Steiner, CFA

Vice President, Analyst

2014 to Present: Denver Investments
2012 to 2013: BMO Capital Markets, Investment Banking Associate
2008 to 2010: Transamerica Investments, Mutual Fund Wholesaler
Education:

BBA – University of Georgia, MBA – Emory University
Member of CFA Institute and CFA Society Colorado

Georgene L.A. Pedrie
Georgene L.A. Pedrie

Vice President, Senior Equity Trader

2002 to Present: Denver Investments
1987 to 2002: NDB Capital Market, Sales Trader
Education:

BA and MA – University of Northern Colorado

Formerly the Westcore Blue Chip Dividend Fund.
CFA is a trademark owned by CFA Institute.
Georgene L.A. Pedrie and Lisa Z. Ramirez, CFA are registered representatives of ALPS Distributors, Inc.

The risk profile spectrum provides an approximate illustration of the relative volatility of the Westcore Family of Funds determined by using each fund’s 5-year annualized standard deviation as of 3/31/17. If the fund’s retail class has less than five years of operations as of that date, the standard deviation of the fund’s Morningstar category is used instead. Standard deviation is a statistical measure of the historical volatility of a fund, which we believe can assist in classifying a fund within a risk spectrum. The placement on the risk spectrum (Low to High) is based on the comparison of each Fund’s standard deviation measure, as described above, in relation to the universe of funds with a 5-year standard deviation measure as obtained from a third-party fund database. We believe those measures are accurate but have not independently verified them. Please refer to the prospectus for each fund’s specific risks. Also a fund’s measure of volatility is subject to change without notice as market or economic conditions change, and such changes may include significant and nonrecurring volatility events. Historical volatility is not necessarily indicative of future volatility and there is no guarantee that in any time period any one fund will be more or less volatile than any other fund.

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 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.
© 2017 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.
View Performance as of:
Month-End   Quarter-End
  Monthly Returns (%)
Periods Ended: 10/31/2017
Annualized Returns (%)
Periods Ended: 10/31/2017
1 Month 3 Months YTD 1 Year 3 Years 5 Years 10 Years Since Inception
Westcore Global Large-Cap Dividend Fund 0.83 3.20 13.47 16.47 7.48 10.03 4.51 8.58
Westcore Global Large-Cap Dividend Fund Institutional 0.83 3.22 13.63 16.58 7.62 10.21 4.67 8.64
Russell Developed Large‑Cap Index 1.89 4.38 18.23 23.03 8.24 11.79 4.31 -
S&P 500® Index 2.33 4.76 16.91 23.63 10.77 15.18 7.51 10.48
  Monthly Returns (%)
Periods Ended: 9/30/2017
Annualized Returns (%)
Periods Ended: 9/30/2017
1 Month 3 Months YTD 1 Year 3 Years 5 Years 10 Years Since Inception
Westcore Global Large-Cap Dividend Fund 2.73 2.16 12.54 12.32 7.54 9.70 4.44 8.57
Westcore Global Large-Cap Dividend Fund Institutional 2.66 2.08 12.68 12.40 7.68 9.88 4.61 8.63
Russell Developed Large‑Cap Index 2.30 4.88 16.03 18.28 7.83 11.23 4.44 -
S&P 500® Index 2.06 4.48 14.24 18.61 10.81 14.22 7.44 10.42
Westcore Global Large-Cap Dividend Fund
Monthly Returns(%) as of 10/31/2017
1 Month 0.83
3 Months 3.20
YTD 13.47
Annualized Returns(%) as of 10/31/2017
1 Year 16.47
3 Years 7.48
5 Years 10.03
10 Years 4.51
Since Inception 8.58
Westcore Global Large-Cap Dividend Fund Institutional
Monthly Returns(%) as of 10/31/2017
1 Month 0.83
3 Months 3.22
YTD 13.63
Annualized Returns(%) as of 10/31/2017
1 Year 16.58
3 Years 7.62
5 Years 10.21
10 Years 4.67
Since Inception 8.64
Russell Developed Large‑Cap Index
Monthly Returns(%) as of10/31/2017
1 Month 1.89
3 Months 4.38
YTD 18.23
Annualized Returns(%) as of 10/31/2017
1 Year 23.03
3 Years 8.24
5 Years 11.79
10 Years 4.31
Since Inception -
S&P 500® Index
Monthly Returns(%) as of10/31/2017
1 Month 2.33
3 Months 4.76
YTD 16.91
Annualized Returns(%) as of 10/31/2017
1 Year 23.63
3 Years 10.77
5 Years 15.18
10 Years 7.51
Since Inception 10.48
Westcore Global Large-Cap Dividend Fund
Monthly Returns(%) as of 9/30/2017
1 Month 2.73
3 Months 2.16
YTD 12.54
Annualized Returns(%) as of9/30/2017
1 Year 12.32
3 Years 7.54
5 Years 9.70
10 Years 4.44
Since Inception 8.57
Westcore Global Large-Cap Dividend Fund Institutional
Monthly Returns(%) as of 9/30/2017
1 Month 2.66
3 Months 2.08
YTD 12.68
Annualized Returns(%) as of 9/30/2017
1 Year 12.40
3 Years 7.68
5 Years 9.88
10 Years 4.61
Since Inception 8.63
Russell Developed Large‑Cap Index
Monthly Returns(%) as of 9/30/2017
1 Month 2.30
3 Months 4.88
YTD 16.03
Annualized Returns(%) as of 9/30/2017
1 Year 18.28
3 Years 7.83
5 Years 11.23
10 Years 4.44
Since Inception -
S&P 500® Index
Monthly Returns(%) as of 9/30/2017
1 Month 2.06
3 Months 4.48
YTD 14.24
Annualized Returns(%) as of 9/30/2017
1 Year 18.61
3 Years 10.81
5 Years 14.22
10 Years 7.44
Since Inception 10.42
Retail Class Annual Expense Ratio -- Gross: 1.23%, Net: 1.00%
Institutional Class Annual Expense Ratio -- Gross: 1.23%, Net: 0.82%

Calendar Year Returns (%)

2016 2015 2014 2013 2012 2011 2010 2009 2008 2007
Westcore Global Large-Cap Dividend Fund 8.58 -0.56 4.43 24.53 13.39 5.19 3.99 29.87 -36.24 3.13
Westcore Global Large-Cap Dividend Fund Institutional 8.63 -0.42 4.66 24.83 13.56 5.34 4.05 30.10 -36.09 3.19
Russell Developed Large‑Cap Index 7.70 -0.87 5.16 27.38 16.16 -5.69 12.43 31.51 -41.19 9.23
S&P 500® Index 11.96 1.38 13.69 32.39 16.00 2.11 15.06 26.47 -37.00 5.49
Westcore Global Large-Cap Dividend Fund
2016 8.58
2015 -0.56
2014 4.43
2013 24.53
2012 13.39
2011 5.19
2010 3.99
2009 29.87
2008 -36.24
2007 3.13
Westcore Global Large-Cap Dividend Fund Institutional
2016 8.63
2015 -0.42
2014 4.66
2013 24.83
2012 13.56
2011 5.34
2010 4.05
2009 30.10
2008 -36.09
2007 3.19
Russell Developed Large‑Cap Index
2016 7.70
2015 -0.87
2014 5.16
2013 27.38
2012 16.16
2011 -5.69
2010 12.43
2009 31.51
2008 -41.19
2007 9.23
S&P 500® Index
2016 11.96
2015 1.38
2014 13.69
2013 32.39
2012 16.00
2011 2.11
2010 15.06
2009 26.47
2008 -37.00
2007 5.49

 

Formerly the Westcore Blue Chip Dividend Fund.
Effective June 30, 2015, the Westcore Board of Trustees approved a benchmark change for the Westcore Global Large-Cap Dividend Fund from the S&P 500® Index to the Russell Developed Large-Cap Index. The new benchmark index reflects the global investment objective of the Fund. We will continue to present the S&P 500® Index for historical comparison purposes to the extent required.
Investments in foreign companies are subject to special risks, including currency fluctuations, social, economic, and political uncertainties, which could increase volatility.
Dividends are not guaranteed. A company’s future abilities to pay dividends may be limited and a company may cease paying dividends at any time.
Performance data quoted represents past performance and does not guarantee future results. Performance information for the institutional class shares prior to their inception is based on the performance of the retail class. Current performance may be lower or higher than the performance quoted. To obtain current performance as of the most recent month-end, please call 800.392.CORE(2673). Average annual total returns reflect the reinvestment of dividends, capital gains distributions, all fee waivers and expense reimbursements.  If imposed, the fee would reduce the performance quoted. Investment return and principal value will vary, and shares, when redeemed, may be worth more or less than their original cost. Westcore fund shares are not insured by the FDIC, the Federal Reserve Board or any other agency and are subject to investment risk.
Denver Investments (the “Adviser”) has contractually agreed to waive certain investment advisory and/or administration fees and/or to reimburse other expenses from April 30, 2017 until at least April 30, 2018. The first waiver/reimbursement applies so that the ratio of expenses to average net assets, as reported in the Fund’s financial statements, will be no more than a fixed percentage for the Fund’s Retail Class for such period. Please see the Fund’s Prospectus for more information. The second waiver/reimbursement applies so that Fund level Other Expenses (as defined in the Fund’s financial statements) for the Institutional Class will be in the same proportion as the Retail Class waivers/reimbursements. The third waiver/reimbursement applies so that the institutional class-specific Other Expenses are reimbursed. The Adviser has contractually agreed to waive/reimburse all of these class-specific Other Expenses, but only to the extent that the difference between the net Institutional Class and net Retail Class expense ratios, after applying the waiver/reimbursement, does not exceed 25 basis points. These agreements may not be terminated or modified prior to April 30, 2018 without the approval of the Board of Trustees.
All indices are unmanaged and investors cannot invest directly in an index. View index descriptions.
Standard & Poor’s is the source and owner of the S&P Index data. See Terms of Use for additional disclosure.

The risk profile spectrum provides an approximate illustration of the relative volatility of the Westcore Family of Funds determined by using each fund’s 5-year annualized standard deviation as of 3/31/17. If the fund’s retail class has less than five years of operations as of that date, the standard deviation of the fund’s Morningstar category is used instead. Standard deviation is a statistical measure of the historical volatility of a fund, which we believe can assist in classifying a fund within a risk spectrum. The placement on the risk spectrum (Low to High) is based on the comparison of each Fund’s standard deviation measure, as described above, in relation to the universe of funds with a 5-year standard deviation measure as obtained from a third-party fund database. We believe those measures are accurate but have not independently verified them. Please refer to the prospectus for each fund’s specific risks. Also a fund’s measure of volatility is subject to change without notice as market or economic conditions change, and such changes may include significant and nonrecurring volatility events. Historical volatility is not necessarily indicative of future volatility and there is no guarantee that in any time period any one fund will be more or less volatile than any other fund.

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 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.
© 2017 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.

Manager Commentary as of 9/30/2017

 

Market Overview

After a weak start to the quarter, domestic value stocks experienced a bounce as the potential for tax reform fueled optimism that lower corporate and individual taxes would boost economic growth. In addition, the Federal Reserve left rates unchanged and, despite recent inflation data remaining low, did not appear to alter its policy rate plans, which include at least one more rate hike in 2017. The continuation of gradual economic growth and the Fed’s normalization of monetary policy were additional drivers of economically sensitive domestic stocks. From a global perspective, improving growth outside of the United States and a weaker U.S. dollar drove returns in developed markets. One exception was the United Kingdom, where an uncertain political outlook has been suppressing the market. Importantly, the market’s historically high valuation levels, combined with the backdrop of weak earnings growth, has appeared to increase investors’ skittishness. This has resulted in a lack of tolerance for companies that fail to hit financial targets or reduce earnings estimates. While stocks that disappointed were hit hard, stocks that met expectations were bid up, regardless of valuation levels.

Fund Performance

Although value stocks began a rebound in September, the Westcore Global Large-Cap Dividend Fund’s 2.16% return for the third quarter lagged the 4.88% return of its benchmark, the Russell Developed Large-Cap Index. Our strategy tends to lag in momentum-driven markets such as we’ve seen recently. This quarter’s return was consistent with that pattern and, unfortunately, we exacerbated the downside with mistakes in fundamental projections for a handful of stocks.

Contributors to Return

The sectors that contributed most to the Fund’s return relative to its benchmark in the quarter were health care, real estate, and materials. From an individual stock perspective, Fund holding AbbVie Inc. added most to the Fund’s performance. During the quarter, this global biopharmaceutical company reported solid financial results and favorable product pipeline news. AbbVie also received a successful legal decision on its largest product and reached a favorable agreement with Amgen Inc. regarding a patent dispute. Motor vehicle and parts manufacturer Toyota Motor Corp. contributed to performance in the quarter on better-than-expected fundamentals. Sales, shipments, and production have accelerated this year as the company continues to take market share from Hyundai and Kia. Strength has been evident across the organization, with Europe and Asia being the strongest geographic areas. Royal DSM NV, a manufacturer of nutritional and pharmaceutical ingredients, as well as industrial chemicals, contributed positively to the Fund’s performance in the quarter. Continued benefits from restructuring in its nutrition segment and strength in its performance materials segment led to an upside earnings surprise. Mobile device and personal computer manufacturer Apple Inc. was another top performer. Strong iPad sales and continued strength in its services segment led to better-than-expected financial results and positive guidance for earnings estimates. Power Financial Corp., a management holding company, also outperformed in the third quarter. The company reported strong second quarter results after its holdings in Great West Life and IGM Financial both exceeded expectations.

Detractors from Return

The Fund’s weakest sectors relative to the benchmark for the quarter were consumer staples, information technology, and industrials. From an individual stock perspective, Mattel Inc., a manufacturer and marketer of a broad variety of toy products, was the Fund’s largest detractor. Poor financial performance led Mattel’s management to reduce earnings estimates along with its quarterly dividend payout. Global tobacco company British American Tobacco PLC underperformed in the quarter after the FDA announced a new U.S. tobacco regulation plan aimed at reducing nicotine addiction. While the plan is currently for discussion only, tobacco stocks pulled back on the potential for increased regulations. Kimberly-Clark Corp., a paper-based consumer products and cleaning solutions manufacturer, was another drag on the Fund’s performance in the quarter. The company was negatively impacted by increased competition and a shift to consumers purchasing more items online. This resulted in a more promotional retail environment which has pressured both sales and profitability. Royal Vopak NV, a Dutch operator of global petroleum storage, underperformed in the third quarter. The lower oil price environment and OPEC’s inventory rebalancing initiatives resulted in volume and pricing pressure for Vopak. Insurance and financial services company Helvetia Holding AG was also a detractor in the quarter. Despite meeting market expectations in its half-year financial report, its results failed to excite the market.

Outlook and Positioning

Historically, valuation has been the largest factor that dictates stock performance over time. However, in shorter periods, that is often not the case, and this year has, so far, been an example. We believe it is important to take a longer-term view as these types of momentum-driven markets tend to be relatively short lived. In the current market, which may be overdue for a correction, we believe our strategy is positioned well for the future.  In the meantime, we remain focused on our value-oriented, dividend-focused process. We continue to work on sharpening our execution and seeking opportunities that are being created by the short-term mentality of the market.

Stock Performance (3 months ended 9/30/2017)
Top 5 Stocks Average Weight Contribution to Return
AbbVie Inc. 3.44% 0.78%
Toyota Motor Corp. 3.21 0.47
Royal DSM NV 3.35 0.45
Apple Inc. 4.09 0.30
Power Financial Corp. 3.17 0.29
Bottom 5 Stocks Average Weight Contribution to Return
Helvetia Holding Ltd. 3.09% -0.16%
Royal Vopak NV 3.08 -0.18
Kimberly-Clark Corp. 3.07 -0.26
British American Tobacco PLC 3.41 -0.29
Mattel Inc. 0.86 -0.38
Top 5 Stocks
AbbVie Inc.
Average Weight 3.44%
Contribution to Return 0.78%
Toyota Motor Corp.
Average Weight 3.21
Contribution to Return 0.47
Royal DSM NV
Average Weight 3.35
Contribution to Return 0.45
Apple Inc.
Average Weight 4.09
Contribution to Return 0.30
Power Financial Corp.
Average Weight 3.17
Contribution to Return 0.29
Bottom 5 Stocks
Helvetia Holding Ltd.
Average Weight 3.09%
Contribution to Return -0.16%
Royal Vopak NV
Average Weight 3.08
Contribution to Return -0.18
Kimberly-Clark Corp.
Average Weight 3.07
Contribution to Return -0.26
British American Tobacco PLC
Average Weight 3.41
Contribution to Return -0.29
Mattel Inc.
Average Weight 0.86
Contribution to Return -0.38

 

Formerly the Westcore Blue Chip Dividend Fund.
Dividends are not guaranteed. A company’s future abilities to pay dividends may be limited and a company may cease paying dividends at any time.
Investments in foreign companies are subject to special risks, including currency fluctuations, social, economic, and political uncertainties, which could increase volatility.
The performance data quoted represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will vary, and shares, when redeemed, may be worth more or less than their original cost. To obtain current performance as of the most recent month-end, please call 800.392.CORE (2673) or visit the Performance tab.
The Top 5 and Bottom 5 performing stocks do not represent all of the securities purchased, sold or recommended by the Funds’ Adviser. The methodology used to construct this chart took into account the weighting of every holding in the Fund that contributed to the Fund’s performance during the measurement period. The contribution of each Fund holding was consistently determined by calculating the weight of each holding multiplied by the rate of return for that holding during the measurement period. To request a complete list of the contribution of each Fund holding to overall Fund performance, please call 800-392-CORE (2673) or visit the Performance tab.
The Manager Commentaries contain certain forward-looking statements about the factors that may affect the performance of the Funds in the future. These statements are based on Fund management’s predictions and expectations concerning certain future events and their expected impact on the Funds, such as performance of the economy as a whole and of specific industry sectors, changes in the levels of interest rates, the impact of developing world events, and other factors that may influence the future performance of the Funds. Management believes these forward-looking statements to be reasonable, although they are inherently uncertain and difficult to predict. Actual events may cause adjustments in portfolio management strategies from those currently expected to be employed.
All indices are unmanaged and investors cannot invest directly in an index. View index descriptions.

The risk profile spectrum provides an approximate illustration of the relative volatility of the Westcore Family of Funds determined by using each fund’s 5-year annualized standard deviation as of 3/31/17. If the fund’s retail class has less than five years of operations as of that date, the standard deviation of the fund’s Morningstar category is used instead. Standard deviation is a statistical measure of the historical volatility of a fund, which we believe can assist in classifying a fund within a risk spectrum. The placement on the risk spectrum (Low to High) is based on the comparison of each Fund’s standard deviation measure, as described above, in relation to the universe of funds with a 5-year standard deviation measure as obtained from a third-party fund database. We believe those measures are accurate but have not independently verified them. Please refer to the prospectus for each fund’s specific risks. Also a fund’s measure of volatility is subject to change without notice as market or economic conditions change, and such changes may include significant and nonrecurring volatility events. Historical volatility is not necessarily indicative of future volatility and there is no guarantee that in any time period any one fund will be more or less volatile than any other fund.

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 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.
© 2017 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.

Distributions

The Westcore Global Large-Cap Dividend Fund pays income distributions quarterly and capital gains distributions at least annually, generally in December.

To view the Fund’s most recent distributions click here.

To view historical distribution information for all of the Westcore Funds click here.

 

Formerly the Westcore Blue Chip Dividend Fund.
Past performance does not guarantee future results.
A fund’s income from dividends and interest and any net realized short-term capital gains are paid to shareholders as income dividends. A fund realizes capital gains whenever it sells securities for a higher price than it paid for them. Net realized long-term gains are paid to shareholders as capital gain dividends. A dividend will reduce the net asset value of a fund share by the amount of the dividend on the ex-dividend date. View the prospectus for more information.

The risk profile spectrum provides an approximate illustration of the relative volatility of the Westcore Family of Funds determined by using each fund’s 5-year annualized standard deviation as of 3/31/17. If the fund’s retail class has less than five years of operations as of that date, the standard deviation of the fund’s Morningstar category is used instead. Standard deviation is a statistical measure of the historical volatility of a fund, which we believe can assist in classifying a fund within a risk spectrum. The placement on the risk spectrum (Low to High) is based on the comparison of each Fund’s standard deviation measure, as described above, in relation to the universe of funds with a 5-year standard deviation measure as obtained from a third-party fund database. We believe those measures are accurate but have not independently verified them. Please refer to the prospectus for each fund’s specific risks. Also a fund’s measure of volatility is subject to change without notice as market or economic conditions change, and such changes may include significant and nonrecurring volatility events. Historical volatility is not necessarily indicative of future volatility and there is no guarantee that in any time period any one fund will be more or less volatile than any other fund.

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 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.
© 2017 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.
4-star Morningstar Overall Rating out of 703 World Stock Funds based upon risk adjusted returns as of 9/30/2017.
View all Ratings

Risk Profile

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Opportunities for Income and Total Return

The investment team shares its thoughts on the benefits of Global Dividend Investing.

Preserving Capital While Growing Income Over Time

Read Portfolio Manager Alex Ruehle’s interview with The Wall Street Transcript on the benefits of Global Dividend Investing.

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