Unlocking Value: The FMI All Cap Equity Approach to Market Dynamics
Investment Philosophy: Adopting a Business Owner's Mindset
At the core of our investment strategy is the belief in approaching every opportunity with the meticulousness of a business owner. This means undertaking exhaustive research into the financial underpinnings of target companies and thoroughly assessing the caliber of their leadership teams. Our due diligence aims to uncover intrinsic value, rather than merely tracking market fluctuations.
Strategic Focus: Valuing Assets for Long-Term Growth
A cornerstone of our methodology is a strong emphasis on low absolute and relative valuations. This disciplined focus on identifying undervalued assets is critical to the execution of our investment framework. We believe that securing positions in businesses trading below their true worth provides a significant margin of safety and potential for substantial long-term returns.
Recent Portfolio Additions: Expanding Strategic Holdings
In line with our active management philosophy, a 1.5% stake in Gates Industrial Corp. was strategically acquired in June 2025. This addition reflects our ongoing commitment to identifying and investing in companies that align with our rigorous valuation criteria and growth expectations, further diversifying the fund's holdings.
Performance Overview: A Look at Recent Returns
The FMI All Cap Equity Fund has demonstrated consistent performance across various timeframes. For the most recent quarter, the fund achieved a gross return of 4.22%, with a year-to-date return of 5.15%. Over longer horizons, the fund has delivered robust results: 9.90% over one year, 14.54% over three years, and 14.07% over five years, underscoring the effectiveness of our long-term investment strategy.
Long-Term Trajectory: Sustained Value Creation
Reflecting on a decade of operations, the fund has maintained an impressive 10-year gross return of 10.58%. Since its inception, the fund's gross return stands at 10.30%, a testament to its enduring commitment to value-oriented investing and its ability to generate significant returns for investors over extended periods. These figures highlight the fund's capacity for sustained capital appreciation.