Summary

• The Global Financial Services Fund decreased by 2.5%, compared to a 7.0% decrease for the MSCI World Financials Index.
• Webster Financial Corp. entered into a merger agreement with Santander, whereby Webster shareholders will receive $48.75 per share in cash and 2.048 shares of Santander’s ADR for each share of Webster.
• During the quarter, the Global Financial Services Fund significantly reduced its position in both Janus Henderson Group plc and Diamond Hill Investment Group Inc.
• The common stock of Cavco Industries Inc. fell sharply after the company reported a 19% decline in fiscal third quarter earnings, owing primarily to costs associated with the acquisition of American Homestar.
• Ichiyoshi Securities, a boutique Japanese investment firm, reported a 259% increase in fiscal third quarter EPS, driven by a 40% increase in commission revenue.

Investment Scorecard

The Global Financial Services Fund (“the Fund”) decreased by 2.5%, compared to a 7.0% decrease for the MSCI World Financials Index. At quarter end, the Fund’s aggregate holdings were valued at approximately 0.9 times book value, 1.0 times tangible