Driehaus Small Cap Recovery Growth

 

 

Second Quarter 2010

Portfolio Manager: Wei Zhang, CFA
Assistant Portfolio Manager: Andrew Srichandra, CFA
Assets Under Management:

$270 Million
Inception Date: 1/1/97

Separately Managed Accounts

Minimum Initial Investment:

 $5 Million

 

Investment Objective: Maximize capital appreciation through investing in a diversified portfolio of U.S. traded, small-capitalization stocks that are generally 30% off of their highs.

 

Investment Strategy:  The Small Cap Recovery Growth Strategy purchases stocks trading generally 30% or more off of their historical highs at the time of purchase.  The strategy invests in companies with market capitalizations generally under $1.5 billion. The strategy typically maintains a portfolio consisting of 40 to 70 stocks and generally limits individual positions to less than 3% at cost.

 

 

Sector Weightings (as of 6/30/10)

Health Care

25.3%

Consumer Discretionary

24.1%

Information Technology

16.7%

Industrials

10.3%

Financials

4.9%

Energy

4.8%

Materials

2.9%

Utilities

0.9%

Cash

 10.1%

Source: Morgan Stanley Capital International and Standard & Poor's Global Industry Classification Standard

 

 

 

Top 10 Holdings  (as of 7/31/10)

99 Cents Only Stores

4.7%

Focus Media Holding Ltd. ADS

4.4%

Nektar Therapeutics

4.2%

Finisar Corp.

3.9%

Immunogen Inc.

3.6%

BE Aerospace Inc.

3.6%

OmniVision Technologies Inc.

3.5%

Hexcel Corp.

2.8%

Emergent Biosolutions Inc.

2.6%

Cyberonics Inc.

2.6%

 

 

 

 

Average Annual Total Return (as of 6/30/10)
__________Annualized__________  
 

2nd QTR

 YTD 1 Year 3 Year 5 Year 10 Year  Since
Inception
(1/1/97) 
Driehaus Small Cap Recovery Growth

-13.94%

-9.93%

13.61%

-11.73%

1.76%

5.40%

 17.25%
Russell 2000 Growth Index

-9.22%

-2.30%

17.98%

-7.53%

1.14%

-1.72%

 2.48%

 

 

Cumulative Total Return (1/1/97 to 6/30/10)
Driehaus Small Cap Recovery Growth

757%
Russell 2000 Growth Index

39%

 

 

For the most current month-end summary sheet for the Driehaus Small Cap Recovery Growth Strategy, please click here .

 

 

Sources: eVestment Alliance, LLC, SS&C Inc., FactSet Research Systems Inc., Morgan Stanley Capital International and Standard & Poor's Global Industry Classification Standard methodology to identify sector classifications

 

The performance numbers represent a composite of small cap recovery growth accounts managed by Driehaus Capital Management LLC (“DCM”) (the “Composite”).  These numbers are estimated for the period as all underlying accounts have not yet been reconciled. All rates of return include reinvested dividends and other earnings and are net of fees and brokerage commissions. The performance data shown above represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance data quoted.

 

The performance results for the Composite are shown in comparison to an index. Unlike the Composite, the index is not actively managed and does not reflect the deduction of any advisory or other fees and expenses.  While the securities comprising the index are not identical to those in the Composite, DCM believes this comparison may be useful in evaluating performance. 

 
The Russell 2000 Growth Index measures the performance of those Russell 2000 companies with higher price-to-book ratios and higher forecasted growth values. The performance data includes reinvested dividends. The Russell 2000 Index measures the performance of the 2,000 smallest companies in the Russell 3000 Index.
 
For additional disclosure on the Composite, please click here.