|Auer Growth Fund (AUERX)
We believe in old-fashioned hard work with our sleeves rolled-up, not computer screening and "quant" models. We trust our eyes and brain more than a black-box computer model. In fact, we don't pick stocks, but rather, stocks pick us since we purchase nearly every stock that meets our qualifications.
We seek stocks with what we feel have a high probability of appreciation vs. a stock that possibly could appreciate "if" some catalyst actually happened. We are only interested in probabilities, not possibilities.
We are a "go anywhere" fund; not limited to certain size companies, specific industries or a particular investment style. To increase our probabilities we seek companies with:
- 20% quarterly year-over-year revenue growth,
- 25% quarterly year-over-year earnings growth,
- Trading at a P/E ratio below 12.
If a stock appreciates 100% (doubles) over its purchase price, the issue is sold and replaced with a new name. The Fund does not intend to hold significant cash as long as new stock names can be found that exhibit the growth characteristics and below market price earnings values the managers seek. In other words, unlike many other funds, the managers do not employ any timing or general market sentiment in the portfolio design. Lastly, we treat the Fund like it's our own money, because much of it is.
AUERX Quick Facts
The Fund typically invests in equity securities, primarily common stocks traded on established U.S. Exchanges and bulletin boards, equity Real Estate Investment Ttrusts (REITs) and American Depository Receipts (ADRs).
Best suited for:
December 26, 2007
1% redemption fee on shares redeemed within 7 calendar days after they are purchased.
SBAuer Funds, LLC
Senior Portfolio Manager:
Robert C. Auer
Investments in real estate investment trusts (“REITs”) and real-estate related securities involve special risks associated with an investment in real estate, such as limited liquidity and interest rate risks and may be more volatile than other securities. In addition, the value of REITs and other real estate-related investments is sensitive to changes in real estate values, extended vacancies of properties and other environmental and economic factors.
Investments in American Depository Receipts (ADRs) involve special risks such as political stability of the home country as well as inflation and exchange rate volatility.
There is no guarantee that this or any investment strategy will succeed; the strategy is not an indicator of future performance; and investment results may vary.