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Spacer Investment Philosophy

The Rogé Partners Fund (ROGEX)

The investment objective of the fund is to seek total return. The Fund has a long-term investment strategy and pursues its investment objective by investing in open-end and closed-end funds, U.S and foreign equity securities including American Depositary Receipts ("ADRs"), and Limited Partnerships with a growth and value approach.

The Adviser uses proprietary research called the ResearchEdge® process to seek out investment opportunities. Our ResearchEdge process is the framework within which we assess, select and monitor all securities in the portfolios we manage. More specifically, the Adviser seeks out Valuation Anomaliessm, or securities that are temporarily undervalued compared to their estimated true economic worth.

The Fund seeks to invest in open-end and closed-end investment companies and, to a limited extent, unit investment trusts that the investment adviser believes will provide value to shareholders. When screening for underlying funds, the Adviser looks for such attributes as: performance consistency, alpha measurements, limited down-draw (controllable downside), beta and other modern portfolio theory (MPT) statistics. The underlying funds are then evaluated through qualitative research methods. This method covers many areas, from investment process and philosophy to identifying their risk controls and management's ownership in their own fund. Upon evaluation, the Adviser compiles additional questions and sets up a conference call or meeting to clarify and expand on any concerns.

The Fund seeks to invest in companies that are determined to be temporarily undervalued against their true economic worth. When screening for Valuation Anomaliessm within individual securities, the Adviser looks for a number of attributes including: core earnings growth, increased dividend payments, increasing profit margins, reasonable valuations, strong cash flow and stock buybacks. These companies are then evaluated historically to better understand why they are trading at a discount, based on one of five intrinsic valuation methods (current price to net-asset-value ("NAV"), dividend discount method, earnings power value, private market value, and relative valuation comparisons) to its current price.

If a company is trading at a discount to our calculated intrinsic value, we draw on our qualitative research. We will subsequently purchase shares of the company if we determine that the long-term prospects of the company have not tarnished. Additionally, the Adviser looks for companies with a unique market position, a solid management team, and an understandable business model.

From our bottom-up research, companies are appraised based upon various valuation matrixes (price/core earnings, price/book, price/cash flow, enterprise value/free-cash-flow, and enterprise value/earnings before interest and taxes) and profitability ratios (operating margins, return on invested capital, return on assets, return on equity, Debt/Equity, and interest coverage) among others. In selecting companies for the portfolio, we take a businessman's perspective and evaluate brand strength or momentum, current market share, and anticipated growth in market share, marketing plans, and their overall business plan and strategy. We also evaluate management's ability to improve brand loyalty, increase margins, improve profitability, and allocate capital in the most efficient manner.

From a top-down perspective, we may also see demographic or preference trends in which certain companies are leveraged to benefit from the increased need of their products or services. After the industry has been identified, we use bottom-up fundamental research to pick the strongest companies in that area.

The proportion of Fund assets invested in U.S. or foreign securities may vary depending on a number of factors, including investment strategies, market conditions and outlook for the global economy. Conviction weightings are then assigned to the individual companies based on our perceived risk and return for that company.

There is no target market capitalization for the fund; however, the Fund will likely have a market capitalization below that of the S&P 500 due to the greater inefficiencies in price to actual intrinsic value of lower capitalization companies and our ability to take advantage of these inefficiencies.

Investment ideas stem from numerous sources including, but not limited to, news publications, quantitative fundamental screenings, investment conferences, company visits, quarterly statements and annual reports from whom we feel are great money managers, and networking with other investment professionals.

The average holding period for a Fund investment is expected to be in the four-to-six-year range. The Fund's portfolio turnover is expected to be relatively low but may be affected by the Fund's risk-adjustment strategies.

We believe our conviction and asset class weighting directly controls risk by allowing us to overweight the businesses, or funds, with the best risk reward characteristics. Also, the Fund checks for any potential liquidity constraints on a stock specific level, as well as limiting its maximum investment per stock to no more than 15% of the outstanding voting shares of a company measured at the time of purchase. However, we feel the most important risk control is our unique and independent investment ideas and the quality of due diligence performed on a company or management team before we make a purchase. Risk is managed and controlled by following our disciplined investment selection process.

The Fund's selling strategy is to reevaluate a security once a price target is met. If, upon reevaluation, the company's stock trades at a premium to the Adviser's own intrinsic estimates, the stock becomes a candidate for sale. The Adviser sets a time horizon of approximately 4-6 years for a business' stock price to reach its target. Factors that may negatively affect the price targets are: management change, increased competition, poor capital allocation, change in business model, mergers, acquisitions and political risks.

With regard to underlying funds, the Fund may sell such funds if there is a key management change, a change in investment philosophy by the fund's adviser, or if it is perceived that there has been a change in the global economic environment or the investment company no longer meets the needs of the Adviser's portfolio strategy.

Roge Partners Funds SpacerInvestors should carefully consider the investment objectives, risks, changes and expenses of the Rogé Partners Funds ® carefully before investing. Other fees and expenses do apply to continued investment in the funds. The prospectus contains this and other information about the funds and is available by clicking here or by calling 888-800-ROGE. The funds' prospectus should be read carefully before investing. Past performance does not guarantee future performance.