|
Hennessy
Cornerstone Growth Fund , Series II
Fund
Objective
The goal of the Cornerstone Growth Fund, Series II is long-term
capital appreciation.
Investor
Profile
The Cornerstone Growth Fund, Series II utilizes a combination of
growth and value characteristics in the selection of stocks that
may be suitable for investors who are willing to have an investment
horizon of five years or more. In addition, investors should be
willing to accept higher short-term risk along with higher potential
for long-term growth of capital since the Fund primarily invests
in small cap stocks.
Fund
Strategy
Every year the Fund will buy the 50 stocks that meet the following
criteria: At the time of purchase, the companies that have the highest
one-year price appreciation as of the date of purchase; have a price-to-sales
ratio below 1.5; annual earnings higher than in the previous year,
and positive relative strength over the past three and six month
periods with acceptable liquidity. The Fund's portfolio is rebalanced
once a year. The Hennessy Cornerstone Growth Fund, Series II utilizes
the same time-tested investment formula employed in our successful
Hennessy Cornerstone Growth Fund. The primary difference between
these two funds is that the stocks will be purchased, and the portfolio
rebalanced, at different times of the year, which should generate
substantially different portfolios.
Stock
Selection Process
The following chart illustrates how stocks are selected for the
Hennessy Cornerstone Growth Fund, Series II:
-
Compustat Database
-
Market Capitalization greater than $175 Million
-
Price to Sales Ratio below 1.5
-
Annual Earnings higher than the previous year
-
Select 50 stocks with the best 12 month, 6 month and 3 month relative
strength
The
fund is rebalanced once a year.
Historical
Performance
| Average
Annual Total Returns as of 06/30/08 |
| |
YTD |
1
Yr |
Since
Inception
7/1/05* |
|
|
|
| HENLX |
-14.16% |
-25.30% |
-3.50% |
|
|
|
| S&P
500 Index |
-11.91% |
-13.12% |
4.32% |
|
|
|
| Performance
data quoted represents past performance; past performance does
not guarantee future results. The investment return and principal
value of an investment will fluctuate so that an investor's
shares, when redeemed, may be worth more or less than their
original cost. Current performance of the fund may be lower
or higher than the performance quoted. Performance data current
to the most recent month end may be obtained by clicking here.
Performance shown does not include a 1.5% redemption
fee on shares held less than 90 days. If it did, total returns
would be reduced. |
| |
| Year
by Year Total Returns |
| |
2006 |
2007 |
|
|
|
|
| HENLX |
5.23% |
-6.45% |
|
|
|
|
| S&P
500 Index |
15.80% |
5.49% |
|
|
|
|
| |
Fund
Information (as
of 06/30/08) |
| Total
Net Assets |
$75
million |
| Beta
(vs. S&P 500) |
n/a |
| Expense
Ratio |
1.27% |
| CUSIP |
425
88P 106 |
| Ticker |
HENLX |
| SEC
Fund Identifier |
Series
S000000837; Class C000002452 |
| Inception |
7/1/05* |
| Min
Investment |
$2500 |
| Min
Investment (IRAs) |
$250 |
| Dividends
Paid |
Annually |
| Portfolio
Composition |
|
| Equity |
98.4% |
| Cash |
1.6% |
Equity
Sector Weighting (as
of 06/30/08)
| Industry |
Weight |
| Consumer
Discretionary |
13.5% |
| Consumer
Staples |
6.6% |
| Energy |
4.5% |
| Health
Care |
2.4% |
| Industrials
|
37.2% |
| Information
Technology |
5.6% |
| Materials |
28.3% |
| Utilities |
1.9% |
Top
10 Equity Fund Holdings (as of 06/30/08)
| Company
Name |
Percentage
of Assets |
| AK
STEEL HOLDING CORP. |
4.8% |
| TERRA INDUSTRIES INC. |
4.6% |
|
4.6% |
| CHART INDUSTRIES INC. |
4.5% |
| CAL-MAINE
FOODS INC. |
4.4% |
| ARCELOR MITTAL (ADR) |
4.0% |
|
3.3% |
| OWENS-ILLINOIS
INC. |
3.0% |
|
3.0% |
|
3.0% |
International
Holdings
(as of 06/30/08)
| Brazil |
2.9%
|
| Italy |
1.4%
|
| Luxembourg |
4.0%
|
| Netherlands |
1.6%
|
| Sweden |
1.5%
|
| United
Kingdom |
1.7%
|
USA |
86.9%
|
| Total |
100.0%
|
|
