Performance and Portfolio Update
- In the fourth quarter, the Institutional share class of the Fund outperformed the MSCI World Index by 58 basis points (bps) and the Individual Investor class outperformed by 52 bps.†.
- The Fund’s Gender Leadership profile added to relative performance versus the MSCI World Index during the quarter. For the quarter, companies ranked in the top quartile for Gender Leadership added the most to relative performance. Longer term (42 months, since reorganization period), this highest-rated gender leadership group, and the Fund’s underweights to the lowest-ranked companies within the bottom two quartiles, have fueled the Fund’s outperformance.
- The Fund’s holdings performed relatively well across multiple sectors and regions for the fourth straight quarter. On a sector basis, the Consumer Discretionary sector produced the most relative return during the quarter, led by gender leaders within Textiles Apparel & Luxury Goods and Multiline Retail. In addition, the Heath Care and Information Technology sectors both produced positive relative results.
- Bank holdings within the Financials sector were a primary detractor to relative performance during the quarter. In addition, the Telecommunications, Industrials and Materials sectors produced negative relative results.
- On a regional basis, the Fund’s North American holdings added the most to relative performance, while holdings in the Pacific and Europe regions detracted during the quarter. Within North America, gender leaders in the U.S. produced the best relative results. In the Pacific region, the Fund’s underweight to Japan — no Japanese companies rank among the top 400 companies in the world based on our gender diversity criteria — detracted from relative performance. Within Europe, Sweden, UK and Germany detracted the most from relative performance.
Performance(as of 12/31/17)
|1-Month||Quarter||YTD||1 Year||3 Year||5 Year||10 Year||Since Inception1|
|Pax Ellevate Global Women's Index Fund - Individual Investor Class||1.86||6.03||24.86||24.86||9.41||11.57||4.08||6.91|
|Pax Ellevate Global Women's Index Fund - Institutional Class||1.86||6.09||25.14||25.14||9.67||11.84||4.34||7.05|
|Pax Global Women's Leadership (Net) Index||1.43||5.17||22.78||22.78||10.02||--||--|
|MSCI World (Net) Index||1.35||5.51||22.40||22.40||9.26||11.64||5.03|
|Lipper Global Multi-Cap Core Funds Index||1.36||4.88||22.55||22.55||9.66||11.16||5.88|
Performance data quoted represent past performance, which does not guarantee future results. 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 may be lower or higher than the performance data quoted. To obtain performance for the most recent month-end call 800.767.1729 or visit paxworld.wpengine.com
Figures include reinvested dividends, capital gains distributions, and changes in principal value.
1The inception date for the Pax Ellevate Global Women’s Index Fund Institutional Class is April 19, 2006 and the Individual Investor Class inception date is October 1, 1993.
Inception of Institutional Class shares is April 19, 2006. The performance information shown for Institutional Class shares represents the performance of the Retail Class shares of the earlier acquired Women’s Equity Fund shares for the period prior to Institutional Class inception. Expenses have not been adjusted to reflect the expenses allocable to Institutional Class shares or to reflect any differences in expenses between the earlier acquired Women’s Equity Fund and the Fund. If such expense adjustments and allocable expenses were reflected, the returns would be higher than those shown. Institutional Class inception date return since April 19, 2006 is 4.98% (annualized).
As of 5/1/17 prospectus, total annual Pax Ellevate Global Women’s Index Fund operating expenses, gross of any fee waivers or reimbursements (excluding Acquired Fund fees and expenses), for Individual Investor Class and Institutional Class shares are 0.90% and 0.65%, respectively.
(as of 12/31/17)
Average Active Weights (%)
|3-month Relative Contribution (%)||Since Re-org (42-months)
Relative Contribution (%)
XOther: ETFs (for short-term cash mgmt. purposes) and Cash & Equivalents.
The above attribution analysis compares the Fund to the MSCI World Index. Past performance is no guarantee of future results.
Portfolio Characteristics(as of 12/31/17)
|Market Cap (weighted avg.)∱||$124,984M||$135,871M|
|Number of Securities||410||1,653|
Top Ten Holdings
(as of 12/31/17)
Microsoft Corp. 3.0%, Texas Instruments, Inc. 2.0%, KeyCorp. 2.0%, Target Corp. 2.0%, Facebook, Inc., Class A 2.0%, Estee Lauder Cos, Inc., Class A 1.9%, Kellogg Co. 1.9%, American Water Works Co., Inc. 1.9%, Ulta Salon Cosmetics & Fragrance, Inc. 1.9% and Principal Financial Group, Inc. 1.9%. Holdings are subject to change.
†A basis point (bps) is a unit that is equal to 1/100th of 1%, and is used to denote the change in a financial instrument. The basis point is commonly used for calculating changes in interest rates, equity indexes and the yield of a fixed-income security.
ƒWeighted Average is an average in which each quantity to be averaged is assigned a weight. These weightings determine the relative importance of each quantity on the average.
~Forward Price-Earnings Ratio or P/E FY1 ratio is a ratio for valuing a company that measures its current share price relative to its per-share earnings over the next 12 months.
°Return on equity (ROE) is a ratio that provides investors insight into how efficiently a company (or more specifically, its management team) is managing the equity that shareholders have contributed to the company.
∞A historical Beta is used for Funds with greater than 2 years of performance history under the same mandate. Since Re-org Beta is used. Beta reflects the sensitivity of a Fund’s return to fluctuations in its benchmark; a beta for a benchmark is 1.00: a beta greater than 1.00 indicates above average volatility and risk.
The statements and opinions expressed are those of the author as of the date of this report. All information is historical and not indicative of future results and subject to change. This information is not a recommendation to buy or sell any security. Past performance does not guarantee future results.