FAQs

 

How can I become a shareholder in The Jensen Portfolio?

You can download an application directly from our website by going to How to Invest. If you prefer, you may request that information mailed to you by calling 800-992-4144. Please read the Prospectus carefully before you send money. The Jensen Portfolio also is available through many discount, online and independent brokerage firms.

What makes The Jensen Portfolio different?

Our uncompromising commitment to quality. The Jensen Portfolio is grounded in our belief that true growth investing requires the commitment to participate in the long-term success of quality companies. Our investment strategy emphasizes quality, consistency, discipline and risk control. 

We are extremely selective.  In fact, fewer than 200 companies qualify for initial consideration in The Jensen Portfolio.  Only about 30 make the final cut. We search for successful, well managed companies with sustainable, understandable financial underpinnings, a commitment to shareholder value and a sensible price.

 


Who manages The Jensen Portfolio?

The Jensen Portfolio is team managed. Our team is guided by a group of knowledgeable professionals with a broad spectrum of business experience. This careful, deliberate group is committed to obtaining a deep understanding of the companies that meet our exacting standards. Meet the Investment Team.

 

What is the difference between share classes and what is the minimum investment required?

The Jensen Portfolio offers three share classes to meet the needs of a broad range of mutual fund investors:

J Shares - minimum investment $2500. The original Jensen or "J" shares, were launched in 1992. These shares can meet the needs of individual investors, 401(k) and other retirement plan participants and smaller institutions.

R Shares - minimum investment of $2500. The Retirement or "R" shares launched in 2003, are offered primarily to participants in 401(k) and other retirement savings plans.

I Shares - minimum investment of $1,000,000. The Institutional or "I" shares also launched in 2003, meet the needs of institutional investors, financial advisers and high-net-worth individual investors.

 

How is portfolio risk controlled and monitored?

At Jensen we work to manage risk in three vital areas.

Investment  

Compliance

Organizational

 

What type of investor is suitable for The Jensen Portfolio?

The Fund may be suitable for long-term investors seeking a high-quality portfolio of common stocks and who accept and understand short-term market fluctuations. It may be suitable for tax-deferred (e.g. IRA's) and taxable accounts with the added benefit in taxable accounts of having low turnover which helps to minimize the erosive effect that taxes and fees have on returns.

Is the Fund sensitive to tax concerns?

While tax efficiency is a residual of our investment process, companies in The Jensen Portfolio generally are held for long periods. That results in low turnover and transaction costs. In taxable accounts, low capital gains can potentially increase long-term results and allow investors to benefit from enhanced net returns and accelerated compounded growth.

What about expenses?

Jensen has a long-standing commitment to keeping expenses low. For example, the overall expense ratio of our retail class "J" shares (minimum investment $2500) is 0.96%, below the industry average* for large cap growth funds.

Does The Jensen Portfolio hold enough stocks to spread investment risk?

We believe it does. We search for successful, well-managed businesses that are understandable, sustainable, care deeply about shareholder value and are available at sensible prices.

These companies that have achieved outstanding business performance in each of the last 10 years, have financial strength and generally are less affected by market and economic cycles. They have sustainable competitive advantages, positioning them for leadership within their industries. The ability to maintain these characteristics over time results in increasing cash flow, well in excess of operating needs - a prime indicator of a valuable investment.

We believe that these quality companies create value as profitable businesses that will, over time, provide attractive returns with less risk than the market.

What about Capital Gains?

The Jensen Portfolio is grounded in our belief that true investing requires the commitment to participate in the long-term success of quality companies.

As a result of our long-term strategy, turnover in The Jensen Portfolio has been low and over the years capital gains distributions have been infrequent. In taxable accounts, low capital gains can potentially increase long-term results and allow investors to benefit from enhanced net returns and accelerated compounded growth. View Distribution History.

How do you communicate with shareholders?

Candid discussion is inherent to the communications we provide to shareholders of The Jensen Portfolio. We strive to respond promptly to shareholder inquiries.

Performance updates are posted to the website on a monthly basis and the Fund's Holdings are provided on a quarterly basis.

Jensen's Investment Brief newsletter offers more in-depth information about our view of some of the companies held in the Fund and quarterly Fact Sheets offer commentary and discussion on performance. Periodic White Papers also provide our shareholders with Jensen's views on a broad spectrum of topics that affect the Fund.

Jensen provides timely capital gains notices as well as helpful information that can be of assistance in filing tax returns and the Fund's Distribution History is available on this site.

As of November 30, 2009, the average expense ratio for funds between $2 and $3 billion in assets included in Morningstar's® Large Cap Growth category (excluding institutional, retirment and loaded share classes) was 1.07%.

Past performance 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.

There is no assurance that the investment process will lead to successful investing or that the stated ovjective(s) will be met.

The Fund is nondiversified, meaning it may concentrate its assets in fewer individual holdings than a diversified fund. Therefore, the Fund is more exposed to individual stock volatility than a diversified fund.

The turnover for the Portfolio's trailing 12 months as of May 31, 2009 was 24%.

Tax sensitivity and low turnover are not guaranteed as neither is a specific objective of the Fund.

For more complete information about The Jensen Portfolio including investment objectives, risks, fees and expenses, please go to Prospectus, or call 800.992.4144. Read the prospectus carefully before you invest or send money.

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