Basis Point: Is a value equaling one one-hundredth of a percent (1/100 of 1%).
Capital Expenditures (CapEx): Cash outlays a company makes to acquire, build, upgrade, or extend the useful life of long-lived assets. CapEx is typically recorded as an investment on the company’s balance sheet and can be calculated by adding current depreciation to the change in property, plant, and equipment (PP&E). Source: Investopedia.
Earnings Growth: The annual rate of growth of earnings typically measured as Earnings Per Share Growth.
Earnings Per Share (EPS) Growth: Illustrates the growth of earnings per share over time. Earnings growth is not a measure of a fund’s future performance.
Free Cash Flow: Equal to the cash from operations of a company less capital expenditures.
Glucagon-Like Peptide-1 (GLP-1): An incretin hormone produced in response to food intake and is involved in glucose metabolism. Source: National Institute of Health
High Beta: Describes a stock or portfolio with returns that tend to be more volatile than the broader market, as indicated by a beta greater than 1.0.
Hyperscalers: A large cloud service provider that uses hyperscale data centers to offer massive, on-demand computing resources and services like storage, computing, and networking.
Magnificent Seven (MAG 7): A group of high-performing and influential companies in the U.S. stock market’s technology sector recognized for their market dominance, technological impact, and changes to consumer behavior and economic trends. The stocks are Alphabet (GOOGL; GOOG), Amazon (AMZN), Apple (AAPL), Meta Platforms (META), Microsoft (MSFT), NVIDIA (NVDA), and Tesla (TSLA). Source: Investopedia.
Margin of Safety: A value investing tenet that provides a buffer against unpredictable loss by encouraging investors to purchase securities only when they trade below intrinsic value by a sufficient margin.
Nifty Fifty: A group of large-capitalization U.S. growth stocks that were favored by institutional investors in the late 1960s and early 1970s, and were widely viewed as “one-decision” buy-and-hold investments. Examples include General Electric, Coca-Cola, and IBM. Source: Investopedia.
Price-to-Earnings (P/E) Ratio: A common tool for comparing the prices of different common stocks and is calculated by dividing the earnings per share into the current market price of a stock.
Return on Equity (ROE): Is equal to a company’s after-tax earnings (excluding non-recurring items) divided by its average stockholder equity for the year.
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The Fund is non-diversified, 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.
Mutual fund investing involves risk. Principal loss is possible. The prices of growth stocks may be sensitive to changes in current or expected earnings, may experience larger price swings and may be out of favor with investors at different periods of time.
Click here for Jensen Quality Growth Fund performance, including the 5-year upside/downside capture. 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. All returns include the reinvestment of dividends and capital gains. To obtain updated performance information that is current as of the most recent month end, please call 1-800-992-4144 or visit www.jenseninvestment.com.
The Jensen Quality Growth Fund is distributed by Quasar Distributors, LLC