Meritage Growth Strategy Awarded Top Guns Distinction by PSN

Meritage Portfolio Management — Growth Equity Strategy Honored as PSN Top Guns Large Cap Equity Universe

Meritage Growth Equity Strategy Again Awarded Top Guns Distinction in National Database Performance Results

The Growth Equity strategy from Meritage Portfolio Management was awarded the “Top Guns Large Cap Universe” ranking within the Informa Investment Solutions (IIS) PSN manager ranking database. This well-respected quarterly ranking is widely used by institutional asset managers and investors. PSN is the longest-running investment manager database in North America.

PSN Top Guns awards strategies with the best returns in the style universe combined with lower than average risk. Strategies must have returns greater than the style benchmark for the three latest three-year rolling periods ending September 30, 2018. Strategies are then selected which have a standard deviation for the five year period equal or less than the median standard deviation for the peer group. The top information ratios for the latest 5 year period ending September 30, 2018 become the 6 Star Top Guns. Information ratio measures the consistency of excess returns compared to the benchmark.

“Our stock selection process is disciplined, consistent and improves with experience,” said Len Mitchell, lead portfolio manager since the strategy’s inception in 1998. “A disciplined approach helps us avoid behavioral heuristics based on shaky assumptions that plague most investors.”

historical PSN recognition for Meritage Growth Equity strategy from 2012 through 2018

You can view more of our previous PSN results and reports by visiting the Insights section of our website.

About the Meritage Growth Equity Strategy

The Meritage Growth Equity strategy is actively managed and combines quantitative and qualitative insights to construct portfolios of 45 to 60 stocks. Initially, a broad universe of companies across the capitalization spectrum are screened, ranked and scored using the firm’s multifactor model to generate a list of purchase candidates that have sustainable, high quality earnings growth, balance sheet strength, business momentum and factors which indicate management’s capital spending efficiency. While many growth strategies are heavily momentum driven, we manage that risk by including valuation and cash flow metrics in our evaluation process. This discipline contributes to the strategy’s history of low volatility.

About Meritage Portfolio Management

Meritage Portfolio Management is an institutionally based investment management firm, providing asset management for families, foundations, endowments, corporations and qualified retirement plans. The firm manages $1.7 billion in assets for local, regional, and national clients from its base in Overland Park, Kansas. Meritage employs a highly systematic investment process in the selection of securities for multiple equity strategies. More information can be found online at www.meritageportfolio.com.

Meritage Portfolio Management claims compliance with the Global Investment Performance Standards (GIPS). A compliant presentation for the Meritage Growth Equity Composite can be accessed by e-mailing welcome@meritageportfolio.com or calling the main office line, ph. 913-345-7000.

About PSN Database

The PSN database is the world’s longest-running and most robust manager database, containing over 20,000 institutional investment products reported by more than 2,000 managers within the system. PSN and Informa Investment Solutions have no affiliation with Meritage Portfolio Management. A full list of PSN Top Guns along with ranking explanation can be viewed on the www.informais.com website, accessible via complimentary login.

Disclosures

Past performance is not a guarantee of future results. Investing involves risk, including the possible loss of principal. The information contained herein does not constitute personalized investment advice and should not be considered as a solicitation to buy or sell any security or engage in a particular investment strategy.