Spin-Off and Corporate Restructuring Fund
- U.S. focused global all-cap fund comprised of investments in:
- i. Spin-off companies and parent companies of spin-offs.
- ii. Subsidiary companies resulting from an equity “carve out” or “partial initial public offering” where a parent company sells equity of such subsidiary.
- iii. Companies subject to a corporate restructuring, or public shareholder activist holding companies which cause other companies to undergo a spin-off or corporate restructuring.
- Return potential is often the result of the market’s inefficiency in initially valuing these securities, due in part to the lack of coverage by the investment community, lack of a natural shareholder base immediately following the transaction, and resulting initial, indiscriminate selling pressure.
GROWTH OF $10,000 SINCE INCEPTION
The Spin-off and Corporate Restructuring Fund Institutional Class inception date is 7/11/07. Figures include changes in principal value, reinvested dividends and capital gains distributions. Performance data quoted represents past performance and does not guarantee future results. Investment return and principal value will vary, and shares may be worth more or less at redemption than at original purchase. Call 1-800-930-3828 or visit us at www.kineticsfunds.com for the most recent monthend performance data. Current performance may be lower or higher than the performance data quoted. Performance data does not reflect the deduction of the sales load or fee which, if reflected, would reduce the performance quoted. You will be charged a redemption fee equal to 2.00% of the net amount of the redemption if you redeem or exchange your shares 30 days or less after you purchase them.
As of September 30, 2020
Chairman, Chief Executive Officer, Chief Investment Officer, Co-Founder
Murray is Chief Executive Officer, Chairman of the Board of Horizon Kinetics and is a co-founder of the Firm. He has over thirty years of investing ex...READ MORE
President, Co-Founder, Senior Portfolio Manager
Steven is the President of Horizon Kinetics and is a co-founder of the Firm. He is a senior member of the Firm’s research team, a member of the In...READ MORE
RESOURCESView All Share Classes
As of January 20, 2021
|Benchmark||Daily NAV||One Day Return (%)||Month to Date||Quarter to Date||Year to Date|
|S&P 500 Index TR||$17,229.45||1.39%||2.62%||2.62%||2.62%|
Total Return (Annualized)1
As of December 31, 2020
|S&P 500 Index TR||18.40%||14.18%||15.22%||13.88%||9.22%|
Historical Total Return
|S&P 500 Index TR||-2.43%||-37.00%||26.46%||15.06%||2.11%||16.00%||32.39%||13.69%||1.38%||11.96%||21.83%||-4.38%||31.49%|
|Class||Ticker||CUSIP||12b-1 Fee||Net Expense Ratio||Gross Expense Ratio|
|No Load Class||LSHEX||494613524||-||1.62%||2.13%|
As of September 30, 2020
|Up Market Capture Ratio||1.06||-|
|Down Market Capture Ratio||1.48||0.52|
|Weighted Avg. Mkt. Cap ($mil)||$37,543||$23,145|
|Median Market Capitalization||$902||$4|
|Price to Book||1.36||26.36|
|Price to Earnings||8.34||25.88|
|Return on Equity||38.28%||0.00%|
Top 10 Holdings (%)
As of September 30, 2020
|Texas Pacific Land Trust||35.6%|
|PayPal Holdings, Inc.||14.6%|
|DREAM Unlimited Corp.||10.7%|
|Associated Capital Group, Inc. - Class A||8.7%|
|CSW Industrials, Inc.||7.4%|
|Liberty Broadband Corporation - Series A||3.2%|
|Graham Holdings Company - Class B||3.0%|
|The Howard Hughes Corporation||3.0%|
|Capital Southwest Corporation||1.8%|
Top 10 Sectors (%)
As of September 30, 2020
|Mining, Quarrying, and Oil and Gas Extraction||35.6%|
|Admin. and Spprt. and Wst. Mgmt. and Rem. Srvcs.||14.6%|
|Management of Companies and Enterprises||9.1%|
|Real Estate and Rental and Leasing||3.0%|
|Finance and Insurance||2.5%|
|Arts, Entertainment, and Recreation||1.1%|
1 The Spin-off and Corporate Restructuring Fund (the “Fund”) recently underwent a proxy where shareholders voted to approve Kinetics Asset Management LLC (“Kinetics”) as investment adviser to the Fund, effective December 8, 2017. Previously, Horizon Asset Management LLC, an affiliate of Kinetics, was the Fund’s sub-adviser. The portfolio managers of the fund prior to the restructuring are the same portfolio managers that manage the fund post-restructuring. As such, the Fund’s investment objective and investment strategy have not changed. Subsequent to this transaction, in April 2019, Kinetics Asset Management LLC (“KAM”) and Kinetics Advisers, LLC (“KA”) reorganized into Horizon Asset Management LLC (“HAM”), following which HAM was renamed Horizon Kinetics Asset Management LLC (“HKAM”).
The Fund is classified as a non-diversified fund. Therefore, the value of its shares may fluctuate more than shares invested in a broader range of companies. In addition, investing in foreign securities involves more risk than just U.S. investments, including the risk of currency fluctuations, political and economic instability and differences in financial report standards. There may also be heightened risks investing in spin-off companies. Such companies are generally newly formed and may not have a track record upon which to evaluate management’s experience or historical balance sheet information upon which to evaluate its financial strength. There are also risks associated with investing in small and medium sized companies whose share values may fluctuate more than larger companies. You should consult the Fund’s prospectus for a complete list of risks associated with your investment.
You should consider the investment objectives, risks, charges and expenses of the fund carefully before investing. For a free copy of the fund’s prospectus, which contains this and other information, you may click here or call us at 1-800-930-3828. You should read the prospectus carefully before you invest.
Where information and data is specific to one class of the Fund, it refers to the Fund’s Institutional Share Class (SYMBOL: LSHUX). The Institutional Share Class does not have any sales loads or commissions.
S&P 500 Index statistics data is based on the iShares S&P 500 Index Fund for market cap, price to book, price to earnings, return on equity, and active share. iShares is a product of BlackRock, Inc.
The Standard & Poor’s 500 Index represents an unmanaged, broad-based basket of stocks. It is typically used as a proxy for overall market performance. The S&P 500 Index returns assume that dividends are reinvested. An investor cannot invest directly in an index.
The Growth of $10,000 chart illustrates the performance of a hypothetical $10,000 investment made in the Fund’s Institutional Share Class commencement of operations (7/11/2007). It assumes reinvestment of capital gains and dividends. This chart is not intended to imply any future performance.
Holdings are expressed as a percentage of total net investments and may vary over time. Equity holdings are subject to change, and may not be indicative of actual market position due to the use of call and put options.
The Top 10 Sectors displayed represent a percentage of the net assets and excludes cash equivalents and other assets in excess of liabilities.
Assets represent the total net assets for the specified portfolio, which includes all fund classes.
The Gross Expense ratios listed are as of 12/31/2019 as reported in the 4/29/2020 prospectus. The Fund’s adviser voluntarily agreed to waive management fees and reimburse fund expenses so that net annual fund operating expenses do not exceed certain levels, not including acquired fund fees and expenses (AFFE), through May 1, 2021 and may be discontinued at any time by the Fund’s adviser after May 1, 2021.
*Number of Positions are calculated such that all securities issued by one issuer are counted as one position.
Beta: A statistic that measures the volatility of the fund, as compared to the overall market. The market’s beta is set at 1.00; therefore a beta higher than 1.00 is considered to be more volatile than the market, while a beta lower than 1.00 is considered to be less volatile. It is important to note that a low beta for a fund does not necessarily imply that the fund has a low level of volatility, a low beta signifies only that the fund’s market-related risk is low. The Beta has been calculated since inception.
Standard Deviation: A statistical measure of portfolio risk used to measure variability of total return around an average, over a specified period of time. The greater the standard deviation over the period, the wider the variability or range of returns and hence, the greater the fund’s volatility. The standard deviation has been calculated since inception.
Up Market Capture Ratio: A statistical measure of an investment manager’s overall performance in up-markets. The up-market capture ratio is used to evaluate how well an investment manager performed relative to an index during periods when that index has risen. The up-market capture ratio has been calculated since inception.
Down Market Capture Ratio: A statistical measure of an investment manager’s overall performance in down-markets. The down-market capture ratio is used to evaluate how well or poorly an investment manager performed relative to an index during periods when that index has dropped. The down-market capture ratio has been calculated since inception.
Sharpe Ratio: A statistical measure that uses standard deviation and excess return to determine reward per unit of risk. A higher Sharpe ratio implies a better historical risk-adjusted performance. The Sharpe ratio has been calculated since inception using the 3-month treasury bill for the risk-free rate of return.
Weighted Avg. Mkt. Cap: The mean market capitalization (value of outstanding shares) of a basket of stocks, taking into account the relative weight of each investment.
Median Market Capitalization: The median market capitalization (value of outstanding shares) of a basket of stocks.
Price to Book Ratio: The harmonic weighted average of the price/book (P/B) ratios of the equity securities referenced. The ratio calculated by dividing the current price of the stock by the company’s book value per share (assets minus liabilities).
Price to Earnings Ratio: The harmonic weighted average of the price/earnings (P/E) ratios of the equity securities referenced. The P/E ratio is calculated by dividing the current price of the stock by the trailing one year earnings.
Return on Equity: The amount of net income returned as a percentage of shareholders equity. Return on equity measures a corporation’s profitability by revealing how much profit a company generates with the money shareholders have invested.
Turnover Ratio: A measure of how frequently assets within a fund are bought and sold by the managers represented over a one year period.
Active share: A measure of the percentage of holdings in a portfolio that differ from a benchmark index. It is calculated by taking the sum of the differences of the weight of each holding in the portfolio and the weight of each holding in the benchmark index and dividing by two. Active Share Ratio: Active share is measured against the iShares S&P 500 ETF.