Fund Detail

Ivy Small Cap Core Fund

Track Fund
$19.10 NAV as of 11/15/2018
$0.32 / 1.70% Daily NAV Change
1.17% YTD (NAV) as of 11/15/2018 i

Morningstar Tools

Go

Fund Summary

Concentrated approach seeking the best blend between value and growth small-cap stocks
Conviction
Fund holds a limited number of stocks, allowing the portfolio management team to interact with company management and for the best ideas to drive performance.
Focus on performance catalysts
The portfolio management team focuses on identifying inflection points in company fundamentals. The team believes that with inexpensive stocks it is important to wait and see if a company’s fundamentals stabilize/inflect before fully entering a position.
Diversification & balance
Fund strives to participate in up markets while attempting to keep downdraft effects to a minimum. With a concentrated portfolio, this can be accomplished by focusing on diversification and making sure there is a balance between stable value names and higher risk/reward names. Diversification does not ensure a profit or protect against loss in a declining market.
Morningstar Style Box
Value Blend Growth
Large
Medium
Small
Portfolio Management
  • Kenneth G. Gau

    • — Ivy Investment Management Company
    • — 4 Years with Fund
    • — 25 Years in Industry
Growth of a $10,000 Investment through 10/31/2018

Assumes an investment over 10 years or life of the share class, reinvestment of dividends and capital gains, and does not include the effect of sales charges or taxes.

Documents
Fact Sheet
Prospectus
Summary Prospectus
Statement of Additional Information
Annual Report
Semi-Annual Report
Quarterly Commentary
XBRL
Daily Prices as of 11/15/2018
Net Asset Value (NAV) $19.10  
Daily NAV Change $0.32 1.70%
Weekly NAV Change ($0.71) -3.58%
Public Offering Price (POP) $19.10
Fund Facts
Ticker Symbol IYSMX
CUSIP 465899540
Fund Code 898
Fund Type Domestic Equity
Fund Inception 1/31/1997
Class Inception 12/19/2012
Fiscal Year End March
Dividends Paid March, June, September, December
Fund Assets
(as of 10/31/2018)
$721.5 mil
Total Equity Holdings
(as of 10/31/2018)
51
Total Holdings
(as of 10/31/2018)
55
Portfolio Turnover Rate
(as of 3/31/2018)
119%
Morningstar Category Small Blend
Lipper Category Small-Cap Core Funds
BenchmarkRussell 2000 TR USD

Fund Performance

Data quoted is past performance and current performance may be lower or higher. Past performance is no guarantee of future results. Investment return and principal value of an investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost.

Performance does not include the effect of sales charges as Class R shares are not subject to sales charges.

Monthly Rates of Return Average Annual Total Returns as of 10/31/2018

(Returns for periods of less than 1-yr are not annualized)
YTD 1YR 3YR 5YR 10YR LIFE
Fund at NAV 0.79% 1.83% 12.14% 9.18% 11.81% 9.07%
Russell 2000 TR USD -0.60% 1.85% 10.68% 8.01% 12.44% -
Morningstar Small Blend -2.44% -0.07% 8.86% 6.75% 12.10% -

Quarterly Rates of Return Average Annual Total Returns as of 9/30/2018

(Returns for periods of less than 1-yr are not annualized)
YTD 1YR 3YR 5YR 10YR LIFE
Fund at NAV 11.97% 16.35% 18.47% 11.91% 11.43% 9.64%
Russell 2000 TR USD 11.51% 15.24% 17.12% 11.07% 11.11% -
Morningstar Small Blend 8.24% 12.14% 14.73% 9.71% 10.67% -

Calendar Year Return

20132014201520162017
Class R32.65 6.66 -6.17 28.22 13.04
Russell 2000 TR USD- - - 21.31 14.65

Morningstar Ratings as of 10/31/2018

Category: Small Blend

Overall out of 653 ★★★★★
3 Year out of 653 ★★★★★
5 Year out of 542 ★★★★★
10 Year out of 395 ★★★

Ratings are based on risk-adjusted returns.

Morningstar Ranking through 10/31/2018

Category: Small Blend

  Rank Percentile
1 Year 247 /784 34
3 Year 56 /653 9
5 Year 44 /542 9

Morningstar Ranking / # of Funds in Category displays the fund's actual rank within its Morningstar Category based on average annual total return and number of Funds in that Category. The Morningstar Percentile Ranking compares a Fund's Morningstar risk and return scores with all the Funds in the same Category, where 1% = Best and 100% = Worst.

Expense Ratios as of 7/31/2018

Net 1.68%
Gross 1.68%

Growth of a $10,000 Investment through 10/31/2018

Assumes an investment over 10 years or life of the share class, reinvestment of dividends and capital gains, and does not include the effect of sales charges or taxes.

Fund Distributions

Historical Prices Inception 12/19/2012

Date Price Dividend Reinvest Date Capital Gain Reinvest Date

Historical Distributions Inception 12/19/2012

Ex-date Income Capital Gains Reinvest Gains Payment Date

*Special Dividend
The table includes the daily prices at NAV (net asset value) for the history of this fund's selected share class. NAV is the amount per share you would receive if you sold shares that day.

12-Month Trailing Dist. Yield as of 10/31/2018

NAV 0.00%
With Sales Charge 0.00%

Fund Documents

Top 10 Equity Holdings as a % of net assets as of 10/31/2018

Webster Financial Corp. Webster Financial Corp. operates as the bank and financial holding company for Webster Bank, National Association that provides financial services to individuals, families, and businesses in the U.S. 4.85%
Vonage Holdings Corp. Vonage Holdings Corp. provides communication services through cloud-connected devices for both business and consumer clients. The company was founded in 2000 and is headquartered in Holmdel, NJ. 4.43%
Post Holdings, Inc. Post Holdings is a consumer packaged goods holding company headquartered in the suburban St. Louis community of Brentwood, Missouri. It operates in the center-of-the-store, foodservice, food ingredient, refrigerated, active nutrition and private label categories. 4.20%
Grand Canyon Education, Inc. Grand Canyon Education, Inc. provides online postsecondary education services in the United States. It focuses on offering graduate and undergraduate degree programs in education, business, and healthcare disciplines. 4.09%
Green Dot Corp., Class A The Green Dot Corporation is an American financial technology and bank holding company headquartered in Pasadena, CA. It is the world's largest prepaid debit card company by market capitalization. Green Dot is also a payments platform company and is the technology platform used by Apple Pay Cash, Uber, and Intuit. 3.72%
Cabot Corp. Cabot Corporation has businesses in chemicals, performance materials, and specialty fluids. The Company manufactures and sells carbon black, fumed silica, plastics, ink jet colorants, tantalum, niobium, and germanium. Cabot's specialty fluids business produces and markets cesium formate as a drilling and completion fluid for use in oil and gas well operations. 3.07%
Red Rock Resorts, Inc., Class A Red Rock Resorts, Inc. operates as a gaming, development, and management company. The Company owns and manages casino and entertainment properties. Red Rock Resorts offers restaurants, entertainment venues, movie theaters, bowling, and banquet space, as well as casino gaming such as video poker, slot machines, table games, bingo, and race and sports wagering. 2.98%
Nomad Foods Ltd. 2.78%
Booz Allen Hamilton Holding Corp. 2.75%
Insulet Corp. Insulet is a medical device company based in Billerica, MA. It was founded in 2000 and seeks to expand the use of insulin pump therapy via its Omnipod Insulin Management System. 2.61%
Total Portfolio Holdings DOWNLOAD (as of 9/30/2018)
updated quarterly, upon availability
Market Capitalization as a % of equity assets as of 10/31/2018
Large ( > $10 bil) 0.0%
Medium ($2 - $10 bil) 74.3%
Small ( < $2 bil) 25.8%
Median Market Cap (as of 10/31/2018) $3.6 bil
Top 10 Industry Allocation (as a % of Equity Holdings as of 10/31/2018)
Packaged Foods & Meats 7.4%
Regional Banks 7.2%
Industrial Machinery 6.4%
Application Software 5.7%
IT Consulting & Other Services 5.2%
Alternative Carriers 4.7%
Health Care Equipment 4.6%
Education Services 4.3%
Commodity Chemicals 3.9%
Consumer Finance 3.9%
Sector Allocation as a % of equity assets as of 10/31/2018
Information Technology 18.67%
Industrials 15.76%
Financials 15.66%
Health Care 11.95%
Consumer Discretionary 10.07%
Consumer Staples 7.36%
Utilities 5.62%
Communication Services 4.68%
Real Estate 4.63%
Materials 3.93%
Energy 1.67%
Portfolio Composition as a % of net assets as of 10/31/2018
Domestic Common Stock 94.83%
Cash and Cash Equivalents 5.17%
Equity Country Allocation as a % of equity assets as of 10/31/2018
United States 95.4%
United Kingdom 3.9%
Luxembourg 0.7%
Total Portfolio Holdings
DOWNLOAD (as of 9/30/2018)

Fund Documents

Documents

Fact Sheet
Prospectus
Summary Prospectus
Statement of Additional Information
Annual Report
Semi-Annual Report
Quarterly Commentary
XBRL

Additional Fund Literature

Financial Advisors may login to view fund's additional documents.


Continue

Data quoted is past performance and current performance may be lower or higher. Past performance is no guarantee of future results. Investment return and principal value of an investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost.

Risk factors: The value of the Fund’s shares will change, and you could lose money on your investment. Investing in small-cap growth and value stocks may carry more risk than investing in stocks of larger, more well-established companies. Growth stocks may be more volatile or not perform as well as value stocks or the stock market in general. Value stocks are stocks of companies that may have experienced adverse developments or may be subject to special risks that have caused the stocks to be out of favor and, in the opinion of the Fund’s manager, undervalued. Such security may never reach what the manager believes to be its full value, or such security’s value may decrease. The Fund typically holds a limited number of stocks (generally 40 to 60). As a result, the appreciation or depreciation of any one security held by the Fund may have a greater impact on the Fund’s net asset value than it would if the Fund invested in a larger number of securities. These and other risks are more fully described in the Fund’s prospectus. Not all funds or fund classes may be offered at all broker/dealers.

Index Description: The Russell 2000 Index is an index measuring the performance approximately 2,000 small-cap companies in the Russell 3000 Index, which is made up of 3,000 of the biggest U.S. stocks. It is not possible to invest directly in an index.

The Advantus Venture Fund merged into the Ivy Small Cap Value Fund on Dec. 8, 2003 (since renamed Ivy Small Cap Core Fund on March 3, 2017). The performance shown for periods prior to this date is that of the Advantus Venture Fund Class A shares, restated to reflect current sales charges applicable to Ivy Small Cap Core Fund Class A shares. Performance has not been restated to reflect the fees and expenses applicable to the Ivy Small Cap Core Fund. If these expenses were reflected, performance shown would differ. Fund performance after March 3, 2017, may significantly differ from prior performance due to changes made to the Fund's investment strategies.

Performance results for some funds may include the effect of expense reduction arrangements. If those arrangements had not been in place, the performance results would have been lower.

Prior to March 3, 2017, the Ivy Small Cap Core Fund was known as the Ivy Small Cap Value Fund and its benchmark was the Russell 2000 Value Index. The Fund’s benchmark is now the Russell 2000 Index. These changes were made to more closely align with the Fund’s investment objectives.

Class T shares were launched on July 5, 2017.

Fee Waiver and/or Expense Reimbursement: Through July 31, 2020, Ivy Investment Management Company (IICO), the Fund’s investment manager, Ivy Distributors, Inc. (IDI), the Fund’s distributor, and/or Waddell & Reed Services Company, doing business as WI Services Company (WISC), the Fund’s transfer agent, have contractually agreed to reimburse sufficient management fees, 12b-1 fees and/or shareholder servicing fees to cap the total annual ordinary fund operating expenses (which would exclude interest, taxes, brokerage commissions, acquired fund fees and expenses and extraordinary expenses, if any) as follows: Class I shares and Class N shares at 0.89%. Prior to that date, the expense limitation may not be terminated without the consent of the Board of Trustees (Board).

Fee Waiver and/or Expense Reimbursement: Through July 31, 2019, IDI and/or WISC have contractually agreed to reimburse sufficient 12b-1 and/or shareholder servicing fees to ensure that the total annual ordinary fund operating expenses of the Class T shares and Class Y shares do not exceed the total annual ordinary fund operating expenses of the Class A shares, as calculated at the end of each month. Prior to that date, the expense limitation may not be terminated without the consent of the Board.

Pricing: All prices and year-to-date returns are based on closing quotes unless noted, as supplied to the NASDAQ by 6:00 p.m. Eastern time. YTD Prices can be updated 3 to 4 hours after the Daily Pricing information which can result in mismatching data.

Style Analysis: The Morningstar Style Box reveals a fund's investment style. For equity funds the vertical axis shows the market capitalization of the stocks owned and the horizontal axis shows investment style (value, blend, or growth). For fixed-income funds, the vertical axis shows the credit quality of the bonds owned and the horizontal axis shows interest rate sensitivity as measured by a bond's effective duration. Morningstar seeks credit rating information from fund companies on a periodic basis (e.g., quarterly). In compiling credit rating information, Morningstar instructs fund companies to only use ratings that have been assigned by the following Nationally Recognized Statistical Rating Organizations (NRSROs): Moody's, Standard & Poor's, Fitch, and Egan-Jones. If two NRSROs have rated a security, fund companies are to report the lowest rating; if three or more NRSROs have rated the same security differently, fund companies are to report the rating that is in the middle. For example, if NRSRO X rates a security AA-, NRSRO Y rates the same security an A and NRSRO Z rates it a BBB+, the fund company should use the credit rating of 'A' in its reporting to Morningstar. PLEASE NOTE: Morningstar, Inc. is not itself an NRSRO nor does it issue a credit rating on the fund. An NRSRO rating on a fixed-income security can change from time-to-time. For credit quality, Morningstar combines the credit rating information provided by the fund companies with an average default rate calculation to come up with a weighted-average credit quality. The weighted-average credit quality is currently a letter that roughly corresponds to the scale used by a leading NRSRO. Bond funds are assigned a style box placement of "low", "medium", or "high" based on their average credit quality. Funds with a low credit quality are those whose weighted-average credit quality is determined to be less than "BBB-"; medium are those less than "AA-", but greater or equal to "BBB-"; and high are those with a weighted-average credit quality of "AA-" or higher. When classifying a bond portfolio, Morningstar first maps the NRSRO credit ratings of the underlying holdings to their respective default rates (as determined by Morningstar's analysis of actual historical default rates). Morningstar then averages these default rates to determine the average default rate for the entire bond fund. Finally, Morningstar maps this average default rate to its corresponding credit rating along a convex curve. For interest-rate sensitivity, Morningstar obtains from fund companies the average effective duration. Generally, Morningstar classifies a fixed-income fund's interest-rate sensitivity based on the effective duration of the Morningstar Core Bond Index (MCBI), which is currently three years. The classification of Limited will be assigned to those funds whose average effective duration is between 25% to 75% of MCBI's average effective duration; funds whose average effective duration is between 75% to 125% of the MCBI will be classified as Moderate; and those that are at 125% or greater of the average effective duration of the MCBI will be classified as Extensive. For municipal bond funds, Morningstar also obtains from fund companies the average effective duration. In these cases static breakpoints are utilized. These breakpoints are as follows: (i) Limited: 4.5 years or less; (ii) Moderate: more than 4.5 years but less than 7 years; and (iii) Extensive: more than 7 years. In addition, for non-US taxable and non-US domiciled fixed income funds static duration breakpoints are used: (i) Limited: less than or equal to 3.5 years; (ii) Moderate: greater than 3.5 and less than equal to 6 years; (iii) Extensive: greater than 6 years.

Unsubsidized yields reflect what the yield would have been without the effect of reimbursements and waivers. The adviser and its affiliates have or may voluntarily waive a portion of their fees (including, but not limited to, distribution and service (12b-1) fees) and reimburse certain expenses. There is no guarantee that the fund will avoid a negative yield. Such undertaking may be amended or withdrawn at any time.

12-Month Trailing Distribution Yield: at NAV refers to the 12-month historical cash flow paid over the past 12 months in dividends, divided by the past months ending NAV.

The Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance, and does not include the effects of sales charges. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.

© 2018 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

Information is subject to change and is not intended to represent any past or future investment recommendations.