HURLEY CAPITAL, LLC
CORE EQUITY COMPOSITE
ANNUAL DISCLOSURE PRESENTATION
N.A.1 - Information is not statistically meaningful, as there are 5 or fewer portfolios in the composite for the entire year.
N.A.2 - The three- year annualized ex-post standard deviation is not presented for 2003 through 2005, due to less-than-36 months of composite and benchmark data.
*Refer to statement, below, regarding the percentage of non-fee paying accounts.
Core Equity Composite contains fully discretionary core equity accounts and for comparison purposes is measured against the S&P 500 Total Returns (TR). The Core Equity Composite is invested primarily in equities, but may include hybrid or fixed-income securities, such as preferred shares and convertible bonds. The S&P 500 is composed of the common stock of 500 U.S. large-cap companies, encompassing 75% coverage of U.S. equities. The S&P 500 holds only equity investments, and does not include hybrid or fixed-income securities. Since inception, the minimum account size for this composite has been $50 thousand.
Hurley Capital, LLC is an independent registered investment adviser. Registration does not imply a certain level of skill or training. The firm maintains a complete list and description of composites, which is available upon request. The firm only manages one investment strategy. The Core Equity Composite was created on August 31, 2003.
Results are based on fully discretionary accounts under management, including those accounts no longer with the firm. Prior to August, 2004, the composite had 100% non-fee paying accounts in the composite; the net of fee performance presented during this period was calculated using the highest fee of 1.5% applied monthly. Since 2009, non-fee paying accounts have accounted for less than 2% of composite assets for each year end, and all other years there were no non-fee paying accounts. Non-fee paying accounts have accounted for 1.75% of composite assets for the year end of 2016. Composite performance is presented net of foreign withholding taxes on dividends, interest income, and capital gains. Withholding taxes may vary according to the investor's domicile. Leverage/Derivatives may make up a material part of the composite strategy which includes short selling, with the short position covered by cash accounts that are marked to market on a daily basis. We short stocks from time-to-time using the same valuation methodology we use for buying investments. We see the possible benefits of short investments as diversification and risk-mitigation and our short position is never more than a 20% allocation.
The U.S. Dollar is the currency used to express performance. Returns are presented gross and net of management fees and include the reinvestment of all income. Net of fee performance was calculated using actual management fees, including performance fees. The annual composite dispersion presented is an asset-weighted standard deviation calculated for the accounts in the composite the entire year. Policies for valuing portfolios, calculating performance, and preparing compliant presentations are available upon request.
The investment management fee schedule for the composite is 1.5%, or 1% on all balances plus 10% of annual investment gains, subject to high-water marks. Actual investment advisory fees incurred by clients may vary.
Hurley Capital, LLC claims compliance with the Global Investment Performance Standards (GIPS ®) and has prepared and presented this report in compliance with the GIPS standards. Hurley Capital, LLC has been independently verified for the periods August 31, 2003 through March 31, 2017 by Ashland Partners & Company LLP.
Verification assesses whether (1) the firm has complied with all the composite construction requirements of the GIPS standards on a firm-wide basis and (2) the firm's policies and procedures are designed to calculate and present performance in compliance with the GIPS standards. The Core Equity Composite has been examined for the periods August 31, 2003 through March 31, 2017 by Ashland Partners & Company LLP. The verification and performance examination reports are available upon request.
Past performance is not an indicator of future results.