CCM Alternative Income Fund Marks 5-Year Anniversary
Fund is the first liquid ESG alternative mutual fund within the Morningstar Alternative Category
Ft. Lauderdale, FL, June 12, 2018: Community Capital Management, Inc. (CCM), a leading impact/ESG investing manager, is pleased to announce that its CCM Alternative Income Fund (CCMNX) celebrated its five-year anniversary on May 31, 2018. The Fund is designed for investors seeking a higher-yielding, market-neutral impact vehicle. CCMNX celebrates this anniversary with a 4-Star Overall Morningstar Rating out of 288 multialternative funds and with a 30-Day SEC Yield of 5.65% (as of 5/31/18).
CCM’s Chief Impact Strategist, David Sand, commented, “We are extremely proud of the Fund’s performance and equally proud of it being the first of its kind in the liquid alternative space to employ impact/ESG criteria in its risk assessment and investment approach of portfolio positions.”
The CCM Alternative Income Fund’s investment objective is to provide (1) a high level of current income consistent with the preservation of capital and (2) reduced correlation to conventional stock and bond markets while considering environmental, social and governance (ESG) factors. CCM has an extraordinary 18-year history of providing investors with impact/ESG investing solutions. CCMNX was launched due to demand from investors looking for income and diversification from equity and fixed income portfolios while also meeting impact/ESG criteria. The Fund employs an enhanced impact/ESG due diligence process to provide greater transparency to shareholders.
Sand added: “In this current environment of increasing uncertainty about the direction of interest rates and equity markets, we believe the Fund is uniquely suited for higher-income-seeking investors looking for reduced portfolio exposures.”
“As a multi-asset class fund, CCMNX faces unique challenges and opportunities in the consideration of impact for common stocks and bonds,” said Alyssa Greenspan, CCM’s President/COO. “We apply the same internal impact metrics to our corporate bond and equity investments in CCMNX as we have for our fixed income portfolios over the past 18 years. We utilize a combination of third-party and in-house research to determine where potential equity holdings fall within four categories that include positive impact, impact, neutral, and negative.”
As of 5/31/18, CCMNX one-year performance is 4.10%, five-year performance is 2.75%, and since inception (5/31/13) is 2.75%. The CCM Alternative Income Fund is available on most major platforms and in various impact investing models. For more information, please visit: www.ccminvests.com.
Community Capital Management, Inc.
Community Capital Management, Inc. is an investment adviser registered with the Securities and Exchange Commission with offices in Fort Lauderdale, Charlotte, Boston, and the greater New York City area. Our strategies utilize an innovative bottom-up approach to fixed income and equity investing combining the positive impacts of impact/ESG investing with rigorous financial analysis, an inherent focus on risk management, and transparent research. As of March 31, 2018, CCM has over $2.4 billion in assets under management across its mutual funds and separately managed accounts. For more information, please visit: www.ccminvests.com.
The 30-day unsubsidized yield as of 5/31/18 is 5.51%. Performance for periods greater than 1-year are annualized. Performance quoted is past performance and does not guarantee future results. Current performance may be lower or higher than the performance data quoted. An investor’s investment return and principal value will fluctuate, so that your share when redeemed may be worth more or less than your initial cost. To obtain the most recent month-end standardized performance, call 877-272-1977. Performance reflects fee waivers, which if not in effect, would have decreased performance. The total annual fund operating expenses is 2.85%. The net expense ratio is 2.74% which is the amount the investor would pay. The total annual fund operating expenses after fee waivers and expense reimbursements (other than acquired fund fees and expenses and dividend expense and prime broker fees on securities sold short) is 1.40%. Waivers are contractual and in effect until 9/30/19.Mutual fund investing involves risk including the loss of principal. Bond and bond funds are subject to interest rate risk and will decline in value as interest rates rise. High yield bonds involve greater risks of default or downgrade and are more volatile than investment grade securities, due to the speculative nature of their investments. The Fund uses investment techniques that are different from the risks ordinarily associated with equity investments. Such techniques and strategies include hedging risks, merger arbitrage risks, derivative risks, short sale risks, leverage risks, commodities risk, and foreign investment risks, which may increase volatility and may increase costs and lower performance. Commodities can be highly volatile and the use of leverage may accelerate the velocity of potential losses.
Carefully consider the risks, investment objectives, charges and expenses of the Fund before investing. The prospectus contains this and other important information. The prospectus is available by calling 866-202-3573. Please read the prospectus carefully before investing. The CRA Qualified Investment Fund is distributed by SEI Investments Distribution Co. (SIDCO), 1 Freedom Valley Drive, Oaks, PA 19456, which is not affiliated with Community Capital Management or any other affiliate.
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The Morningstar RatingTM 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. The Morningstar Rating does not include any adjustment for sales loads. 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. As of 5/31/18, the CCM Alternative Income Fund was rated against the following number of Multialternative funds over the following time periods: 288 in the last three years and 148 in the last five years. With respect to these Multialternative funds, the CCM Alternative Income Fund received a Morningstar Rating of four stars for the three-year time period and four stars for the five-year time period.