DISCIPLINED VALUE INVESTORS
Our disciplined, consistent and repeatable investment process enables us to evaluate investment opportunities without bias. Investors often make emotional decisions which can result in irrational market prices. We focus on important investment parameters such as a company's tangible assets, sustainable cash flow and potential for improving business performance. We believe our valuation methodology provides the opportunity to achieve long-term capital appreciation while avoiding the pitfalls of owning high-priced stocks or mispriced debt.

INDEPENDENT THINKING DRIVES OUR RESEARCH
Independent thinking is the cornerstone of our investment research. We promote creativity in our research approach; we do not simply take consensus opinion at face value. The research process includes meeting with several layers of company management to better assess the true economics of the business and the industry in which it operates. This independent thinking often helps identify undervalued companies that other investors have overlooked.

CREATING VALUE FOR OUR CLIENTS
Our roots are in the institutional asset management business. For 30 years, we have managed money for some of the largest and most respected organizations in the United States. Over time, we have broadened our business to include mutual funds designed to serve the needs of investment professionals and their clients. We established a subsidiary in London to make available our institutional asset management services to clients located throughout Europe. We employ the same consistent investment approach to building wealth for all clients. Because the firm is majority-owned by our employees, creating value for our clients is in our own best interest.

HOTCHKIS AND WILEY HIGH YIELD
In 2009 we introduced the Hotchkis and Wiley High Yield strategy. Leveraging the independent thinking and fundamental research that have driven the firm for 30 years, we've established an avenue for investors to benefit from this interesting and diversifying asset class. While the high yield market is inherently risky, the Hotchkis and Wiley High Yield strategy employs a relatively conservative approach by focusing on BB and B rated credits (highest rated bonds in the high yield market).