The fund primarily allocates its capital to the common stock of smaller enterprises. Its investments are focused on companies with a market capitalization not exceeding $500 million at the moment of the fund's initial acquisition. A core element of its strategy is to target micro-capitalization firms that appear undervalued when compared to their intrinsic "private market worth." The sub-adviser defines this "private market value" as the estimated price an astute investor would hypothetically offer to acquire the entire company.