Aston/Herndon Large Cap Value Fund

Investment Style

The Aston/Herndon Large Cap Value Fund seeks to provide long-term capital appreciation.

Investment Strategy

Under normal circumstances, the Fund invests at least 80% of its assets in securities of large-cap companies that the portfolio managers believe are undervalued compared to their perceived worth. Value companies tend to have stock prices that are low relative to their earnings, dividends, assets or other financial measures. The subadviser defines large-cap companies as companies with a market capitalization, at the time of acquisition, within the range of market capitalizations of companies constituting the Russell 1000 Index. As of February 28, 2010, the market capitalization range of the Russell 1000 Index was approximately $238 million to $317 billion.

The portfolio managers combine a value-oriented approach with fundamental analysis to seek to identify companies primarily from the Russell 1000 Index that they believe have strong fundamentals and are undervalued relative to other companies comprising the Russell 1000 Index. Companies that meet minimum capitalization and quality screens are evaluated and ranked based on a number of fundamental metrics. The portfolio managers seek to construct a portfolio that has the following characteristics relative to the Russell 1000 Index:

• higher quality
• higher dividend growth rates
• lower valuation
• stronger earnings growth
• lower volatility

To manage risk, the portfolio managers seek to limit sector and security exposure, maintain sector diversification, maintain a bias towards liquidity and adhere to a disciplined sell process.

Note: Value investing involves buying the stocks of companies that are out of favor or are undervalued. This may adversely affect the Fund's value and return.

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