Brown Advisory Flexible Value A (BAFVX) Fund

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Majority of investor portfolios typically have one element in common; the largest asset class is typically allocated to large cap stocks especially growth stocks. One of the most popular investor’s choices is investing in the large cap mutual funds. The Brown Advisory Flexible Value fund is classified as large blend stock mutual fund. More review about this fund below.

Brown Advisory Flexible Value A (BAFVX)

The Brown Advisory Flexible Value fund seeks to achieve long-term capital growth. This stock fund invests primarily in a diversified portfolio of equity securities, especially in ETFs (Exchange Traded Funds). This fund may invest in investment grade and non-investment grade debt securities or unrated debt securities determined by the Advisor to be of comparable quality.

Fund Profile
  • Fund Inception Date: 01/24/2007
  • Ticker Symbol: BAFVX
  • CUSIP: 74316J508
  • Beta (3yr): 0.93
  • Rank in category (YTD): 93%
  • Category: Large Blend
  • Distribution: 0.19%
  • Capital Gains: 0%
  • Expense Ratio: 1.35%  
  • Net Assets: $ 34.26 million
  • Number of Years Up: 3 years
  • Number of Years Down: 1 year
  • Annual Turnover Rate: 33%
Updated on 05/04/2012

Brown Advisory Flexible Value
This large blend mutual fund was first introduced to public in November 2006. The current fund managers are R. Hutchings Vermon, Michael Foss and Nina K. Yudell. The fund has total net assets of $34.26 million. The fund has 1.35% annual expense ratio. The ratio is lower than the average in the Large Blend category (1.12%). The 12b1 fee is 0.25%, and there is no sales charge. The annual holdings turnover rate is 33.00%. The dividend yield of this fund is very small (0.19%). The most recent distribution was on December 2011 ($0.01).

This mutual fund has YTD return of 3.23%. This fund has its highest return so far in 2009 with 40.81%. The only year the fund had negative return was in 2008 with -40.51%. Based on the load adjusted return, this fund has returned 4.72% over the past 1-year, 20.78% over the past 3-year and -2.28% over the past 5-year. The 3-years beta is 0.93.

Best US Domestic Stock Mutual Funds 2011

The purchase of this mutual fund is limited to a list of 25 brokerages only, such as Firstrade, Pershing Fund Center, Td Ameritrade, E Trade Financial, E Trade No Load Fee, etc. The minimum opening purchase of this fund is $2,000 with the minimum next purchase of $100. The other class of this fund is the Institutional Shares (BIAFX).

The top 10 holdings of this large blend mutual fund as of December 2011 are Google Inc (5.84%), MasterCard Inc (5.58%), Occidental Petroleum Corp (4.46%), Berkshire Hathaway Inc (4.27%), Canadian National Railway Co (4.12%), Kinder Morgan Inc (3.57%), Cash & Equivalents (3.28%), Wells Fargo & Co (3.20%), Walt Disney Co (3.13%) and Lowe’s Companies Inc (2.66%).

Principal Investment Risks include Convertible Securities Risk, Debt/Fixed Income Securities Risk, Equity and General Market Risk, ETF Risk, Foreign Securities Risk, Management Risk, Non-Investment Grade Securities Risk, Private Placement Risk, REIT and Real Estate Risk, Smaller and Medium Capitalization, etc.

Pros and Cons

The advantages of investing in this stock mutual fund are:
  • No sales load
  • Low holding turnover rate
The disadvantages are:
  • Lack of long term performance
  • The expense ratio is high
Disclosure: No Position

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