The Multi-Manager Large Cap Fund underperformed during the quarter with a return of 0.97% compared with the Russell 1000® return of 2.05%. The narrowness of the market gains during the quarter represented a challenge for the Fund and its sub-advisers. The utilities sector, which represents only 2.5% of the benchmark, returned over 18% during the quarter and had an outsized impact on overall benchmark results. In fact, only three benchmark sectors outperformed the broad market. These narrowly driven gains represented a headwind to the Funds more diversified approach.
All four of the sub-advisers underperformed during the quarter to varying degrees. West Ends concentrated sector exposures were out of favor during the three-month period. Underperformance by both Huber and Jennison was driven by stock selection in consumer staples and technology, respectively. Delaware delivered the strongest results during the quarter, returning 2.93%.
If you're a long-term investor looking to diversify your investments by pursuing the growth potential of large-company stocks, then this Fund may be right for you.
- Invest in large-cap stocks through a variety of external large-cap managers who have distinct investment styles and strategies.
- Select complementary managers from a broad universe of investment managers.
- Blend managers into a single fund in an effort to provide an attractive combination of risk and return.