• Overview

    Category
    Domestic Equity

    Hennessy Cornerstone Growth Fund

    Quantitatively managed, the Fund maintains a concentrated portfolio, which seeks growth at a reasonable price.

    Investor

    HFCGX

    Institutional

    HICGX

    Morningstar style box

    Morningstar style box
    Portfolio Manager Commentary
    Portfolio Manager Commentary

    Why Invest

    • Quantitatively-driven, repeatable investment process
    • Combines growth investing with a valuation overlay
    • Focus on undervalued companies that have proven earnings and stock price growth

    Investment Criteria

    The Hennessy Cornerstone Growth Fund utilizes a quantitative formula to identify 50 common stocks with the highest one-year price appreciation that also meet the following criteria:

    1. Market capitalization exceeding $175 million
    2. Price-to-sales ratio below 1.5
    3. Annual earnings higher than the previous year
    4. Positive stock price appreciation over the past three- and six-month periods

    Portfolio Managers

    “The Fund marries value and momentum investing.”

    - Neil Hennessy

  • Insights & News

  • Performance

    Daily Pricing & Performance

    as of 8/7/20
    • Investor Class (HFCGX)
      • NAV

        $19.61

      • $ Change

        $0.16

      • % Change

        0.82%

      • YTD

        -6.31%

    • Institutional Class (HICGX)
      • NAV

        $20.35

      • $ Change

        $0.17

      • % Change

        0.84%

      • YTD

        -6.13%

    Average Annualized Total Return

    as of 7/31/20
    Name 1 Mo YTD 1 yr 3 yr 5 yr 10 yr Since Inception (11/1/96)
    Investor Class (HFCGX) 6.99% -11.56% -6.23% -1.75% -0.14% 8.08% 7.62%
    Institutional Class (HICGX) 7.08% -11.39% -5.93% -1.42% 0.18% 8.41% 7.80%
    Russell 2000® Index 2.77% -10.57% -4.59% 2.69% 5.10% 10.07% 7.82%
    S&P 500® Index 5.64% 2.38% 11.96% 12.01% 11.49% 13.84% 8.72%

    Please swipe to view table

    as of 6/30/20
    Name QTR YTD 1 yr 3 yr 5 yr 10 yr Since Inception (11/1/96)
    Investor Class (HFCGX) 36.11% -17.34% -11.37% -2.76% -1.13% 8.04% 7.34%
    Institutional Class (HICGX) 36.12% -17.25% -11.14% -2.44% -0.83% 8.38% 7.52%
    Russell 2000® Index 25.42% -12.98% -6.63% 2.01% 4.29% 10.50% 7.73%
    S&P 500® Index 20.54% -3.08% 7.51% 10.73% 10.73% 13.99% 8.50%

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    Hypothetical Growth of $10,000

    as of 7/31/2020

    Value of $10,000 invested between 7/31/2019 and 7/31/2020

    Cornerstone Growth Fund (HFCGX) $9,377
    Cornerstone Growth Fund (HICGX) $9,407
    Russell 2000® Index $9,541
    S&P 500® Index $11,196

    Value of $10,000 invested between 7/31/2017 and 7/31/2020

    Cornerstone Growth Fund (HFCGX) $9,485
    Cornerstone Growth Fund (HICGX) $9,581
    Russell 2000® Index $10,828
    S&P 500® Index $14,053

    Value of $10,000 invested between 7/31/2015 and 7/31/2020

    Cornerstone Growth Fund (HFCGX) $9,931
    Cornerstone Growth Fund (HICGX) $10,092
    Russell 2000® Index $12,826
    S&P 500® Index $17,223

    Value of $10,000 invested between 7/31/2010 and 7/31/2020

    Cornerstone Growth Fund (HFCGX) $21,753
    Cornerstone Growth Fund (HICGX) $22,420
    Russell 2000® Index $26,100
    S&P 500® Index $36,558

    Value of $10,000 invested between 11/1/1996 and 7/31/2020

    Cornerstone Growth Fund (HFCGX) $57,224
    Cornerstone Growth Fund (HICGX) $59,483
    Russell 2000® Index $59,817
    S&P 500® Index $72,781

    This data illustrates the performance of a hypothetical $10,000 investment made in the Fund for the period noted, and it assumes reinvestment of dividends and capital gains. This chart does not imply future performance.

    Calendar Year Total Returns

      2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
    Investor Class (HFCGX)
    11.50 -10.78 30.31 35.89 13.82 -1.09 8.37 16.60 -21.22 20.70
    Institutional Class (HICGX)
    12.06 -10.58 30.76 36.43 14.01 -0.86 8.70 16.99 -20.91 21.05
    Russell 2000® Index
    26.85 -4.18 16.35 38.82 4.89 -4.41 21.31 14.65 -11.01 25.52
    S&P 500® Index
    15.06 2.11 16.00 32.39 13.69 1.38 11.96 21.83 -4.38 31.49
    Year
    Investor Class (HFCGX)
    Institutional Class (HICGX)
    Russell 2000® Index
    S&P 500® Index
    2009 10.29% 10.60% 27.17% 26.46%
    2008 -43.69% -43.56% -33.79% -37.00%
    2007 -2.18% -2.18% -1.57% 5.49%
    2006 10.42% 10.42% 18.37% 15.79%
    2005 11.96% 11.96% 4.55% 4.91%
    2004 16.65% 16.65% 18.33% 10.88%
    2003 45.82% 45.82% 47.25% 28.68%
    2002 -4.71% -4.71% -20.48% -22.10%
    2001 12.14% 12.14% 2.49% -11.89%
    2000 5.30% 5.30% -3.02% -9.10%
    1999 37.72% 37.72% 21.26% 21.04%
    1998 3.67% 3.67% -2.55% 28.58%
    1997 31.33% 31.33% 22.36% 33.36%

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    Returns-Based Statistics
    Relative to Russell 2000® Index

    as of 6/30/20
    Investor Class (HFCGX)
    Type 3 yr 5 yr 10 yr
    Alpha -3.99 -4.93 -2.17
    Beta 1.12 1.02 1.03
    Upside Capture 93.51 75.67 90.21
    Downside Capture 109.86 94.46 96.99
    Institutional Class (HICGX)
    Type 3 yr 5 yr 10 yr
    Alpha -3.68 -4.62 -1.85
    Beta 1.12 1.02 1.03
    Upside Capture 94.10 76.24 90.87
    Downside Capture 109.34 93.85 96.39

    Alpha measures the fund’s excess return relative to the return of the benchmark. Beta measures the volatility of the fund compared to that of the benchmark. The beta of the benchmark is 1.00. Capture ratios measure the fund’s overall performance in up markets (positive return periods) and down markets (negative return periods).

    Sharpe Ratio

    as of 6/30/20
    Type 3 yr 5 yr 10 yr
    Investor Class (HFCGX) -0.02 0.01 0.45
    Institutional Class (HICGX) -0.01 0.03 0.47
    Russell 2000® Index 0.13 0.25 0.60
    Small Blend Category Average 0.00 0.15 0.53

    Sharpe Ratio is a measure of risk-adjusted return, reflecting the average return earned in excess of the risk-free rate per unit of volatility.

    Standard Deviation

    as of 6/30/20
    Type 3 yr 5 yr 10 yr
    Investor Class (HFCGX) 26.99 22.17 20.80
    Institutional Class (HICGX) 26.95 22.14 20.80
    Russell 2000® Index 22.93 20.27 18.60
    Small Blend Category Average 22.74 19.71 18.02

    Standard deviation is a statistical measure of the historical volatility of a mutual fund or portfolio.

    Fund Expenses

    • Investor Class (HFCGX)
      • Gross expense ratio

        1.34%

    • Institutional Class (HICGX)
      • Gross expense ratio

        1.01%

    Performance data quoted represents past performance; past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance of the fund may be lower or higher than the performance quoted.

    Morningstar Proprietary Ratings reflect risk-adjusted performance as of 6/30/20. The Morningstar Rating for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. among 615, 495 and 359 Small Blend Funds, respectively. Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in distribution percentage.

    Each Morningstar category average represents a universe of funds with similar objectives. The Morningstar Style Box reveals the fund's investment style as of 6/30/20. The vertical axis shows the market capitalization of the stocks owned and the horizontal axis shows investment style (value, blend, or growth). ©Morningstar, Inc. All Rights Reserved. Past performance is no guarantee of future results.

    The performance shown for Institutional Class shares / HICGX prior to 3/3/08 represents the performance of Investor Class shares of the Fund and includes expenses that are not applicable to and are higher than those of Institutional Class shares.

    The S&P 500® and Russell 2000® are unmanaged indices commonly used to measure the performance of U.S. stocks. One cannot invest directly in an index.

    Frank Russell Company (“Russell”) is the source and owner of the trademarks, service marks, and copyrights related to the Russell Indexes. Russell® is a trademark of Russell. Neither Russell nor its licensors accept any liability for any errors or omissions in the Russell Indexes or Russell ratings or underlying data, and no party may rely on any Russell Indexes or Russell ratings or underlying data contained in this communication. No further distribution of Russell data is permitted without Russell’s express written consent. Russell does not promote, sponsor, or endorse the content of this communication.

    Fund holdings and sector allocations are subject to change and should not be considered a recommendation to buy or sell any security.

  • Portfolio

    Portfolio Characteristics

    as of 6/30/20
    Inception Date (HFCGX) 11/1/96
    Inception Date (HICGX) 3/3/08
    Total Fund Assets $110 Million
    Active Share vs. Russell 2000® Index 98%
    Portfolio Turnover 95%
    Median Market Cap $2.4 Billion
    Median Price/Earnings 15.5x
    Median Price/Book 2.1x
    Median Price/Sales 0.7x

    Price/Earnings measures a stock’s price per share compared to earnings. Price/Book measures a stock’s price per share to book value. Price/Sales measures a stock’s price per share to revenue. Portfolio Turnover, Price/Earnings, and Price/Sales shown reflect the trailing 12-month period.

    Sector Weighting

    as of 6/30/20
    Fund Russell 2000® Index Difference
    Consumer Discretionary 37.7% 11.8% +25.9%
    Industrials 19.4% 14.5% +4.9%
    Information Technology 17.8% 13.9% +3.9%
    Financials 9.7% 16.3% -6.7%
    Energy 4.4% 2.3% +2.1%
    Health Care 3.8% 20.6% -16.8%
    Materials 3.8% 4.0% -0.2%
    Real Estate 1.8% 7.1% -5.3%
    Utilities 0.0% 3.6% -3.6%
    Consumer Staples 0.0% 3.3% -3.3%
    Communication Services 0.0% 2.5% -2.5%
    Cash & Other 1.7%

    Portfolio Holdings

    Top 10 Holdings

    as of 6/30/20
    Top 10 Holdings Ticker % of Net Assets
    Sportsman's Warehouse Holdings SPWH 5.4%
    Carvana Co. CVNA 3.1%
    Williams-Sonoma, Inc. WSM 2.6%
    Universal Forest Products, Inc. UFPI 2.4%
    Target Corp. TGT 2.4%
    Installed Building Products, Inc. IBP 2.3%
    Sony Corporation SNE 2.3%
    Best Buy Co., Inc. BBY 2.3%
    Rent-A-Center, Inc. RCII 2.3%
    Leidos Holdings, Inc. LDOS 2.2%
    Total as % of Net Assets 27.5%

    Total Holdings: 51

    as of 6/30/20
    Equity Holdings Ticker % of Net Assets
    Sportsman's Warehouse Holdings SPWH 5.4%
    Carvana Co. CVNA 3.1%
    Williams-Sonoma, Inc. WSM 2.6%
    Universal Forest Products, Inc. UFPI 2.4%
    Target Corp. TGT 2.4%
    Installed Building Products, Inc. IBP 2.3%
    Sony Corporation SNE 2.3%
    Best Buy Co., Inc. BBY 2.3%
    Rent-A-Center, Inc. RCII 2.3%
    Leidos Holdings, Inc. LDOS 2.2%
    Arcosa, Inc. ACA 2.2%
    Crown Holdings, Inc. CCK 2.2%
    The Carlyle Group, Inc. CG 2.1%
    KB Home KBH 2.1%
    Dick's Sporting Goods, Inc. DKS 2.0%
    BMC Stock Holdings, Inc. BMCH 2.0%
    Zumiez, Inc. ZUMZ 2.0%
    Brookfield Asset Management, Inc. BAM 2.0%
    Alamo Group, Inc. ALG 2.0%
    CDW Corp. CDW 2.0%
    R1 RCM, Inc. RCM 2.0%
    America's Car-Mart, Inc. CRMT 1.9%
    SYNNEX Corp. SNX 1.9%
    Methode Electronics, Inc. MEI 1.9%
    LPL Financial Holdings, Inc. LPLA 1.9%
    M/I Homes, Inc. MHO 1.9%
    RadNet, Inc. RDNT 1.9%
    Itron, Inc. ITRI 1.9%
    Builders FirstSource, Inc. BLDR 1.9%
    JinkoSolar Holding Co., Ltd. JKS 1.9%
    Jabil, Inc. JBL 1.8%
    Voya Financial, Inc. VOYA 1.8%
    CBRE Group, Inc. CBRE 1.8%
    Skechers USA, Inc. SKX 1.8%
    Colfax Corporation CFX 1.8%
    Equitable Holdings, Inc. EQH 1.8%
    Skyline Champion Corporation SKY 1.7%
    American Woodmark Corp. AMWD 1.7%
    Insight Enterprises, Inc. NSIT 1.7%
    Cosan, Ltd. CZZ 1.6%
    Atkore International Group, Inc. ATKR 1.6%
    JELD-WEN Holding, Inc. JELD 1.6%
    Benchmark Electronics, Inc. BHE 1.5%
    World Fuel Services Corp. INT 1.5%
    The Buckle, Inc. BKE 1.5%
    Koppers Holdings, Inc. KOP 1.3%
    Teekay Tankers Ltd. TNK 1.3%
    Howmet Aerospace, Inc. HWM 1.3%
    Xerox Holdings Corp. XRX 1.0%
    Triumph Group, Inc. TGI 0.9%
    Arconic Corporation ARNC 0.3%
    Total as % of Net Assets 98.3%
    Cash & Other Holdings % of Net Assets
    Cash & Other 1.7%
    Total as % of Net Assets 1.7%

    Country Allocation

    as of 6/30/20
    • United States

      89.2%

    • Foreign

      9.1%

    • Cash & Other

      1.7%

    United States 89.2%
    Japan 2.3%
    Canada 2.0%
    Cayman Islands 1.9%
    Bermuda 1.6%
    Marshall Islands 1.3%
    Cash & Other 1.7%
  • Distributions

    The Hennessy Cornerstone Growth Fund pays capital gains (if any) once annually, usually in December. Ordinary income distributions (if any) are paid annually, usually in December.

    Date Paid Income Short-Term Gain Long-Term Gain Total Per Share Reinvest Price
    12/07/2018 -- -- $1.81640 $1.81640 $18.60
    12/29/2015 $0.02018 -- -- $0.02018 $19.48
    11/29/2007 -- -- $2.23953 $2.23953 $15.25
    11/28/2006 -- -- $3.11146 $3.11146 $17.95
    11/17/2005 -- $0.83227 $0.39919 $1.23146 $18.70
    11/19/2004 -- -- $3.87642 $3.87642 $17.25
    11/22/2002 -- $0.01221 $0.47171 $0.48392 $13.93
    11/26/2001 -- $0.06809 $0.96207 $1.03016 $13.23
    11/16/2000 -- $1.52830 $1.97550 $3.50380 $14.55
    12/30/1997 -- $1.78100 -- $1.78100 $11.34
    12/31/1996 $0.00300 -- -- $0.00300 $10.07

    Please swipe to view table

    Past performance is not a guarantee of future results.

    Download historical distributions and NAVs
    Date Paid Income Short-Term Gain Long-Term Gain Total Per Share Reinvest Price
    12/07/2018 -- -- $1.87674 $1.87674 $19.20
    12/29/2015 $0.05101 -- -- $0.05101 $19.91

    Please swipe to view table

    Past performance is not a guarantee of future results.

    Download historical distributions and NAVs
  • Fund Documents

    Download PDF View Online
    Fund Documents
    Cornerstone Growth Fund Fact Sheet
    Cornerstone Growth Fund Portfolio Perspective View
    Shareholder Reports
    Cornerstone Growth Fund Summary Prospectus
    Full Prospectus
    Statement of Additional Information
    Cornerstone Growth Fund Semi-Annual Report
    Cornerstone Growth Fund Annual Report