Page 17 - Best of the Best | The Only Prescription for Healthy Finances

Important Disclosures Definitions:
This information is provided for illustrative purposes only. Opinions and Excess Return: Average monthly returns of MSCI USA Quality Index -
views expressed constitute the judgment of Polen Capital as of October MSCI USA Index, annualized.
2022 may involve a number of assumptions and estimates which are not
guaranteed and are subject to change without notice or update. Although Tracking Error: Standard deviation of monthly excess returns, annualized.
the information and any opinions or views given have been obtained from
or based on sources believed to be reliable, no warranty or representation
is made as to their correctness, completeness, or accuracy. Opinions, Information Ratio: Excess Return/Tracking Error.
estimates, forecasts, and statements of financial market trends that
are based on current market conditions constitute our judgment and are N: Number of monthly observations.
subject to change without notice, including any forward-looking estimates
or statements which are based on certain expectations and assumptions. P-value: Level of significance that excess returns ≠ 0; result of a
The views and strategies described may not be suitable for all clients. two-tailed test of our observations.
This document does not identify all the risks (direct or indirect) or other
considerations which might be material to you when entering any financial
transaction. ROE: Net Income / Average Shareholder Equity

This hypothetical example has been prepared based on assumptions The MSCI USA Index is a market capitalization weighted equity index that
believed to be reasonable; however, there is no guarantee that any measures the performance of the large and mid-cap segments of the U.S.
forecasts made will come to pass. There may be several unexpected market. The index is maintained by Morgan Stanley Capital International.
developments and market factors which may affect these scenarios,
potentially adversely. Hypothetical examples have certain inherent The MSCI USA Quality Index is based on the MSCI USA Index, its parent
limitations. No representation is being made that any investment will index, which includes large and mid-cap stocks in the U.S. equity market.
or is likely to achieve future results similar to those shown. Additional The index aims to capture the performance of quality growth stocks
information regarding the criteria and assumptions presented herein is by identifying stocks with high quality scores based on three main
available upon request. fundamental variables: high return on equity (ROE), stable year-over-year
earnings growth and low financial leverage. The index is maintained by
Past performance does not guarantee future results and profitable Morgan Stanley Capital International.
results cannot be guaranteed.
The same analysis of different indices could yield varying results.
The volatility and other material characteristics of the indices referenced
may be materially different from the performance achieved by an
individual investor. In addition, an investor’s holdings may be materially
different from those within the index. Indices are unmanaged and one
cannot invest directly in an index.

6 Polen Capital
Quality’s Performance Across the Business Cycle