LK Balanced Fund
Lawson Kroeker Investment Management, a Midwest-based, SEC-registered advisory firm founded in 1986, is the advisor to the LK Balanced Fund. The firm manages the LK Balanced Fund and separately manages accounts for high-net-worth families, endowments, foundations, and corporations.
We are long-term investors, employing a rigorous fundamental evaluation process focused on quality, value, and growth to build well-diversified portfolios. At all times, the best interest of our shareholders and clients guides our decision-making.
Choosing a fund managed with a balanced approach may provide investors the potential to participate in market growth while reducing potential risk in the portfolio by putting the allocation/reallocation responsibilities in the hands of experienced investment professionals who have managed client assets through various market cycles.
The LK Balanced Fund seeks to achieve long-term capital appreciation and current income.
as of 9/30/23
December 31, 1986
Total Net Assets
Mutual Fund: $50,000
Retirement Plans: $5,000
Charges and Fees
Sales Charge: none
Redemption Fees: none
Gross Expense Ratio
Net Expense Ratio*
*Annualized expense ratio: gross 1.50%, net 1.01%
The LK Balanced Fund typically invests 40% to 75% of its assets in equity securities selected primarily for their growth and 25% to 60% in equity and fixed-income securities selected primarily for their income potential.
The Fund seeks high quality, prudently-priced growth company stocks of any size market capitalization which may serve the best interest of our shareholders. Our disciplined investment process for selecting a small group of businesses begins with a traditional fundamental screen.
We don’t look for the “hot stocks,” and we strive to avoid fads and trends. We believe in long-term investments, with a minimum three-to-five-year outlook. Factors that are part of that analysis include but are not limited to:
- A history of delivering consistent earnings growth of 10% or more for the past five years
- History of Increasing earnings in seven of the past ten years.
- A good balance sheet with little or no debt
- Strong relative price performance
- A competitive advantage
Businesses that meet our strict criteria are placed on a smaller list of stocks suitable for inclusion in the growth fund portfolio, depending on their pricing. The Fund typically holds 25-35 stocks and/or bonds diversified by sector and industry groups.
Tom Sudyka, Jr. CFA®
MBA Finance, Unversity of Nebraska
BA Finance, Creighton University
Tom began his career as a portfolio manager with several sizeable Midwest-based investment management companies. He served as a managing director and founding partner of BPI Global Asset Management before joining Lawson Kroeker in 1999. His investment decisions are guided by his 30+ years of investment management experience.
Bruce H. Van Kooten, CFA®
BA Economics and Finance,
Iowa State University
Bruce was a portfolio manager and analyst with several Omaha-based investment management companies before moving to Wells Fargo Private Client Services as vice president and senior investment manager. He joined Lawson Kroeker in 2006, where clients have benefitted from his 35+ years of investment management experience.
as of 9/30/23
|1||LK Balanced Fund||-0.88||2.70||12.42||11.03||6.20||6.56||7.98|
|2||Lipper Balanced Funds Index||-2.79||4.59||11.29||3.57||4.90||6.09||7.57|
|3||S&P 500 Index||-3.27||13.07||21.62||10.15||9.92||11.91||10.51|
|4||Bloomberg Aggregate Bond Index||-3.23||-1.21||0.64||-5.21||0.10||1.13||5.21|
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. Performance data current to the most recent month end may be obtained by calling 855-698-1378.
The Fund’s investment objectives, risks, charges, and expenses must be considered carefully before investing. The prospectus contains this and other important information about the investment company, and it may be obtained by calling the fund at 855-698-1378. Read it carefully before investing.
The Predecessor Partnership maintained an investment objective and investment policies that were, in all material respects, equivalent to those of the Fund and at the time of the conversion of the Predecessor Partnership was managed by the same team of portfolio managers as the Fund. The Fund’s performance for periods before June 29, 2012, is that of the Predecessor Partnership and includes the expenses of the Predecessor Partnership. The performance includes gains or losses plus income and the reinvestment of all dividends and interest. All returns reflect the deduction of all actual fees and expenses, including management fees, audit expenses, brokerage commissions, and execution costs paid by the Predecessor Partnership, without provision for state or local taxes.
Lawson Kroeker Investment Management, Inc. has contractually agreed to reduce its management fees, and may reimburse the Fund for its operating expenses, in order to ensure that Total Annual Fund Operating Expenses (excluding acquired fund fees and expenses, leverage, interest, taxes, brokerage commissions and extraordinary expenses) do not exceed 1.00% of the Fund’s average daily net assets through October 28, 2023.
The Lipper Balanced Fund Index is an equally weighted index of the 30 largest U.S. Balanced Funds. The S&P 500® Index is a broad-based unmanaged index of 500 stocks, which is widely recognized as representative of the equity market in general. The Bloomberg U.S. Aggregate Bond Index is an unmanaged index which is widely regarded as a standard for measuring U.S. investment grade bond market performance. One may not directly invest in an index.
Fund holdings and sector allocations are subject to change and are not a recommendation to buy or sell any security. Diversification cannot assure a profit or protect against loss in a down market. Earnings Growth is not a measure of future performance.
Mutual fund investing involves risk. Principal loss is possible. Securities of mid-cap and small-cap companies may be more volatile and less liquid than the securities of large-cap companies. Foreign companies involve risks not generally associated with investment in the securities of U.S. companies, including risks relating to political, social, and economic developments abroad and differences between U.S. and foreign regulatory requirements and market practices, including fluctuations in foreign currencies. The Fund’s investments in debt securities will be subject to credit risk, interest rate risk, prepayment risk, and duration risk. Credit risk is the risk that an issuer will not make timely payments of principal and interest. Interest rate risk is the risk that the value of debt securities fluctuates with changes in interest rates (e.g., increases in interest rates result in a decrease in value of debt securities). Pre-payment risk is the risk that the principal on debt securities will be paid off prior to maturity causing the Fund to invest in debt securities with lower interest rates. Investments in below investment grade debt securities and unrated securities of similar credit quality as determined by the Adviser (commonly known as “junk bonds”) involve a greater risk of default and are subject to greater levels of credit and liquidity risk. The Fund may be exposed to liquidity risk when trading volume, lack of a market maker, or legal restrictions impair the Fund’s ability to sell particular securities at an advantageous price or in a timely manner.
Lawson Kroeker Investment Management is the Advisor to the LK Balanced Fund, distributed by Quasar Distributors, LLC.
as of 9/30/23
Equity Sector Breakdown
% of Equity Assets as of 9/30/23
|fund_id||GICS Code (key)||Index ID||period||Order||Sector||S&P 500||LK Balanced Fund|
|3,610||8,754||September 23, 2023||1||Communication Services||8.9||5.9|
|3,610||8,754||September 23, 2023||2||Consumer Discretionary||10.7||8.6|
|3,610||8,754||September 23, 2023||3||Consumer Staples||6.6||4.5|
|3,610||8,754||September 23, 2023||4||Energy||4.7||17.1|
|3,610||8,754||September 23, 2023||5||Financials||12.8||26.7|
|3,610||8,754||September 23, 2023||6||Health Care||13.3||18.8|
|3,610||8,754||September 23, 2023||7||Industrials||8.3||9.3|
|3,610||8,754||September 23, 2023||8||Information Technology||27.5||6.4|
|3,610||8,754||September 23, 2023||9||Materials||2.5||2.7|
|3,610||8,754||September 23, 2023||10||Real Estate||2.3||0.0|
|3,610||8,754||September 23, 2023||11||Utilities||2.4||0.0|
Fixed Income Maturities
as of 9/30/23
Top Ten Equity Holdings
% of Equity Assets as of 9/30/23
|fund_id||Security ID||period||Order||Name||Ticker||Interest Rate||Maturity Date||Percent||Moody Rating||S&P Rating|
|3,610||September 23, 2023||1||Berkshire Hathaway - Cl. A & B||BRK/A-B||7.6|
|3,610||September 23, 2023||2||Texas Pacific Land Trust||TPL||6.3|
|3,610||September 23, 2023||3||Arthur J. Gallagher & Co.||AJG||5.5|
|3,610||September 23, 2023||4||Microsoft||MSFT||5.2||A|
|3,610||September 23, 2023||5||Phillips 66||PSX||5.0||B+|
|3,610||September 23, 2023||6||Lincoln Electric Holdings||LECO||4.9||NR|
|3,610||September 23, 2023||7||Thermo Fisher Scientific||TMO||4.3||B+|
|3,610||September 23, 2023||8||Aflac||AFL||4.1||A-|
|3,610||September 23, 2023||9||Johnson & Johnson||JNJ||3.8|
|3,610||September 23, 2023||10||Chevron||CVX||3.6|
How to Invest
To invest with LK Balanced Fund, please get in touch with us at