5-Star Morningstar Rated TMNIX is Ranked 1st for 3-Year & 5-Year Returns

October 31, 2023
   
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San Diego, California – October 31, 2023 – Counterpoint Funds, a quantitative mutual fund and ETF provider specializing in defensive diversifier strategies, today announced that the Counterpoint Tactical Municipal Fund (TMNIX) is now ranked 1st for 3 and 5-year returns out of 188 and 176 funds respectively, for the period ending September 29, 2023, in the High Yield Muni category, based on total returns.

TMNIX, a 5-Star rated fund in the High Yield Muni category based on risk-adjusted returns out of 188 funds for the 3-year and 176 funds for the 5-year period ending September 29, 2023, by Morningstar Inc.1, a leading provider of independent investment research, returned -3.12% in 2022 versus -13.46% and -8.58% for investment grade municipal and high yield municipal bonds.

TMNIX Annual Return Since Inception

“The Counterpoint Tactical Municipal Fund is a great option for advisors conducting tax-loss harvesting given the volatility of the municipal bond market over the last 24 months. The Fund’s tactical trend-following strategy has historically managed downside risk during these challenging times in fixed income,” said Michael Krause, Partner & Chief Investment Officer at Counterpoint Funds.

Developed by Counterpoint Funds, the Counterpoint Tactical Municipal Fund (TMNIX) launched Jun., 2018, and had $213.4 million in net portfolio assets as of Oct. 25, 2023. Leveraging a binary municipal high yield trend-following strategy, Counterpoint Tactical Municipal Fund seeks tax-free income and capital preservation by providing municipal high-yield like returns during stable or recovering market environments and switching exposure to municipal money market in times of market stress.

“The risk management strategy utilized by TMNIX has shown strong resilience in today’s challenging rate environment and has continued to perform, beating both its’ benchmark and Morningstar fund category for 3 and 5-year periods as well as since inception,” added Mr. Krause.

For more information on the Tactical Municipal Fund please visit cpfunds.com/tmnix

The performance data displayed here represents past performance, which is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. The investment return and principal value of an investment will fluctuate so that investor’s shares, when redeemed, may be worth more or less than their original cost. For performance information current to the most recent month-end, please call toll-free 844-273-8637.

TMNAX (A shares) have a Front-End Sales Charge (commission or “load”) of 4.50%, with lower rates for accounts over $25,000. The total annual fund operating expense ratio, gross of any fee waivers or expense reimbursements, is 1.22%, 1.47%, and 2.22%, for Class I, Class A, and Class C shares respectively.

About Counterpoint Funds

Counterpoint Funds is a defensive, systematic and research driven mutual fund and ETF provider with 4 funds and over $1.5 billion in assets under management. Counterpoint is focused on offering defensive fixed income and equity diversifier strategies designed to drive portfolio performance over the long run. Counterpoint’s mutual funds and ETF employ quantitative investment strategies that base asset allocation and security selection decisions on academic research and statistical analysis. Counterpoint Mutual Funds, LLC, is located at: 12760 High Bluff Drive, Suite 280, San Diego, CA 92130. Tel: 858-771-4000

NOT FDIC INSURED – MAY LOSE VALUE – NO BANK GUARANTEE

Press Contact
Counterpoint Funds
John Held, VP of Marketing
+ 1 (619) 752-4087
press@counterpointmutualfunds.com

Important Risk Information

Mutual Funds involve risk including the possible loss of principal. The use of leverage by the Fund or an Underlying Fund, such as borrowing money to purchase securities or the use of derivatives, will indirectly cause the Fund to incur additional expenses and magnify the Fund’s gains or losses. Derivative instruments involve risks different from, or possibly greater than, the risks associated with investing directly in securities and other traditional investments. There is a risk that issuers and counterparties will not make payments on securities and other investments held by the Fund, resulting in losses to the Fund. Past performance is no guarantee of future results. There is no assurance the Fund will meet their stated objectives.

Investments cannot be made in an index. Unmanaged index returns do not reflect any fees, expenses or sales charges. Past performance is no guarantee of future results. There is no guarantee that any investment will achieve its objectives, generate positive returns, or avoid losses. The Adviser’s reliance on its strategy and judgments about the attractiveness, value and potential appreciation of particular securities and the tactical allocation among investments may prove to be incorrect and may not produce the desired results. No level of diversification can ensure profits or guarantee against loss.

Index Definitions

The Bloomberg Barclays Capital High Yield Municipal Bond Index is an unmanaged index made up of bonds that are non-investment grade, or unrated by Moody’s Investors Service with a remaining maturity of at least 1 year. The Morningstar US High Yield Muni Category is made up of portfolios that typically invest a substantial portion of assets in high-income municipal securities that are not rated or that are rated at the level of or below BBB (considered high-yield within the municipal-bond industry) by a major ratings agency such as Standard & Poor’s or Moody’s.

Definitions

Return is the percentage change in the value of an investment, and/or cash flows which the investor receives from that investment, such as interest payments, coupons, cash dividends, stock dividends or the payoff from a derivative or structured product, over a specified time period.

Maximum Drawdown (Max Drawdown) is the maximum observed loss from a peak to a trough of a portfolio, before a new peak is attained and can be used as an indicator of downside risk over a specified time period.

Standard Deviation (Std Dev) measures the dispersion of returns relative to its mean to determine the volatility of an investment and is calculated as the square root of the variance by determining the deviation of daily returns relative to the mean.

Sharpe Ratio compares the return of an investment with its risk by dividing its’ excess returns, which are returns that are above an industry benchmark or the risk-free rate of return, by a measure of its volatility to assess risk-adjusted performance.

Morningstar

© 2023 Morningstar. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

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 Morningstar Rating does not include any adjustment for sales loads. 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 Morningstar Rating is for the Institutional, A-share, and C-share class. Morningstar Percentile Rankings are based on the average annual total returns of the funds in the category for the periods stated and do not include any sales charges or redemption fees. The highest (or most favorable) percentile rank is 1 and the lowest (or least favorable) percentile rank is 100. Rankings for each share class will vary due to different expenses. (TMNIX) with a percentile rank of 6 out of 197 funds in the high yield muni fund category based on risk- adjusted returns for the 3-year time period ending March 31, 2023.

Morningstar Category/Morningstar Category % Rank Investments are placed into Morningstar categories based on their compositions and portfolio statistics so that investors can make meaningful comparisons. Morningstar Category % Rank is a fund’s total-return percentile rank relative to all funds in the same category. The highest (or most favorable) percentile rank is one and the lowest (or least favorable) percentile rank is 100. The Category % Rank complements the Morningstar Rating, especially for funds in smaller categories because these funds may have received a 3-star rating but could be in the top half of their category performance.

Investors should carefully consider the investment objectives, risks, charges and expenses of the funds managed by Counterpoint Mutual Funds. This and other important information about the funds are available in their prospectuses, which can be obtained at counterpointfunds.com or by calling 844-273-8637. The prospectuses should be read carefully before investing. The Counterpoint Mutual Funds fund family is distributed by Northern Lights Distributors, LLC member FINRA/SIPC. Counterpoint Mutual Funds, LLC is not affiliated with Northern Lights Distributors, LLC member FINRA/SIPC.

XXXX-NLD-10/31/2023

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Mutual Funds involve risk including the possible loss of principal. Investors should carefully consider the investment objectives, risks, charges and expenses of the funds managed by Counterpoint Mutual Funds. This and other important information about the funds is available in their prospectuses, which can be obtained at counterpointfunds.com or by calling 844-273-8637. The prospectuses should be read carefully before investing. The Counterpoint Mutual Funds fund family is distributed by Northern Lights Distributors, LLC member FINRA/SIPC. To reach the Counterpoint sales team, please refer to our contact page.

 

 

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