WhiteOak Capital Banking & Financial Services Fund Direct Growth INF03VN01860

Morningstar Factor Profile includes seven factors that are widely accepted in the industry as key drivers of risk and return.

To learn more about Morningstar Factor Profile, click here.

Morningstar Factor Profile Methodology

Factor Definitions

Style – The style factor describes the aggregate expectations of market participants for the future growth and required rate of return for a stock, based on the same measures used for the Morningstar Style Box. A higher exposure to the style factor indicates higher growth.

Yield – The yield factor describes the dividend and buyback yield of a company, based on the trailing 12 months. A higher exposure to the yield factor indicates higher yield for investors.

Momentum (Mom.) – The momentum factor describes how much a stock has risen in price over the past year relative to other stocks, calculated by subtracting the trailing 1-month return from the trailing 12-month return. A higher exposure to the momentum factor indicates the company has performed well recently.

Quality – The quality factor describes the profitability and financial leverage of a company, based on an equally weighted mix of trailing 12-month return on equity and debt-to-capital ratios. A higher exposure to the quality factor indicates a higher quality of the firm.

Volatility (Vola.) – The volatility factor describes the maximum observed spread in long-term returns, based on the trailing 12-month standard deviation of daily returns. A higher exposure to the volatility factor indicates larger variation in long-run outcomes.

Liquidity – The liquidity factor describes the trading frequency of a company, based on trailing 30-day share turnover. A higher exposure to the liquidity factor indicates higher share turnover.

Size – The size factor describes the market capitalization of a company, based on the same measure used for the Morningstar Style Box. A higher exposure to the size factor indicates smaller market capitalization (though we plot large-cap exposure at the top of the size capsule to simplify the Factor Profile visual and keep all “high” or “large” indicators aligned at the top).