As 2014 comes to a close, I feel compelled to stop and reflect on our first full calendar year in business. First off, I would like to welcome our new clients to Foundry Partners. This includes eleven new accounts in three different strategies. We appreciate the trust and faith you have placed in us.

It’s amazing how quickly the time goes by. Shortly after the turn of the year, with the help of M3Sixty we launched our first two mutual funds. Considering our history has been established within the Taft Hartley and Institutional market spaces, we knew it was essential to keep an eye on the horizon and start developing additional investment vehicles. With the launch of the Foundry Partners Small Cap Value (FSVIX) and Foundry Partners Micro Cap Value (FMCIX) mutual funds, these strategies are now available to individual investors and 401(k) plans as well.

In addition to the launch of the two mutual funds, Foundry created a Small Cap Growth strategy, which is managed by Amy Denn (Partner, Director of Growth Strategies) and the Growth Strategies Team. We feel this is a notable step for our Growth Strategies Team, and will provide great synergies with our Mid Cap Growth Strategy looking forward.

I would like to acknowledge the success and recognition a few of our strategies have received. Our Mid Cap Growth and Micro Cap Value strategies were recognized as “Top Guns” within the Informais Database for each quarter between Q4, 2013 – Q3, 2014. This is a testament to the consistent work that these teams have exhibited. In addition, per the SPAR module of FactSet, as of September 30, 2014, the Foundry Partners Large Cap Value strategy finished in the top 10% of Lipper’s US Large-Cap Value Universe on a 1 Yr., 3 Yr., and 5 Yr. basis.

We were very pleased to announce that we received our verification of GIPS Standards for our composites through December 31, 2013. The verification was conducted by Cohen Fund Services.

Looking towards 2015, this is an exciting time. I feel we have established our footing and can fully focus on pushing forward. Although we may still be viewed by some as a “young” company, our executives bring an average of 24 years of experience and our investment team has an average of 21 years of experience. Our professional staff has remained stable, and I can really begin to see that cohesion being a positive attribute in our never ending goal of becoming a world class asset management firm. In 2014 all of our lead portfolio managers became partners within Foundry, which further assures our interests are further aligned with those of our clients. Additionally, Foundry believes that all firm employees share in The Firm’s success.

In closing, thank you to all of our clients and the consulting community. Without your support, we wouldn’t be where we are today! Enduring partnerships do not occur accidently; they are built carefully on mutual trust and hard work. We all greatly appreciate your business, and are resolved to continue the high level of service and open communication you have come to expect from us. Cheers and best wishes from all of us at Foundry Partners!

Sincerely,

 

Timothy P. Ford
Partner, President and CEO