JUNE 2023 MARKET INSIGHTS

By: ANTHONY MINOPOLI, PRESIDENT & CHIEF INVESTMENT OFFICER

The dance is almost over. Speaker Kevin McCarthy and President Biden seemed to have come to an agreement to increase the debt ceiling and it has passed the House with bipartisan support as the vote tally was 314-117. There will be some pressure applied to the Senate to pass this before Monday, but never discount the potential for some late minute theatrics!

For the month, the S&P 500 was up 0.43% and the Bloomberg Aggregate Bond Index returned -1.09% as the markets were keeping an eye on inflation and the debt^[1]. We believed that there would be a resolution to the debt ceiling after we enjoyed some political theater, and it appears we will get there.

We continue to watch inflation and headline CPI declined 0.1% to an annualized rate of 4.9% and core inflation also fell 0.1% to an annualized 5.5% when you factor out food and energy^[1]. Though the inflation statistics have shown significant improvement from the highs we saw in June 2022, they are still quite elevated above the Fed target. Part of the air in the inflation balloon remains the strong employment market. The last reading for unemployment showed a level of 3.7% and the underemployment rate was 6.7%1. These statistics illustrate a robust employment market, and this is fighting against the Fed’s actions to lower inflation.

There are some countervailing trends occurring in employment, particularly a continued growth in announced job cuts. At the same time, job openings continue to grow and if talent remains difficult to retain this may put upward pressure on wages and this will also serve to further fuel inflationary pressures. In general, production statistics are decelerating so it does appear that we are seeing some economic slowdown. This has been the most forecasted recession in my career and there are still some that believe we will have a deep and painful recession and others that believe this will be a shallow recession with a short duration. Overall, we believe the next few months will help provide some clarity on this issue.

As I continue to think about employment, I was reviewing the latest Challenger Jobs report, which stated that planned layoffs reached nearly 418,000 jobs in May. This is more than four times the job cuts that occurred at the same time last year. I read an interesting analysis on Bloomberg on June 1st, entitled “Job Cuts From AI Are Just Beginning, Challenger Report Suggests” by Tracy Alloway. In the article, the writer notes that jobs lost due to Artificial Intelligence (AI) showed up for the first time and apparently 3,900 people lost their jobs due to robots last month. Interestingly, many service companies are using “bots” to handle some routine customer service functions and they have been efficient and cost effective. In many cases, attrition has occurred both through layoffs and for job eliminations when people are promoted or leave.

I had an interesting discussion with someone while I was travelling that centered around the growth of AI. The gist of the discussion was that some of the low-level work performed by entry level attorneys may be able to be handled by AI. Fair enough. That said, how does one become a seasoned attorney if they were never an entry level attorney. This can be said for virtually any industry and in my own case, I can certainly attest to drawing on experiences I had throughout my career that help me navigate markets today. It is not my intention to be a luddite, however, there are also societal concerns that I have if AI begins to have a material downward impact on employment.

In past columns I have quipped about the impossibility of having a $1 menu at a fast-food restaurant if minimum wage rose too high. In business, the main two inputs are labor and capital, and the fast-food industry is starting to embrace kiosks and other robots because wages were growing too fast and driving down profit margins. Ultimately, if this is the first time that jobs lost to AI were on the Challenger Jobs Report, it is safe to assume that it won’t be the last.

When you consider what is happening to cities due to work from home and the reticence of employees to return to the office, if AI begins knocking out more jobs, we may see a very significant shift in employment, wages, and wealth creation. For those that believe government should be the supplier of citizens’ needs, they may get what they wish for. I remember reading an analysis from a “futurist” that explained we needed to embrace this change and then alter the tax code. If robots were taxed as an asset, that would create the revenue needed by the government to supply benefits to the displaced workers. I am not sure I am ready for this kind of government action and while it might be a bit hyperbolic, I think the pace and adoption of AI is going to be about the speed of deposits leaving Silicon Valley Bank. In all seriousness, AI may be a positive technology, but the law of unintended consequences looms large as we see greater use and adoption of AI.

We have started to enter political silly season given that we are less than 18 months away from the next Presidential election. Thus far, it seems that the Democrats do not want Joe Biden on the campaign trail or anywhere near a debate stage. We shall see if Robert F. Kennedy Jr. or the other democratic hopefuls can garner enough momentum to be a serios competitor at the Democratic National Convention. It’s kind of hard to lay a glove on an opponent you can’t debate! Ron DeSantis has finally announced, and Nikki Halley, Tim Scott and others are attempting to fight to be the nominee over Donald Trump. I think the Republican candidates are hoping to drive a message of Trump can’t win enough independents to win the general election, and Robert F. Kennedy Jr. is trying to be the moderate Democrat that can win the independent voters. The whistle has blown, and the race has begun!

Until next month.

[1] Source: Bloomberg

Core Bond Fund

A portrait of Anthony Minopoli wearing a dark suit, white shirt, and red tie.

	One Month (As of 5/31/23)	YTD (As of 5/31/23)	1 Year (As of 5/31/23)	5 Years (As of 5/31/23)	Since Inception (As of 5/31/23)
Core Bond Fund-I Shares	-1.12%	2.39%	-2.72%	0.69%	1.06%
Bloomberg US Aggregate Bond Index	-1.09%	2.46%	-2.14%	0.81%	0.98%
Lipper Core Bond Fund Average	-1.10%	2.51%	-2.35%	0.77%
Lipper Percentile Rank			70%	57%
	Core Bond Fund-I Shares
One Month (As of 5/31/23)	-1.12%
YTD (As of 5/31/23)	2.39%
1 Year (As of 5/31/23)	-2.72%
5 Years (As of 5/31/23)	0.69%
Since Inception (As of 5/31/23)	1.06%
	Bloomberg US Aggregate Bond Index
One Month (As of 5/31/23)	-1.09%
YTD (As of 5/31/23)	2.46%
1 Year (As of 5/31/23)	-2.14%
5 Years (As of 5/31/23)	0.81%
Since Inception (As of 5/31/23)	0.98%
	Lipper Core Bond Fund Average
One Month (As of 5/31/23)	-1.10%
YTD (As of 5/31/23)	2.51%
1 Year (As of 5/31/23)	-2.35%
5 Years (As of 5/31/23)	0.77%
Since Inception (As of 5/31/23)
	Lipper Percentile Rank
One Month (As of 5/31/23)
YTD (As of 5/31/23)
1 Year (As of 5/31/23)	70%
5 Years (As of 5/31/23)	57%
Since Inception (As of 5/31/23)

*Lipper Percentile Rank is based on total return performance. Lipper Category: Core Bond Funds. Number of Funds in Category: 516 (1 Year) and 456 (5 Year). Gross Expense Ratio 0.66%, Net Expense Ratio 0.50%.

Limited Duration Fund

	One Month (As of 5/31/23)	YTD (As of 5/31/23)	1 Year (As of 5/31/23)	5 Years (As of 5/31/23)	Since Inception (As of 5/31/23)
Limited Duration Bond Fund-I Shares	-0.21%	1.84%	0.68%	1.24%	1.08%
Bloomberg Government/Credit 1-3 Year Index	-0.31%	1.54%	0.22%	1.22%	1.04%
Lipper Short Investment Grade Debt Fund Average	-0.20%	1.92%	0.85%	1.30%
Lipper Percentile Rank			53%	57%
	Limited Duration Bond Fund-I Shares
One Month (As of 5/31/23)	-0.21%
YTD (As of 5/31/23)	1.84%
1 Year (As of 5/31/23)	0.68%
5 Years (As of 5/31/23)	1.24%
Since Inception (As of 5/31/23)	1.08%
	Bloomberg Government/Credit 1-3 Year Index
One Month (As of 5/31/23)	-0.31%
YTD (As of 5/31/23)	1.54%
1 Year (As of 5/31/23)	0.22%
5 Years (As of 5/31/23)	1.22%
Since Inception (As of 5/31/23)	1.04%
	Lipper Short Investment Grade Debt Fund Average
One Month (As of 5/31/23)	-0.20%
YTD (As of 5/31/23)	1.92%
1 Year (As of 5/31/23)	0.85%
5 Years (As of 5/31/23)	1.30%
Since Inception (As of 5/31/23)
	Lipper Percentile Rank
One Month (As of 5/31/23)
YTD (As of 5/31/23)
1 Year (As of 5/31/23)	53%
5 Years (As of 5/31/23)	57%
Since Inception (As of 5/31/23)

Lipper Percentile Rank is based on total return performance. Lipper Category: Short Investment Grade Debt Funds. Number of Funds in Category: 378 (1 Year) and 307 (5 Year). Gross Expense Ratio 0.66%, Net Expense Ratio 0.50%.

Large Cap Growth Fund

	One Month (As of 5/31/23)	YTD (As of 5/31/23)	1 Year (As of 5/31/23)	5 Years (As of 5/31/23)	Since Inception (As of 5/31/23)
Large Cap Growth Fund-I Shares	3.51%	18.65%	5.36%	8.70%	9.23%
Russell 1000 Growth Index	4.56%	20.76%	9.55%	13.84%	13.51%
Lipper Multi-Cap Growth Fund Average	3.40%	14.39%	4.32%	8.68%
Lipper Percentile Rank			73%	85%
	Large Cap Growth Fund-I Shares
One Month (As of 5/31/23)	3.51%
YTD (As of 5/31/23)	18.65%
1 Year (As of 5/31/23)	5.36%
5 Years (As of 5/31/23)	8.70%
Since Inception (As of 5/31/23)	9.23%
	Russell 1000 Growth Index
One Month (As of 5/31/23)	4.56%
YTD (As of 5/31/23)	20.76%
1 Year (As of 5/31/23)	9.55%
5 Years (As of 5/31/23)	13.84%
Since Inception (As of 5/31/23)	13.51%
	Lipper Multi-Cap Growth Fund Average
One Month (As of 5/31/23)	3.40%
YTD (As of 5/31/23)	14.39%
1 Year (As of 5/31/23)	4.32%
5 Years (As of 5/31/23)	8.68%
Since Inception (As of 5/31/23)
	Lipper Percentile Rank
One Month (As of 5/31/23)
YTD (As of 5/31/23)
1 Year (As of 5/31/23)	73%
5 Years (As of 5/31/23)	85%
Since Inception (As of 5/31/23)

*Lipper Percentile Rank is based on total return performance. Lipper Category: Multi-Cap Growth Funds. Number of Funds in Category: 652 (1 Year) and 580 (5 Year). Gross Expense Ratio 0.90%, Net Expense Ratio 0.90%.

Large Cap Value Fund

	One Month (As of 5/31/23)	YTD (As of 5/31/23)	1 Year (As of 5/31/23)	5 Years (As of 5/31/23) )	Since Inception (As of 5/31/23
Large Cap Value Fund-I Shares	-3.89%	-0.48%	-3.85%	6.31%	7.08%
Russell 1000 Value Index	-3.86%	-1.43%	-4.55%	6.78%	6.90%
Lipper Multi-Cap Value Fund Average	-3.78%	-1.45%	-4.69%	6.59%	-
Lipper Percentile Rank			35%	58%
	Large Cap Value Fund-I Shares
One Month (As of 5/31/23)	-3.89%
YTD (As of 5/31/23)	-0.48%
1 Year (As of 5/31/23)	-3.85%
5 Years (As of 5/31/23) )	6.31%
Since Inception (As of 5/31/23	7.08%
	Russell 1000 Value Index
One Month (As of 5/31/23)	-3.86%
YTD (As of 5/31/23)	-1.43%
1 Year (As of 5/31/23)	-4.55%
5 Years (As of 5/31/23) )	6.78%
Since Inception (As of 5/31/23	6.90%
	Lipper Multi-Cap Value Fund Average
One Month (As of 5/31/23)	-3.78%
YTD (As of 5/31/23)	-1.45%
1 Year (As of 5/31/23)	-4.69%
5 Years (As of 5/31/23) )	6.59%
Since Inception (As of 5/31/23	-
	Lipper Percentile Rank
One Month (As of 5/31/23)
YTD (As of 5/31/23)
1 Year (As of 5/31/23)	35%
5 Years (As of 5/31/23) )	58%
Since Inception (As of 5/31/23

*Lipper Percentile Rank is based on total return performance. Lipper Category: Multi-Cap Value Funds. Number of Funds in Category: 660 (1 Year) and 581 (5 Year). Gross Expense Ratio 0.90%, Net Expense Ratio 0.90%.

Small Cap Fund

	One Month (As of 5/31/23)	YTD (As of 5/31/23)	1 Year (As of 5/31/23)	5 Years (As of 5/31/23)	Since Inception (As of 5/31/23)
Small Cap Equity Fund-I Shares	-1.71%	-0.01%	-5.54%	2.59%	4.84%
Russell 2000 Index	-0.92%	-0.04%	-4.68%	2.74%	5.75%
Lipper Small Cap Fund Average	-2.19%	-1.46%	-5.75%	3.56%
Lipper Percentile Rank			85%	86%
	Small Cap Equity Fund-I Shares
One Month (As of 5/31/23)	-1.71%
YTD (As of 5/31/23)	-0.01%
1 Year (As of 5/31/23)	-5.54%
5 Years (As of 5/31/23)	2.59%
Since Inception (As of 5/31/23)	4.84%
	Russell 2000 Index
One Month (As of 5/31/23)	-0.92%
YTD (As of 5/31/23)	-0.04%
1 Year (As of 5/31/23)	-4.68%
5 Years (As of 5/31/23)	2.74%
Since Inception (As of 5/31/23)	5.75%
	Lipper Small Cap Fund Average
One Month (As of 5/31/23)	-2.19%
YTD (As of 5/31/23)	-1.46%
1 Year (As of 5/31/23)	-5.75%
5 Years (As of 5/31/23)	3.56%
Since Inception (As of 5/31/23)
	Lipper Percentile Rank
One Month (As of 5/31/23)
YTD (As of 5/31/23)
1 Year (As of 5/31/23)	85%
5 Years (As of 5/31/23)	86%
Since Inception (As of 5/31/23)

*Lipper Percentile Rank is based on total return performance. Lipper Category: Small-Cap Core Funds. Number of Funds in Category: 701 (1 Year) and 619 (5 Year). Gross Expense Ratio 1.05%, Net Expense Ratio 1.05%.

International Equity Fund

	One Month (As of 5/31/23)	YTD (As of 5/31/23)	1 Year (As of 5/31/23)	5 Years (As of 5/31/23)	Since Inception (As of 5/31/23)
International Equity-I Shares	-2.84%	3.98%	-4.99%	1.63%	4.16%
FTSE All World Ex US Index	-3.36%	4.85%	-0.92%	2.91%	3.96%
Lipper International Multi-Cap Fund Average	-3.70%	5.96%	0.85%	2.29%
Lipper Percentile Rank			97%	76%
	International Equity-I Shares
One Month (As of 5/31/23)	-2.84%
YTD (As of 5/31/23)	3.98%
1 Year (As of 5/31/23)	-4.99%
5 Years (As of 5/31/23)	1.63%
Since Inception (As of 5/31/23)	4.16%
	FTSE All World Ex US Index
One Month (As of 5/31/23)	-3.36%
YTD (As of 5/31/23)	4.85%
1 Year (As of 5/31/23)	-0.92%
5 Years (As of 5/31/23)	2.91%
Since Inception (As of 5/31/23)	3.96%
	Lipper International Multi-Cap Fund Average
One Month (As of 5/31/23)	-3.70%
YTD (As of 5/31/23)	5.96%
1 Year (As of 5/31/23)	0.85%
5 Years (As of 5/31/23)	2.29%
Since Inception (As of 5/31/23)
	Lipper Percentile Rank
One Month (As of 5/31/23)
YTD (As of 5/31/23)
1 Year (As of 5/31/23)	97%
5 Years (As of 5/31/23)	76%
Since Inception (As of 5/31/23)

* Lipper Percentile Rank is based on total return performance. Lipper Category: International Multi-Cap Core. Number of Funds in Category: 337 (1 Year) and 267 (5 Year). Gross Expense Ratio 1.16%, Net Expense Ratio 1.10%.

Real Estate Fund

	One Month (As of 5/31/23)	YTD (As of 5/31/23)	1 Year (As of 5/31/23)	3 Years (As of 5/31/23)	Since Inception (As of 5/31/23)
Real Estate-I Shares	-4.16%	-0.05%	-14.76%	7.88%	2.19%
FTSE Nareit Equity REITs Index	-3.22%	0.21%	-12.07%	8.18%	-0.24%
Lipper Real Estate Average	-3.68%	-0.21%	-14.00%	5.59%
Lipper Percentile Rank			53%	12%
	Real Estate-I Shares
One Month (As of 5/31/23)	-4.16%
YTD (As of 5/31/23)	-0.05%
1 Year (As of 5/31/23)	-14.76%
3 Years (As of 5/31/23)	7.88%
Since Inception (As of 5/31/23)	2.19%
	FTSE Nareit Equity REITs Index
One Month (As of 5/31/23)	-3.22%
YTD (As of 5/31/23)	0.21%
1 Year (As of 5/31/23)	-12.07%
3 Years (As of 5/31/23)	8.18%
Since Inception (As of 5/31/23)	-0.24%
	Lipper Real Estate Average
One Month (As of 5/31/23)	-3.68%
YTD (As of 5/31/23)	-0.21%
1 Year (As of 5/31/23)	-14.00%
3 Years (As of 5/31/23)	5.59%
Since Inception (As of 5/31/23)
	Lipper Percentile Rank
One Month (As of 5/31/23)
YTD (As of 5/31/23)
1 Year (As of 5/31/23)	53%
3 Years (As of 5/31/23)	12%
Since Inception (As of 5/31/23)

* Lipper Percentile Rank is based on total return performance. Lipper Category: Real Estate Number of Funds in Category: 248 (1 Year) and 230 (3 Year). Gross Expense Ratio 1.07%, Net Expense Ratio 1.00%.

Long-Short Equity Fund

	One Month (As of 5/31/23)	YTD (As of 5/31/23)	1 Year (As of 5/31/23)	3 Years (As of 5/31/23)	Since Inception (As of 5/31/23)
Long-Short Equity – I Shares	-2.01%	-3.25%	-4.56%	7.36%	3.07%
HFRX Equity Market Neutral Developed Index	0.18%	-0.26%	-1.01%	1.28%	-1.11%
Lipper Alternative Long/Short Average	-1.02%	1.82%	-0.25%	7.14%
Lipper Percentile rank			77%	50%
	Long-Short Equity – I Shares
One Month (As of 5/31/23)	-2.01%
YTD (As of 5/31/23)	-3.25%
1 Year (As of 5/31/23)	-4.56%
3 Years (As of 5/31/23)	7.36%
Since Inception (As of 5/31/23)	3.07%
	HFRX Equity Market Neutral Developed Index
One Month (As of 5/31/23)	0.18%
YTD (As of 5/31/23)	-0.26%
1 Year (As of 5/31/23)	-1.01%
3 Years (As of 5/31/23)	1.28%
Since Inception (As of 5/31/23)	-1.11%
	Lipper Alternative Long/Short Average
One Month (As of 5/31/23)	-1.02%
YTD (As of 5/31/23)	1.82%
1 Year (As of 5/31/23)	-0.25%
3 Years (As of 5/31/23)	7.14%
Since Inception (As of 5/31/23)
	Lipper Percentile rank
One Month (As of 5/31/23)
YTD (As of 5/31/23)
1 Year (As of 5/31/23)	77%
3 Years (As of 5/31/23)	50%
Since Inception (As of 5/31/23)

*Lipper Percentile Rank is based on total return performance. Lipper Category: Alternative Long/Short Equity Number of Funds in Category: 222 (1 Year) and 199 (3 Year). Gross Expense Ratio 2.15, Net Expense Ratio 2.06%.

U.S. All Cap Index Fund

	One Month (As of 5/31/23)	YTD (As of 5/31/23)	1 Year (As of 5/31/23)	3 Years (As of 5/31/23)	Since Inception (As of 5/31/23)
U.S. All Cap Index – I Shares	1.02%	10.81%	2.71%	12.88%	9.19%
Knights of Columbus U.S. All Cap Index	0.99%	10.65%	2.78%	13.10%	9.51%
Lipper Multi-Cap Core Average	0.65%	6.42%	0.76%	12.76%	-
Lipper Percentile rank			21%	17%
	U.S. All Cap Index – I Shares
One Month (As of 5/31/23)	1.02%
YTD (As of 5/31/23)	10.81%
1 Year (As of 5/31/23)	2.71%
3 Years (As of 5/31/23)	12.88%
Since Inception (As of 5/31/23)	9.19%
	Knights of Columbus U.S. All Cap Index
One Month (As of 5/31/23)	0.99%
YTD (As of 5/31/23)	10.65%
1 Year (As of 5/31/23)	2.78%
3 Years (As of 5/31/23)	13.10%
Since Inception (As of 5/31/23)	9.51%
	Lipper Multi-Cap Core Average
One Month (As of 5/31/23)	0.65%
YTD (As of 5/31/23)	6.42%
1 Year (As of 5/31/23)	0.76%
3 Years (As of 5/31/23)	12.76%
Since Inception (As of 5/31/23)	-
	Lipper Percentile rank
One Month (As of 5/31/23)
YTD (As of 5/31/23)
1 Year (As of 5/31/23)	21%
3 Years (As of 5/31/23)	17%
Since Inception (As of 5/31/23)

*Lipper Percentile Rank is based on total return performance. Lipper Category: Multi-Cap Core Number of Funds in Category: 660 (1 Year) and 588 (3 Year). Gross Expense Ratio 0.60%, Net Expense Ratio 0.25%.

The performance data quoted represents past performance. Past performance is not a guarantee of future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth less than their original cost and current performance may be higher or lower than the performance quoted. Investment performance does not reflect the redemption fee; if it was reflected, the total return would be lower than shown. For performance data current to the most recent month end, please call 1-844-KC-FUNDS.

Fund performance for the 1 year, 5 year, and Since Inception periods are annualized. The inception date for Limited Duration, Core Bond, Large Cap Growth, Large Cap Value, Small Cap, and International are February 27, 2015. 5-year fund performance is not available for the Real Estate Fund, Long/Short Equity, or the U.S. All Cap Index since the funds’ inception dates are September 30, 2019, December 21, 2019, and December 31, 2019, respectively.

Effective July 21, 2020, the Knights of Columbus Real Estate Fund underwent a change in its Investment Objective and a name change to reflect the new investment strategy as detailed in The Funds’ Prospectus update of July 20, 2020. The Fund was formerly known as Knights of Columbus Global Real Estate Fund. Results prior to July 20, 2020, reflect the performance of the Fund's previous strategy.

Knights of Columbus Asset Advisors LLC has contractually agreed to waive fees and/or to reimburse expenses to the extent necessary to keep Total Annual Fund Operating Expenses, (excluding interest, taxes, fund brokerage commissions, acquired fund fees and expenses and non-routine expenses) from exceeding the Net Expense Ratio for the respective Funds’ Institutional Shares average daily net assets until February 28, 2024.

Benchmark Definitions

Bloomberg Government/Credit 1-3 Year Index – benchmark for Limited Duration Fund
The U.S. Government/Credit Index is the non-securitized component of the U.S. Aggregate Index and was the first macro index launched by Barclays Capital. The U.S. Government/Credit Index includes Treasuries (i.e., public obligations of the U.S. Treasury that have remaining maturities of more than one year), government-related issues (i.e., agency, sovereign, supranational, and local authority debt), and corporates. The U.S. Government/Credit Index was launched on January 1, 1979 and is a subset of the U.S. Aggregate Index. The 1-3 year index includes all medium and larger issues of U.S. government, investment-grade corporate, and investment-grade international dollar-denominated bonds that have maturities of between 1 and 3 years and are publicly issued.

Bloomberg US Aggregate Bond Index – benchmark for Core Bond Fund
The Bloomberg US Aggregate Bond Index is a broad-based flagship benchmark that measures the investment grade, US dollar denominated, fixed-rate taxable bond market. The index includes Treasuries, government-related and corporate securities, MBS (agency fixed-rate and hybrid ARM pass-throughs), ABS and CMBS (agency and non-agency). Provided the necessary inclusion rules are met, US Aggregate eligible securities also contribute to the multi-currency Global Aggregate Index and the US Universal Index, which includes high yield and emerging markets debt. The US Aggregate Index was created in 1986.

FTSE All-World Ex-U.S. Index – benchmark for International Equity Fund
The FTSE All-World ex US Index is one of a number of indexes designed to help investors benchmark their international investments. The index comprises Large and Mid cap stocks providing coverage of Developed and Emerging Markets excluding the US. The index is derived from the FTSE Global Equity Index Series (GEIS), which covers 98% of the world’s investable market capitalization.

Russell 1000 Growth Index – benchmark for Large Cap Growth Fund
The Russell 1000 Growth Index measures the performance of the large-cap growth segment of the U.S. equity universe. It includes those Russell 1000 companies with higher price-to-book ratios and higher forecasted growth values. The Russell 1000 Growth Index is constructed to provide a comprehensive and unbiased barometer for the large-cap growth segment. The Index is completely reconstituted annually to ensure new and growing equities are included and that the represented companies continue to reflect growth characteristics.

Russell 1000 Value Index – benchmark for Large Cap Value Fund
The Russell 1000 Value Index measures the performance of the large-cap value segment of the U.S. equity universe. It includes those Russell 1000 companies with lower price-to-book ratios and lower expected growth values. The Russell 1000 Value Index is constructed to provide a comprehensive and unbiased barometer for the large-cap value segment. The Index is completely reconstituted annually to ensure new and growing equities are included and that the represented companies continue to reflect value characteristics.

Russell 2000 Index – benchmark for Small Cap Fund
The Russell 2000 Index measures the performance of the small-cap segment of the U.S. equity universe. The Russell 2000 Index is a subset of the Russell 3000® Index representing approximately 10% of the total market capitalization of that index. It includes approximately 2000 of the smallest securities based on a combination of their market cap and current index membership. The Russell 2000 is constructed to provide a comprehensive and unbiased small-cap barometer and is completely reconstituted annually to ensure larger stocks do not distort the performance and characteristics of the true small-cap opportunity set.

FTSE Nareit Equity REITs Index – benchmark for Real Estate Fund
The FTSE Nareit Equity REITs Index contains all Equity REITs not designated as Timber REITs or Infrastructure REITs. Prior to December 2010, the index included Timber REITs and Infrastructure REITs.

HFRX Equity Market Neutral Index – benchmark for Long/Short Equity Fund
HFRX Equity Market Neutral Index The HFRX Equity Market Neutral Index employs sophisticated quantitative techniques of analyzing price data to ascertain information about future price movement and relationships between securities, select securities for purchase and sale. These can include both Factor-based and Statistical Arbitrage/Trading Strategies.

Knights of Columbus U.S. All Cap Index – benchmark for U.S. All Cap Index Fund
Knights of Columbus U.S. All Cap Index Adheres to the United States Conference of Catholic Bishops’ Socially Responsible Investment Guidelines. Consists of all common stocks and real estate investment trusts in the Solactive US Broad Market Index excluding companies that are determined by Institutional Shareholder.

Bloomberg®, Bloomberg 1-3 Year U.S. Government/Credit Index and Bloomberg US Aggregate Bond Index are service marks of Bloomberg Finance L.P. and its affiliates, including Bloomberg Index Services Limited (“BISL”), the administrator of the index (collectively, “Bloomberg”) and have been licensed for use for certain purposes by Knights of Columbus Asset Advisors. Bloomberg is not affiliated with Knights of Columbus Asset Advisors, and Bloomberg does not approve, endorse, review, or recommend any Knights of Columbus Funds. Bloomberg does not guarantee the timeliness, accurateness, or completeness of any data or information relating to Knights of Columbus Funds.

Indices are unmanaged and do not reflect the effect of fees. One cannot invest directly in an index.

Lipper Peer Group Definitions

Lipper Short Investment Grade Debt Classification – peer group for Limited Duration Fund
Funds that invest primarily in investment-grade debt issues (rated in the top four grades) with dollar-weighted average maturities of less than three years. The Limited Duration Bond fund ranked 200 out of 378 funds measured for the one-year ranking period and ranked 175 out of 307 funds measured for the five-year ranking period as of May 31, 2023.

Lipper Core Bond Classification – peer group for Core Bond Fund
Funds that invest at least 85% in domestic investment-grade debt issues (rated in the top four grades) with any remaining investment in non-benchmark sectors such as high-yield, global and emerging market debt. These funds maintain dollar-weighted average maturities of five to ten years. The Core Bond fund ranked 359 out of 516 funds measured for the one-year ranking period and ranked 260 out of 456 funds measured for the five-year ranking period as of May 31, 2023.

Lipper Multi-Cap Growth Classification – peer group for Large Cap Growth Fund
Funds that, by portfolio practice, invest in a variety of market capitalization ranges without concentrating 75% of their equity assets in any one market capitalization range over an extended period of time. Multi-cap growth funds typically have above-average characteristics compared to the S&P SuperComposite 1500 Index. The Large Cap Growth fund ranked 478 out of 652 funds measured for the one-year ranking period ranked and 493 out of 580 funds measured for the five-year ranking period as of May 31, 2023.

Lipper Multi-Cap Value Classification – peer group for Large Cap Value Fund
Funds that, by portfolio practice, invest in a variety of market capitalization ranges without concentrating 75% of their equity assets in any one market capitalization range over an extended period of time. Multi-cap value funds typically have below-average characteristics compared to the S&P SuperComposite 1500 Index. The Large Cap Value fund ranked 228 out of 660 funds measured for the one-year ranking period and ranked 338 out of 581 funds measured for the five-year ranking period as of May 31, 2023.

Lipper Small-Cap Core Classification – peer group for Small Cap Fund
Funds that, by portfolio practice, invest at least 75% of their equity assets in companies with market capitalizations (on a three-year weighted basis) below Lipper’s USDE small-cap ceiling. Small cap core funds have more latitude in the companies in which they invest. These funds typically have average characteristics compared to the S&P SmallCap 600 Index. The Small Cap Equity fund ranked 599 out of 701 funds measured for the one-year ranking period and ranked 532 out of 619 funds measured for the five-year ranking period as of May 31, 2023.

Lipper International Multi-Cap Core Classification – peer group for International Equity Fund
Funds that, by portfolio practice, invest in a variety of market capitalization ranges without concentrating 75% of their equity assets in any one market capitalization range over an extended period of time. International multi-cap funds typically have characteristics compared to the MSCI EAFE Index. The International Equity fund ranked 327 out of 337 funds measured for the one-year ranking period and ranked 204 out of 267 funds measured for the five-year ranking period as of May 31, 2023.

Lipper Real Estate Classification – peer group for Real Estate Fund
Funds invest primarily in equity securities of domestic and foreign companies engaged in the real estate industry. The Real Estate fund ranked 132 out of 248 funds measured for the one-year ranking and ranked 28 out of 230 funds measured for the three-year ranking period as of May 31, 2023.

Lipper Alternative Long/Short Equity Classification – peer group for Long/Short Equity Fund
Funds that employ portfolio strategies combining long holdings of equities with short sales of equities, equity options or equity index options. The funds may be either net long or net short, depending on the portfolio manager’s view of the market. The Long/Short fund ranked 170 out of 222 funds measured for the one-year ranking and ranked 99 out of 199 funds measured for the three-year ranking period as of May 31, 2023.

Lipper Multi-Cap Core Classification – peer group for U.S. All Cap Index Fund
Funds that, by portfolio practice, invest in a variety of market capitalization ranges without concentrating 75% of their equity assets in any one market-capitalization range over an extended period of time. The U.S. All Cap Index fund ranked 139 out of 660 funds measured for the one-year ranking period and ranked 100 out of 588 funds measured for the three-year ranking as of May 31, 2023.