Strategy And Objective

The Marshfield Concentrated Opportunity Fund (the Fund) seeks the dual goals of capital preservation and the long-term growth of principal, while targeting a pattern of performance at variance with that of the market.The Fund seeks the dual goals of capital preservation and long-term growth of principal, while targeting a pattern of performance at variance with that of the market. The Fund seeks to achieve its investment objective by investing principally in a portfolio of common stocks of companies traded on United States (U.S.) securities exchanges or over-the-counter (OTC) markets that exhibit low valuations based on the Advisers analysis of the companies intrinsic value. The Fund may invest in companies of any capitalization size, including large-cap, mid-cap, and small-cap companies. The Fund will typically hold from 16 to 24 equity securities plus a cash position. The cash position will, on average, be in the range of 0-25% of the portfolio and will be an output of the Adviser s buy and sell decisions, not a tactical maneuver. The Adviser generally develops a list of U.S. exchange-traded and OTC companies for consideration to purchase using its proprietary screening process as described below. The Adviser performs a bottom-up analysis to identify companies that the Adviser believes are: (i) in an industry that allows the company to earn high returns on equity over time; (ii) imbued with a functional and resilient corporate culture; and (iii) trading at a price that is below the Advisers estimated intrinsic value of the company. The Advisers screening process generally involves Rigorous analysis that entails developing an understanding of the ecosystem in which a company operates. The Adviser seeks to review all relevant materials about a company and its industry such as journal articles and securities filings, talk with the management personnel of both the subject company and its competitors, and research the economics underlying the relevant industry or industries in order to have a deep understanding of how the company works. Determining the value of the company, which the Adviser conducts using conservative assumptions. The Adviser stress tests its valuation based upon a series of different scenarios and sets a target price that incorporates a substantial discount between the companys market price and the Advisers estimate of the companys value (i.e. intrinsic value).Selecting portfolio investments in companies that the Adviser believes: (i) are in an industry that allows the company to earn high returns on equity over time, (ii) pass the Advisers tests of corporate culture (the internal compass expressed by the companys attitude toward customers and shareholders), industry structure (attributes like competitive rivalry and the discipline to remain focused on maintaining and exploiting advantages) and management quality (integrity, courage and resolve) and (iii) are trading at a price that is below the Advisers estimate intrinsic value of the company.Continuous review of all Fund holdings with ongoing monitoring of the financial performance of each company in the portfolio as well as analysis of whether each holding is performing as the Advisers conceptual case suggested.The Advisers approach emphasizes the potential long-term health of a company rather than the short-term performance of the company. The Adviser normally purchases stock in a company with the intention of holding the investment for an extended period of time. However, the Adviser may sell a portfolio holding if it determines any of the following circumstances exist The company fails to perform as anticipated The companys or the relevant industrys outlook has changed for the worse Systemic risk to the portfolio should be limited, as with too great an exposure to a single industry or sector of the economy A companys stock becomes excessively overvalued in relationship to its intrinsic value; or The Adviser decides to readjust the size of the Funds investment in the companys stock (e.g. the companys stock comprises too great a portion of the Fund, such as if the value of the companys stock exceeds 20% of the Funds portfolio). The Fund may hold out-of-favor stocks rather than popular ones. The Funds portfolio will be focused and therefore may at times hold stocks in only a few companies. While the Adviser does not intend to focus on any particular sector or industry in making investments for the Fund, at any given time the Fund may have a substantial investment in a particular sector or industry if the Adviser determines such investment to be the best available for the Fund. The Adviser is willing to hold cash and will buy stocks opportunistically when prices are attractive in the Advisers estimation. The Fund is a non-diversified fund, which means that it may invest more of its assets in the securities of a single issuer or a small number of issuers than a diversified fund.