Atlanta Capital SMID-Cap Fund (R)

Overview


The Fund's downside protection has helped investors returns over the long-term.¹ For the 5-year period ended 3/31/12. A Shares at NAV SMID Cap Stocks

Average Annual Returns (%) as of Mar 31, 2012
4/30/2012	as of Apr 30, 2012
	3 Months	YTD	1 Year	3 Years	5 Years	10 Years
Fund at NAV	6.86	10.80	4.84	21.75	9.02	9.04
Russell 2500 Index²	5.17	12.16	-2.23	22.11	2.35	7.43
3/31/2012	as of Mar 31, 2012
Fund at NAV	10.60	10.60	6.88	27.22	9.32	9.10
Russell 2500 Index²	12.99	12.99	1.33	28.39	3.02	7.57
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance is for the stated time period only; due to market volatility, the Fund's current performance may be lower or higher than quoted. Returns are historical and are calculated by determining the percentage change in net asset value (NAV) with all distributions reinvested. Returns for other classes of shares offered by the Fund are different. Performance less than one year is cumulative. Total return prior to the commencement of the class reflects returns of another Fund class that invests in the same Portfolio. Prior returns are adjusted to reflect applicable sales charge (but were not adjusted for other expenses). If adjusted for other expenses, returns would be lower.

Fund Facts as of Apr 30, 2012
Class R Inception	08/03/2009
Performance Inception	04/30/2002
Investment Objective	Long-term capital growth
Total Net Assets of Fund	$2.5B
Minimum Investment	$1000
Expense Ratio (Gross)³	1.63%
Expense Ratio (Net)^3,4	1.50%
CUSIP	277902680

Top 10 Holdings (%)^5,6 as of Apr 30, 2012
Markel Corp.
LKQ Corp.
Affiliated Managers
Morningstar Inc.
HCC Insurance Holdings Inc.
O'Reilly Automotive
Dentsply Int'l Inc.
Henry Schein
John Wiley & Sons
Ansys Inc.
Total	31.84

Portfolio Management
Charles B. Reed, CFA			Managed Fund since inception
William O. Bell IV, CFA			Managed Fund since 2004
W. Matthew Hereford, CFA			Managed Fund since 2004

Fund invests in an affiliated investment company (Portfolio) with the same objective(s) and policies as the Fund. References to investments are to the Portfolio's holdings. Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding.

About Risk

Fund share values are sensitive to stock market volatility. Smaller companies are generally subject to greater price fluctuations, limited liquidity, higher transaction costs and higher investment risk than larger, established companies. No Fund is a complete investment program and you may lose money investing in a Fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.

1. Source: Zephyr. SMID Cap Stocks are represented by the Russell 2500 Index. Rising and declining markets are determined by the quarterly positive or negative returns for the index. Full market cycle examines the entire period.
2. Russell 2500 Index is an unmanaged index of approximately 2,500 small- and mid-cap U.S. stocks. It is not possible to invest directly in an index. Historical performance of the index illustrates market trends and does not represent the past or future performance of the fund.
3. Source: Fund prospectus.
4. Net expense ratio reflects a contractual expense reimbursement that continues through 1/31/13. Without the reimbursement, performance would have been lower.
5. Percent of total net assets.
6. Top 10 holdings exclude cash and equivalents.

Performance

Average Annual Returns (%) as of Mar 31, 2012
4/30/2012	as of Apr 30, 2012
	3 Months	YTD	1 Year	3 Years	5 Years	10 Years
Fund at NAV	6.86	10.80	4.84	21.75	9.02	9.04
Russell 2500 Index²	5.17	12.16	-2.23	22.11	2.35	7.43
3/31/2012	as of Mar 31, 2012
Fund at NAV	10.60	10.60	6.88	27.22	9.32	9.10
Russell 2500 Index²	12.99	12.99	1.33	28.39	3.02	7.57
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance is for the stated time period only; due to market volatility, the Fund's current performance may be lower or higher than quoted. Returns are historical and are calculated by determining the percentage change in net asset value (NAV) with all distributions reinvested. Returns for other classes of shares offered by the Fund are different. Performance less than one year is cumulative. Total return prior to the commencement of the class reflects returns of another Fund class that invests in the same Portfolio. Prior returns are adjusted to reflect applicable sales charge (but were not adjusted for other expenses). If adjusted for other expenses, returns would be lower.

Calendar Year Returns (%)
	2002	2003	2004	2005	2006	2007	2008	2009	2010	2011
Fund at NAV	—	26.34	18.30	4.51	14.43	11.74	-26.20	34.82	25.29	5.10
Russell 2500 Index²	-17.80	45.51	18.29	8.11	16.17	1.38	-36.79	34.39	26.71	-2.51

Fund Facts
Expense Ratio (Gross)³	1.63%
Expense Ratio (Net)^3,4	1.50%
Class R Inception	08/03/2009
Performance Inception	04/30/2002
Distribution Frequency	Annually

Risk Measures (3 Year)⁷ as of Apr 30, 2012
Alpha	2.13
Beta	0.87
R-Squared	94.37
Standard Deviation	17.96
Sharpe Ratio	1.21

Morningstar™ Ratings as of Apr 30, 2012
Time Period	Rating	Rating (Load Waived)	Funds in Mid-Cap Growth Category
Overall		—	658
3 Years		—	658
5 Years		—	596
10 Years		—	425
Based on Risk-Adjusted Returns. The Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its 3-, 5- and 10-year (if applicable) Morningstar Rating metrics. © 2011 Morningstar, Inc. 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 is responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ based on how a fund ranks on a Morningstar Risk-Adjusted Return measure against other funds in the same category. This measure takes into account variations in a fund's monthly performance after adjusting for sales loads (except for load-waived A shares) redemption fees, and the risk-free rate, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each 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. Load-waived A share star ratings do not include any front-end sales load and are intended for those investors who have access to such purchase terms (e.g., plan participants of a defined contribution plan). Not all A share mutual funds for which Morningstar calculates a load-waived A share star rating may actually waive their front-end sales load. Therefore, Morningstar strongly encourages investors to contact their investment professional to determine whether they are eligible to purchase the A share without paying the front load. The Morningstar Rating may differ among share classes of a mutual fund as a result of different sales loads and/or expense structure.

NAV History
Date	NAV	NAV Change
May 15, 2012	$16.00	$-0.03
May 14, 2012	$16.03	$-0.18
May 11, 2012	$16.21	$0.03
May 10, 2012	$16.18	$0.05
May 09, 2012	$16.13	$-0.09
May 08, 2012	$16.22	$0.00
May 07, 2012	$16.22	$0.01
May 04, 2012	$16.21	$-0.20
May 03, 2012	$16.41	$-0.17
May 02, 2012	$16.58	$0.02

Distribution History⁸
Ex-Date	Distribution	Reinvest NAV
Fund prospectus
No records in this table indicates that there has not been a distribution greater than .0001 within the past 3 years. Fund prospectus

Capital Gain History⁸
Ex-Date	Short-Term	Long-Term	Reinvest NAV
Dec 21, 2011	$0.03130	$0.05640	$14.81
Dec 22, 2010	$0.02860	$0.06010	$14.40
Fund prospectus
No records in this table indicates that there has not been a capital gain greater than .0001 within the past 3 years. Fund prospectus



Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance is as of month-end for the stated time period only; due to market volatility, the Fund's current performance may be lower or higher than quoted. For the Eaton Vance Fund's performance as of the most recent month end, please refer to www.eatonvance.com. Returns are historical and are calculated by determining the percentage change in net asset value (NAV) with all distributions reinvested. Returns shown at NAV unless noted otherwise. Returns for other classes of shares offered by the Fund are different. It is not possible to invest in an index.

About Risk

Portfolio

Asset Mix (%)⁵ as of Apr 30, 2012
U.S. Common Stocks	94.63
Cash & Equivalents	5.37
Total	100.00

Portfolio Statistics as of Apr 30, 2012
Median Market Cap	$3.6B
Price/Earnings Ratio	18.00
Number of Holdings	48
Price/Book Ratio	2.60

GICS Sector Breakdown (%)⁵ as of Apr 30, 2012
Sector	Fund	Russell 2500 Index²
Consumer Discretionary	20.44	14.18
Consumer Staples	1.71	3.43
Energy	2.43	6.16
Financials	18.77	21.79
Health Care	10.73	10.40
Industrials	24.45	15.82
Information Technology	14.17	15.42
Materials	1.93	6.61
Telecom Services	0.00	1.01
Utilities	0.00	5.18
Cash	5.37	0.00

Market Cap Breakdown (%)^5,9 as of Apr 30, 2012
Less than $2 Billion	7.27
Between $2 Billion and $12 Billion	89.54
More than $12 Billion	3.19

Fund Holdings (%)^5,10 as of Dec 31, 2011
Holding	% of Net Assets
EV CASH RESERVES FUND	6.7370%
Markel Corp	4.4848%
O REILLY AUTOMOTIVE INC NEW COM	3.4368%
Affiliated Managers Group Inc	3.4149%
Morningstar Inc	3.4042%
LKQ Corp	3.1761%
HCC Insurance Holdings Inc	3.1545%
DENTSPLY International Inc	2.8901%
John Wiley & Sons Inc	2.7181%
Henry Schein Inc	2.6641%
View All

About Risk

Insights & Analysis

Quarterly Commentary

A Word On The Markets as of Mar 31, 2012

Investor confidence snapped back in the first quarter of 2012 as equity markets staged a powerful rally. After the extreme volatility of 2011, U.S. and global stocks began climbing in early January and continued their rapid ascent nearly uninterrupted before cooling slightly in late March. Several key market indices reached post-financial crisis highs during the quarter.

Among upbeat economic indicators, falling unemployment in the U.S. helped drive stocks higher, and even the long-depressed housing market showed signs of improvement. The Federal Reserve's renewed commitment to keeping interest rates low for the foreseeable future provided an additional tailwind. Concerns about political gridlock in Washington and the upcoming elections appeared to have little negative impact on the world markets for the time being. Encouraging steps toward resolving Europe's debt crisis boosted international markets and helped sustain U.S. stock gains. Cautionary influences on world markets included ongoing worries about China's slowing economy and elevated oil prices fueled by geopolitical tensions in the Middle East.

The breadth of the market rally across geographies and market segments was reflected in the returns delivered by the major U.S. and overseas indexes. The MSCI EAFE Index¹¹ rose 10.86% during the quarter, while the MSCI Emerging Markets Index¹² gained 14.08%. In the U.S., the S&P 500 Index¹³ surged 12.59%, while the Dow Jones Industrial Average¹⁴ advanced 8.84%. Large-cap stocks narrowly outperformed their small-cap counterparts, with the Russell 1000 Index¹⁵ jumping 12.90% versus 12.44% for the Russell 2000 Index¹⁶. Across market capitalizations, growth stocks outperformed value stocks.

Performance Summary

For the quarter ended March 31, 2012, Atlanta SMID-Cap Fund, underperformed its benchmark, the Russell 2500 Index².

The Fund's underperformance for the quarter was driven primarily by stock selection, particularly in the the consumer discretionary and information technology sectors.
Overall, sector allocations aided relative performance for the quarter. The Fund's underweight positions in the utilities, energy and financials sectors positively impacted relative performance. Relative to the benchmark, stock selection was most additive in the financial and energy sectors.

Contributors

Stock selection in the financials and energy sectors had a positive impact on performance relative to the benchmark. The Fund's underweight positions in the utilities, energy, and financials sectors also helped lift performance.

The top five individual performance contributors to Fund performance for the quarter included two information technology names (Fair Isaac and Blackbaud), one financial company (Forest City Enterprise), one industrial firm (Graco) and one health care company (Mettler-Toledo International).

Detractors

Overall, stock selection detracted from relative performance for the quarter, particularly in the consumer discretionary and information technology sectors. The Fund's underweight position in the information technology sector also detracted slightly from relative performance.

Three of the Fund's five largest individual performance detractors were in the consumer discretionary sector (Gentex, LKQ, and Morningstar), with the other leading detractors being one company in the industrials (Kirby) and information technology (FLIR Systems) sectors.

Investment Outlook And Fund Positioning

The global economic outlook appears shaky given the weakened state of the international banking system. We expect the high debt levels of developed economies to remain a drag on future growth as governments may implement austerity programs in an attempt to balance their budgets and reduce liabilities. However, we are finding what we believe to be opportunities amid the volatility and believe our companies may be well positioned even in the low growth environment we expect.

While there is no shortage of negative news in the financial press, we believe there are reasons for cautious optimism. Our process will continue to focus on identifying quality businesses whose fortunes are less dependent on the state of the economy, and we would welcome the opportunity to invest in such businesses at the potentially lower prices that market volatility may provide.

Top 10 Holdings (%)^5,6 as of Mar 31, 2012
Markel Corp.	4.73
Morningstar Inc.	3.56
Affiliated Managers	3.46
LKQ Corp.	3.44
HCC Insurance Holdings Inc.	3.21
Dentsply Int'l Inc.	3.02
O'Reilly Automotive	3.01
Henry Schein	2.72
John Wiley & Sons	2.72
Fair Isaac Corp.	2.55
Total	32.42

The views expressed in this report are those of portfolio manager(s) and are current only through the date stated at the top of this page. These views are subject to change at any time based upon market or other conditions, and Eaton Vance disclaims any responsibility to update such views. These views may not be relied upon as investment advice and, because investment decisions are based on many factors, may not be relied upon as an indication of trading intent on behalf of any Eaton Vance fund. This commentary may contain statements that are not historical facts, referred to as "forward looking statements". The Fund's actual future results may differ significantly from those stated in any forward-looking statement, depending on factors such as changes in securities or financial markets or general economic conditions, the volume of sales and purchases of Fund shares, the continuation of investment advisory, administrative and service contracts, and other risks discussed from time to time in the Fund's filings with the Securities and Exchange Commission.

About Risk

2. Russell 2500 Index is an unmanaged index of approximately 2,500 small- and mid-cap U.S. stocks. It is not possible to invest directly in an index. Historical performance of the index illustrates market trends and does not represent the past or future performance of the fund.
5. Percent of total net assets.
6. Top 10 holdings exclude cash and equivalents.
11. MSCI EAFE Index is an unmanaged index of equities in the developed markets, excluding the U.S. and Canada. It is not possible to invest directly in an index. Historical performance of the index illustrates market trends and does not represent the past or future performance of the fund. Source: MSCI. MSCI data may not be reproduced or used for any other purpose. MSCI provides no warranties, has not prepared or approved this report, and has no liability hereunder.
12. MSCI Emerging Markets Index is an unmanaged index of emerging markets common stocks. It is not possible to invest directly in an index. Historical performance of the index illustrates market trends and does not represent the past or future performance of the fund. Source: MSCI. MSCI data may not be reproduced or used for any other purpose. MSCI provides no warranties, has not prepared or approved this report, and has no liability hereunder.
13. S&P 500 Index is an unmanaged index of large-cap stocks commonly used as a measure of U.S. stock market performance. It is not possible to invest directly in an index. Historical performance of the index illustrates market trends and does not represent the past or future performance of the fund.
14. Dow Jones Industrial Average is a price-weighted average of 30 blue-chip stocks that are generally the leaders in their industry. It is not possible to invest directly in an index. Historical performance of the index illustrates market trends and does not represent the past or future performance of the fund.
15. Russell 1000 Index is an unmanaged index of 1,000 U.S. large-cap stocks. It is not possible to invest directly in an index. Historical performance of the index illustrates market trends and does not represent the past or future performance of the fund.
16. Russell 2000 Index is an unmanaged index of 2,000 U.S. small-cap stocks. It is not possible to invest directly in an index. Historical performance of the index illustrates market trends and does not represent the past or future performance of the fund.

Attribution

Sector Attribution as of Mar 31, 2012
3 Month Attribution	as of Mar 31, 2012
	Fund			Russell 2500 Index²			Attribution
Sectors	Average Weight	Total Return	Contrib. to Return	Average Weight	Total Return	Contrib. to Return	Allocation Effect	Selection Effect	Total Effect
Consumer Discretionary	20.47	5.91	1.23	13.93	16.89	2.27	0.23	-2.14	-1.91
Consumer Staples	1.68	8.04	0.13	3.37	10.23	0.34	0.05	-0.04	0.02
Energy	2.45	9.57	0.25	6.62	4.39	0.34	0.34	0.12	0.46
Financials	18.81	15.21	2.77	21.16	12.34	2.61	0.01	0.47	0.49
Health Care	11.61	13.65	1.59	10.32	16.22	1.65	0.04	-0.28	-0.24
Industrials	23.45	13.00	3.02	15.90	13.08	2.09	0.00	-0.01	-0.01
Information Technology	14.51	12.59	1.80	15.74	17.10	2.64	-0.05	-0.63	-0.68
Materials	2.37	6.70	0.16	6.68	14.77	1.00	-0.02	-0.31	-0.33
Telecom Services	0.00	0.00	0.00	1.03	15.49	0.15	-0.02	0.00	-0.02
Utilities	0.00	0.00	0.00	5.24	-1.72	-0.11	0.82	0.00	0.82
Cash	4.64	0.02	0.00	0.00	0.00	0.00	-0.61	0.00	-0.61
Total	100.00	10.97	10.97	100.00	12.98	12.98	0.80	-2.82	-2.02
1 Year Attribution	as of Mar 31, 2012
Consumer Discretionary	20.77	18.84	4.06	13.88	7.65	1.12	0.45	2.60	3.05
Consumer Staples	2.21	27.42	0.60	3.38	22.52	0.72	-0.07	-0.03	-0.10
Energy	2.45	4.62	0.10	7.03	-16.51	-1.72	0.99	0.61	1.59
Financials	19.41	-0.19	-0.89	20.57	2.90	0.77	-0.03	-0.88	-0.91
Health Care	11.64	2.05	0.03	10.63	7.44	0.79	0.07	-0.79	-0.71
Industrials	22.28	11.59	3.34	15.16	-1.14	0.13	-0.03	2.94	2.91
Information Technology	13.81	5.69	1.01	15.96	-3.19	-0.62	0.17	1.57	1.75
Materials	3.10	3.87	0.04	6.82	-1.82	-0.25	0.13	0.16	0.28
Telecom Services	0.00	0.00	0.00	1.12	-4.04	-0.08	0.03	0.00	0.03
Utilities	0.00	0.00	0.00	5.46	7.19	0.48	-0.35	0.00	-0.35
Cash	4.32	0.03	0.00	0.00	0.00	0.00	-0.58	0.00	-0.58
Total	100.00	8.30	8.30	100.00	1.33	1.33	0.78	6.18	6.97

Additional Notes

Source: Factset.

Attribution analysis shows the contribution of indicated factor exposures to a portfolio's relative total return versus a designated benchmark. Results are based on each day's ending holdings, and linked to generate attribution over longer periods. Portfolio returns do not reflect applicable expenses and trading costs, or variations in transaction prices from end of day values.

Allocation Effect

Measures portfolio's excess return due to over or under-weighting a sector.

Selection Effect

Measures portfolio's excess return from selecting individual stocks within each sector.

About Risk

Management

Biography

Charles B. Reed, CFA

Vice President and Managing Director, Atlanta Capital Management
Joined Atlanta Capital 1998

Charles (Chip) Reed is a managing director—core equities and principal of Atlanta Capital Management Co., LLC, an investment adviser and majority-owned subsidiary of Eaton Vance Corp. He serves as a portfolio manager on the firm's small- and SMID-cap team.

Prior to joining the firm in 1998, Chip was a portfolio manager with the Florida State Board of Administration responsible for managing their internal special situation equity fund.

Chip earned a B.S. in finance from Florida State University and is a CFA charterholder.

Education

B.S. Florida State University

Experience

Managed Fund since inception

Other funds managed

Atlanta Capital Select Equity Fund

Biography

William O. Bell IV, CFA

Vice President and Principal, Atlanta Capital Management
Joined Atlanta Capital 1999

Bill Bell is a vice president and principal of Atlanta Capital Management Co., LLC, an investment adviser and majority-owned subsidiary of Eaton Vance Corp. He serves as a portfolio manager on the firm's small- and SMID-cap team.

Prior to joining the firm in the fall of 1999, Bill was a portfolio manager with the Florida State Board of Administration. He was responsible for managing their internal special situation equity fund.

Bill earned a B.A. in finance from Florida State University and is a CFA charterholder.

Education

B.A. Florida State University

Experience

Managed Fund since 2004

Other funds managed

Atlanta Capital Select Equity Fund

Biography

W. Matthew Hereford, CFA

Vice President and Principal, Atlanta Capital Management
Joined Atlanta Capital 2002

Matt Hereford is a vice president and principal of Atlanta Capital Management Co., LLC, an investment adviser and majority-owned subsidiary of Eaton Vance Corp. He serves as a portfolio manager on the firm's small- and SMID-cap team.

Prior to joining the firm in December 2002, Matt was affiliated for five years with INVESCO, where he was responsible for managing their Concentrated Equity portfolio.

Matt earned a B.B.A. in international business from the University of Mississippi. He is a CFA charterholder and is a member of the Atlanta Society of Financial Analysts.