Overview

The Fund has outperformed its benchmark with less volatility since inception.3

As of 06/30/2017

  • Class A at NAV
  • Benchmark

Historical Returns (%)as of Jun 30, 2017

Annualized
1 Mo. 3 Mos. YTD 1 Yr. 3 Yrs. 5 Yrs. Life of Fund
Fund at NAV 0.68 2.78 8.70 19.46 5.26 10.93 9.09
MSCI All Country World Index4 0.45 4.27 11.48 18.78 4.82 10.54 8.36
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 or equal to one year is cumulative. The share class has no sales charge.

Fund Factsas of Jun 30, 2017

Class I Inception 10/12/2010
Investment Objective Total return
Total Net Assets $883.3M
Minimum Investment $250000
Expense Ratio5 1.01%
CUSIP 277902573

Top 10 Holdings (%)6as of Jun 30, 2017

MSCI Emerging Markets Mini SEP 2017
Apple Inc.
Vaneck Vectors Junor Gold ETF
Microsoft Corp.
iShares MSCI South Korea Cap
iShares MSCI Taiwan Cap ETF
WisdomTree India Earnings Fund
Facebook Inc.
JPMorgan Chase Co.
Oracle Corp.
Total 26.5

Portfolio Management

Richard Bernstein Managed Fund since inception
Matthew Griswold, CFA Managed Fund since 2017
Henry Timmons, CFA Managed Fund since 2017

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding.

About Risk: 

Fund performance is sensitive to stock market volatility. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. In emerging countries, these risks may be more significant. Smaller companies are generally subject to greater price fluctuations, limited liquidity, higher transaction costs and higher investment risk than larger, established companies. Derivative instruments can be used to take both long and short positions, be highly volatile, result in economic leverage (which can increase both the risk and return potential of the Fund), and involve risks in addition to the risks of the underlying instrument on which the derivative is based, such as counterparty, correlation and liquidity risk. If a counterparty is unable to honor its commitments, the value of Fund shares may decline and/or the Fund could experience delays in the return of collateral or other assets held by the counterparty. 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.


Performance

Historical Returns (%)as of Jun 30, 2017

Annualized
1 Mo. 3 Mos. YTD 1 Yr. 3 Yrs. 5 Yrs. Life of Fund
Fund at NAV 0.68 2.78 8.70 19.46 5.26 10.93 9.09
MSCI All Country World Index4 0.45 4.27 11.48 18.78 4.82 10.54 8.36
Morningstar World Large Stock Category7 0.41 5.10 12.88 18.02 4.53 10.57
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 or equal to one year is cumulative. The share class has no sales charge.

Calendar Year Returns (%)

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Fund at NAV -6.16 12.86 29.90 2.90 -0.46 9.99
MSCI All Country World Index4 11.66 -42.19 34.63 12.67 -7.35 16.13 22.80 4.16 -2.36 7.86

Fund Facts

Expense Ratio5 1.01%
Class I Inception 10/12/2010
Distribution Frequency Annually

Risk Measures (3 Year)8as of Jun 30, 2017

Alpha (%) 1.22
Beta 0.83
R-Squared (%) 86.08
Standard Deviation (%) 9.63
Sharpe Ratio 0.52

Morningstar Rating™as of Jun 30, 2017

Time Period Rating Funds in
World Large Stock
Category
Overall *** 714
3 Years *** 714
5 Years *** 590
The Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds and exchange-traded funds) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product 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.

The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. Star ratings do not reflect the effect of any applicable sales load.

©2017 Morningstar. 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 are responsible for any damages or losses arising from any use of this information.

NAV History

Date NAV NAV Change
Jul 20, 2017 $16.74 $0.00
Jul 19, 2017 $16.74 $0.08
Jul 18, 2017 $16.66 $0.01
Jul 17, 2017 $16.65 -$0.01
Jul 14, 2017 $16.66 $0.09
Jul 13, 2017 $16.57 $0.05
Jul 12, 2017 $16.52 $0.16
Jul 11, 2017 $16.36 $0.01
Jul 10, 2017 $16.35 $0.06
Jul 07, 2017 $16.29 $0.08

Distribution History9

Ex-Date Distribution Reinvest NAV
Dec 22, 2016 $0.16100 $14.96
Dec 23, 2015 $0.32630 $14.18
Dec 23, 2014 $0.12050 $14.64
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 History9

Ex-Date Short-Term Long-Term Reinvest NAV
Dec 22, 2016 $0.18240 $0.19290 $14.96
Dec 23, 2014 $0.06460 $14.64
No records in this table indicates that there has not been a capital gain greater than .0001 within the past 3 years.
Fund prospectus

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding.

About Risk: 

Fund performance is sensitive to stock market volatility. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. In emerging countries, these risks may be more significant. Smaller companies are generally subject to greater price fluctuations, limited liquidity, higher transaction costs and higher investment risk than larger, established companies. Derivative instruments can be used to take both long and short positions, be highly volatile, result in economic leverage (which can increase both the risk and return potential of the Fund), and involve risks in addition to the risks of the underlying instrument on which the derivative is based, such as counterparty, correlation and liquidity risk. If a counterparty is unable to honor its commitments, the value of Fund shares may decline and/or the Fund could experience delays in the return of collateral or other assets held by the counterparty. 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.


Portfolio

Asset Mix (%)6,10,11,12as of Jun 30, 2017

U.S. Common Stocks 61.5
Foreign Common Stocks 37.4
Cash & Equivalents 1.1
Total 100.0

Portfolio Statisticsas of Jun 30, 2017

Median Market Cap $36.4B
Price/Earnings Ratio 18.9
Number of Holdings 212
Price/Book Ratio 2.4

GICS Sector Breakdown (%)6,10,11,12as of Jun 30, 2017

Sector Fund MSCI All Country World Index4
Consumer Discretionary 13.8 12.1
Consumer Staples 3.0 9.3
Energy 4.1 6.1
Financials 32.5 18.7
Health Care 2.4 11.4
Industrials 6.7 10.9
Information Technology 25.8 16.8
Materials 7.7 5.2
Real Estate 0.9 3.1
Telecom Services 1.6 3.2
Utilities 0.5 3.1
Cash 1.1 0.0

Portfolio Characteristics (%)12,13as of Jun 30, 2017

Fund (%) MSCI All Country
World Index (%)
Regions
US. 62 53
Developed 19 36
Emerging 19 11
Style
Growth 54 54
Value 46 46
Size
Large Cap 82 88
Midcap 16 12
Small Cap 2 0

Assets by Country (%)6,10,11,12as of Jun 30, 2017

United States 61.6
United Kingdom 6.1
China 4.3
South Korea 3.5
Germany 3.4
Taiwan 2.9
Switzerland 2.4
India 2.4
France 2.3
Spain 1.2
View All

Geographic Mix (%)6,10,11,12as of Jun 30, 2017

United States 61.6
Asia/Pacific 14.5
Europe 11.5
United Kingdom 6.1
Latin America 1.9
Africa 1.1
Northern America except US 1.1
Eastern Europe 0.9
Middle East 0.2
Cash & Other Assets 1.1

Fund Holdings (%)6,14as of May 31, 2017

Holding % of Net Assets
EV Cash Reserves Fund LLC 14.77%
mini MSCI Emg Mkt Jun17 10.25%
Russell 2000 Mini Jun17 3.11%
Apple Inc 2.14%
VanEck Vectors Junior Gold Miners ETF 1.68%
Microsoft Corp 1.38%
iShares MSCI South Korea Capped ETF 1.12%
WisdomTree India Earnings Fund 1.06%
iShares MSCI Taiwan Capped ETF 1.01%
VanEck Vectors Russia ETF 0.99%
View All

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding.

About Risk: 

Fund performance is sensitive to stock market volatility. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. In emerging countries, these risks may be more significant. Smaller companies are generally subject to greater price fluctuations, limited liquidity, higher transaction costs and higher investment risk than larger, established companies. Derivative instruments can be used to take both long and short positions, be highly volatile, result in economic leverage (which can increase both the risk and return potential of the Fund), and involve risks in addition to the risks of the underlying instrument on which the derivative is based, such as counterparty, correlation and liquidity risk. If a counterparty is unable to honor its commitments, the value of Fund shares may decline and/or the Fund could experience delays in the return of collateral or other assets held by the counterparty. 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.


Insights & Analysis

Commentary

A Word On The Markets as of Mar 31, 2017

Global equity markets delivered solid gains in the first quarter of 2017 despite a pullback by U.S. stocks late in the period amid dimming prospects for President Donald Trump's pro-business agenda.

U.S. stocks advanced for much of the period, extending the rally that began with President Trump's election in November. Responding to continued economic growth, the U.S. Federal Reserve (the Fed) raised its benchmark interest rate in March and indicated that further rate hikes would be coming in 2017. Taking the Fed action as a vote of confidence in the U.S. economy, stocks rose following the rate hike. Bank stocks led the advance on expectations that bank earnings would benefit from higher rates. Strong manufacturing and jobs data also boosted equity markets. During February, the U.S. added 235,000 new jobs, topping forecasts, while the unemployment rate remained steady at 4.7%.

But U.S stocks reversed course after President Trump's health care bill was withdrawn from Congress. The health care failure raised concerns about the prospects for the president's future economic initiatives, including tax reduction and infrastructure spending. Equities recouped some of the lost ground in the final days of the three-month period.

Globally, signs of economic gains across a broad spectrum of regions encouraged investors during the period. In Asia, rising demand for semiconductors and other electronics boosted growth in the region's export-oriented economies. In Europe, positive economic data and receding political risks helped push stocks higher. Even countries long mired in recession, such as Russia and Brazil, showed signs of recovery during the period.

For the three-month period, the Dow Jones Industrial Average15 recorded a 5.19% gain, while the broader S&P 500 Index16 rose 6.07%. The technology-laden NASDAQ Index17 added 9.82%. Globally, the MSCI EAFE Index18 rose 7.25% in the quarter. Large-cap stocks outperformed their small-cap counterparts during the quarter. In terms of investing style, growth stocks topped value stocks in both the large-cap and small-cap categories.

Performance Summary 

In the quarter ending March 31, 2017 the Eaton Vance Richard Bernstein Equity Strategy Fund ("The Fund" underperformed the MSCI All Country World Index ("The Index").4 The Fund’s performance was 5.76% while the Index’s performance was 6.91%.

The Fund’s strong fourth quarter 2016 outperformance stalled during the first quarter of 2017 in the wake of a second Fed rate hike and failure by the Trump administration to pass its initial version of health care legislation.

One of our key tenets is investing with longer time horizons in mind and we prefer relying on our indicators to guide our positioning. Earlier in 2016, the Fund was repositioned to accentuate cyclical sectors as a result of our belief that profits cycles had troughed in certain regions of the world. While this targeted allocation to hedged global equities had a negative effect on Fund performance during the first quarter of 2017, it has been a positive contributor since we initiated the positioning.

  • Fund performance during the first quarter was primarily hurt by market segment allocation within the United States.
  • Regional allocation decisions contributed positively to Fund performance during the quarter.

Historical Returns (%)as of Mar 31, 2017

Annualized
1 Mo. 3 Mos. YTD 1 Yr. 3 Yrs. 5 Yrs. Life of Fund
Fund at NAV 0.89 5.75 5.75 18.42 5.30 10.03 8.99
MSCI All Country World Index4 1.22 6.91 6.91 15.04 5.07 8.37 7.99
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 or equal to one year is cumulative. The share class has no sales charge.

Fund Factsas of Mar 31, 2017

Class I Inception 10/12/2010
Expense Ratio5 1.01%

Contributors 

Though the Fund underperformed the Index, there were several positives during the first quarter:

  • Being overweight a select group of emerging markets — namely, Brazil, India, S. Korea and Taiwan — helped absorb some of the losses elsewhere in the Fund.
  • Holding gold via junior gold miners was a positive contributor during the quarter.
  • The Fund benefited from being underweight Japan despite the JPY strengthening during the quarter.

Detractors 

The gains experienced from accentuating cyclical tilts during the fourth quarter of 2016 reversed during the first quarter of 2017. More specifically:

  • An overweight position in the U.S. was the largest detractor to Fund performance in terms of global regions during the period.
  • The Fund’s tilt towards U.S. cyclicals fared poorly during the period. The largest detractors for the Fund were overweights in U.S. financials and energy. The Fund’s underweight in U.S. health care also impaired performance.
  • Hedging EUR and GBP were slight detractors as the U.S. Dollar Index declined over the period.

Investment Outlook And Fund Positioning 

Now in the second longest bull market of the post-war period, investors (be they individuals, pensions, endowments, foundations or hedge funds) remain too fearful to invest in equities. We’re not seeing any of our three major signs that the probability of a bear market is increasing: central banks withdrawing liquidity, a profits recession or overly bullish sentiment. This negative consensus suggests the bull market could continue considerably longer than most anticipate

Should we experience an earnings-driven market, maintaining our positioning in cyclical equities should continue benefiting the Fund.

We continue to follow our indicators. As they change, we update our views and position the Fund appropriately.

Top 10 Holdings (%)6as of Mar 31, 2017

MSCI Emerging Markets Mini JUN 2017 10.0
Apple Inc. 2.0
Vaneck Vectors Junor Gold ETF 1.9
Russell 2000 Mini JUN 2017 1.9
Microsoft Corp. 1.3
Vaneck Vectors Russia ETF 1.0
iShares MSCI South Korea Cap 1.0
WisdomTree India Earnings Fund 1.0
iShares MSCI Taiwan Cap ETF 1.0
Exxon Mobil Corp. 1.0
Total 22.2

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.

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding.

About Risk: 

Fund performance is sensitive to stock market volatility. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. In emerging countries, these risks may be more significant. Smaller companies are generally subject to greater price fluctuations, limited liquidity, higher transaction costs and higher investment risk than larger, established companies. Derivative instruments can be used to take both long and short positions, be highly volatile, result in economic leverage (which can increase both the risk and return potential of the Fund), and involve risks in addition to the risks of the underlying instrument on which the derivative is based, such as counterparty, correlation and liquidity risk. If a counterparty is unable to honor its commitments, the value of Fund shares may decline and/or the Fund could experience delays in the return of collateral or other assets held by the counterparty. 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.

Attribution

Attribution available in Fund Literature tab.

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding.

About Risk: 

Fund performance is sensitive to stock market volatility. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. In emerging countries, these risks may be more significant. Smaller companies are generally subject to greater price fluctuations, limited liquidity, higher transaction costs and higher investment risk than larger, established companies. Derivative instruments can be used to take both long and short positions, be highly volatile, result in economic leverage (which can increase both the risk and return potential of the Fund), and involve risks in addition to the risks of the underlying instrument on which the derivative is based, such as counterparty, correlation and liquidity risk. If a counterparty is unable to honor its commitments, the value of Fund shares may decline and/or the Fund could experience delays in the return of collateral or other assets held by the counterparty. 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.


Management

Biography
Richard Bernstein

Richard Bernstein

Founder, CEO and Chief Investment Officer
Richard Bernstein Advisors LLC

Richard Bernstein is the chief executive officer/chief investment officer of Richard Bernstein Advisors LLC (RBA), a registered independent investment adviser.

Mr. Bernstein founded Richard Bernstein Advisors LLC (RBA) in 2009. The firm utilizes a unique top-down approach to investing, focusing on macro trends rather than individual stock selection. RBA manages several accounts in partnership with several leading financial institutions.

Mr. Bernstein has over 35 years’ experience on Wall Street, most recently as the chief investment strategist at Merrill Lynch & Co. Prior to joining Merrill Lynch in 1988, he held positions at E.F. Hutton and Chase Econometrics/IDC.

A much-noted expert on equity, style and asset allocation, Mr. Bernstein was voted to Institutional Investor magazine’s annual “All-America Research Team” 18 times, and is one of only 57 analysts inducted into the Institutional Investor “Hall of Fame.” He was also twice named to both Fortune magazine’s “All-Star Analysts” and to Smart Money magazine’s “Power 30”, and was a member of Registered Rep’s “Ten to watch” for 2012. His book “Style Investing: Unique Insight into Equity Management” is widely viewed as the seminal book on style-oriented investment strategies. He donates the profits from that and his other book, “Navigate the Noise: Investing in the New Age of Media and Hype,” to charity.

Mr. Bernstein is co-chair of the Alfred P. Sloan Foundation endowment’s Investment Committee and sits on the Hamilton College endowment’s Investment Committee; he is a trustee of both institutions. He is also a former Adjunct Professor of Finance at the NYU/Stern Graduate School of business, and is a member of the Journal of Portfolio Management’s Advisory Committee.

Rich holds an MBA in finance, with Beta Gamma Sigma distinction, from New York University, and a BA in economics from Hamilton College. He has lectured on finance and economics at numerous colleges, universities and professional forums.

Education
  • B.A. Hamilton College
  • M.B.A. Stern School of Business, New York University

Experience
  • Managed Fund since inception

Biography
Matthew Griswold, CFA

Matthew Griswold, CFA

Director of Investments, Portfolio Manager, Richard Bernstein Advisors LLC

Matthew Griswold is the director of investments and a portfolio manager at Richard Bernstein Advisors LLC (RBA), a registered independent investment adviser. He oversees investment process design and implementation for all investment products. He is responsible for buy and sell decisions, portfolio construction and risk management for the firm’s global equity and multiasset class funds. Matt joined RBA in 2010.

Matt began his career in the investment management industry in 1989. Previously, Matt was a vice president and portfolio manager at State Street Global Advisors, with responsibility for the design, execution and evaluation of both new and existing global investment strategies. His extensive portfolio management experience spans most major asset classes and includes both quantitative and fundamental investment disciplines. Matt assumed a wide variety of leadership positions within State Street in areas of portfolio construction, research, performance measurement, risk analysis, mutual fund administration and client service.

Matt earned a B.S. in industrial management from Carnegie Mellon University. He is a member of the Boston Security Analysts Society and a CFA charterholder.

Education
  • B.S. Carnegie Mellon University

Experience
  • Managed Fund since 2017

Biography
Henry Timmons, CFA

Henry Timmons, CFA

Senior Quantitative Analyst, Portfolio Manager, Richard Bernstein Advisors LLC

Henry Timmons is a senior quantitative analyst and portfolio manager at Richard Bernstein Advisors LLC (RBA), a registered independent investment adviser. He is responsible for asset allocation, portfolio construction, risk management and ETF research. Henry joined RBA in 2011.

Henry began his career in the investment management industry in 2005. Previously, he was a portfolio manager and quantitative analyst at Grantham, Mayo, Van Otterloo & Co. LLC. While at GMO, he evaluated quantitative and fundamental sources of alpha as potential inputs to the investment process, while assisting in constructing and managing portfolios. Prior to GMO, Henry was a management consultant at PricewaterhouseCoopers LLP, where he designed forecasting models improving supply-chain management processes for various clients.

Henry holds a B.S. in mechanical engineering and an MEng in systems engineering and engineering management from Cornell University, and an MBA in finance from the Johnson School at Cornell University. He is a CFA charterholder.

Education
  • B.S. Cornell University
  • M.Eng Cornell University
  • M.B.A. Johnson School, Cornell University

Experience
  • Managed Fund since 2017


Literature

Literature

Fact Sheet

Download - Last updated: Jun 30, 2017

Commentary

Download - Last updated: Jun 30, 2017

Attribution

Download - Last updated: Jun 30, 2017

Annual Report

Download - Last updated: Aug 31, 2016

Full Prospectus

Download - Last updated: Jan 1, 2017

Holdings-1st or 3rd fiscal quarters-www.sec.gov

Download

SAI

Download - Last updated: Jan 1, 2017

Semi-Annual Report

Download - Last updated: Feb 28, 2017

Summary Prospectus

Download - Last updated: Apr 10, 2017

XBRL

Download - Last updated: Jan 11, 2017