(PUB) Morningstar FundInvestor

23

Morningstar FundInvestor

August 2 013

Data through July 31, 2013 Wasatch Long/Short Investor

Ticker

Status Yield Total Assets

Mstar Category Long/Short Equity

FMLSX Open

0.0% $2,165 mil

Morningstar Analyst Rating 07-12-13

Investment Style Equity Stock %

Historical Profile Return Risk Rating Above Avg Above Avg Above Avg

72% 67% 68% 76% 62% 75% 70% 73% 81%

„

Manager Change Partial Manager Change

Morningstar Pillars Process Performance

10.0 12.5 15.0 17.5

Growth of $10,000

Positive Positive Positive Positive Positive

Investment Values of Fund Investment Values of S&P 500

People Parent Price

NAV Total Return % +/-S&P 500 +/-Russ 1000 Income Return % Capital Return % Capital Gains $ Expense Ratio % Income Ratio % Turnover Rate % Net Assets $mil Total Rtn % Rank Cat Income $ Performance Quartile (within Category) History

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 07-13

Morningstar Analyst Rating Morningstar evaluates mutual funds based on five key pillars, which its analysts believe lead to funds that are more likely to outperform over the long term on a risk-adjusted basis. Analyst Rating Spectrum Œ „ ´ˇ ¨

10.63

10.79

10.85 3.82 -1.09 -2.45 1.37 2.45

11.62 14.72 -1.07 -0.74

11.57

8.88

11.55 30.07

12.63 9.41 -5.65 -6.69 0.06 9.35

12.85 1.77 -0.34 0.27 0.03 1.74 0.00 0.00 1.30 -0.44 27

13.93 8.67 -7.33 -7.75 0.00 8.67 0.00 0.03 1.27 -0.20 27

15.53 11.49 -8.13 -8.51

.

4.47 . . -6.41 . . -6.93 . . 0.64 . . 3.83 . . 94 . .

-20.93 4.98

-0.51 -0.79 2.65

16.07 16.67

3.61 1.64 0.00

2.85

1.15

0.00

11.87

-22.08 2.33

30.07

11.49

69

11

48

67

8

13

33

Pillar Spectrum Positive

0.02 0.00

0.07 0.24

0.15 0.20

0.30 0.50

0.30 0.32 1.64 2.40 172

0.13 0.15 1.75 2.25

0.00 0.00 1.47 0.24 167 188

0.01 0.00 1.34 0.03

0.00 0.00

. .

§ Negative

¶ Neutral

1.72 1.71 . . . 1.98 0.76 . . .

. . .

Performance 07-31-13 1st Qtr 2nd Qtr

3rd Qtr

4th Qtr

Total

120 . .

206

123

71 95

60

82

71

2009 2010 2011 2012 2013

-1.46 16.00 3.03 -8.57

9.66 3.77 30.07

16

24

28

46

79

403

973

1,584

1,374

.

7.94 7.60

9.41 1.77 8.67

7.36 -2.33 -10.50 8.44

Portfolio Analysis 06-30-13 Share change since 03-13 Total Stocks:52 Sector

Rating and Risk Time Load-Adj

6.61 -4.96 9.19 -0.13

4.92 2.22

PE Tot Ret% % Assets

Morningstar

Morningstar Risk vs Cat

Morningstar Risk-Adj Rating

. . .

Period Return % Rtn vs Cat

Denbury Resources Inc

Energy

13.5 8.02 3.98

1 Yr 3 Yr 5 Yr

18.57 11.43

Trailing

Total

+/-

+/- Russ %Rank Growth of

Apple Inc Mosaic Co

Technology 11.3 -13.89 3.79

Return% S&P 500 2.58 -3.52 4.37 -9.36 18.57 -6.43 11.43 -6.31 6.89 -1.37

1000 -3.65 -9.46 -7.66 -6.61 -1.60

Cat

$10,000

+Avg +Avg

+Avg +Avg

Basic Mat

9.3 -26.12 3.72

3 Mo 6 Mo 1 Yr

53 10,258 60 10,437 21 11,857 25 13,836

6.89

Loews Corporation Microsoft Corporation Interpublic Group of Cos General Motors Co Halliburton Company Talisman Energy Inc Silicon Graphics Interna CNA Financial Corp Target Corp

Finan Svs 27.3 12.24 3.64 Technology 12.4 20.93 2.66 Cnsmr Cyc 19.0 50.64 1.90 Cnsmr Cyc 10.2 24.42 1.85

10 Yr Incept

. . . .

6.80

3 Yr Avg 5 Yr Avg 10 Yr Avg 15 Yr Avg

Other Measures

Standard Index

Best Fit Index S&P 400 TR

18 13,954 . . . . . . . . . . Tax Analysis Tax-Adj Rtn% %Rank Cat Tax-Cost Rat %Rank Cat

Energy

23.0 30.99 1.77

S&P 500

Cnsmr Def 16.7 21.63 1.76

Alpha

-2.8 0.83

-1.5 0.69

Energy

1.02 1.66 83.97 1.64

. .

Beta

Technology

R-Squared

84

90

Finan Svs 14.6 28.20 1.64 Hlth care 29.3 21.39 1.61

3 Yr (estimated) 5 Yr (estimated) 10 Yr (estimated)

11.41

19 17

0.02 0.18

22

Standard Deviation

12.03 11.43

Express Scripts

6.70 49 . . . .

Bill Barrett Corporation

Energy

26.03 1.60

Mean

.

Unum Group

Finan Svs

9.8 53.91 1.58 17.5 10.45 1.38 14.1 6.66 1.37

Sharpe Ratio

0.96

Noble Corporation Patterson-UTI Energy, In

Energy Energy

Potential Capital Gain Exposure: 21% of assets

Morningstar’s Take by Mallory Horejs, CFA 07-12-13 Wasatch Long-Short is still a cut above the rest. This long-short equity fund has delivered a 6.8% annualized return since its August 2003 inception (through June), keeping pace with the S&P 500 Index and outperforming its category by a large margin. Even better, the fund’s risk-adjusted returns surpass both benchmarks. Portfolio managers Michael Shinnick and Ralph Shive’s historical energy and information technology bent (21% and 17%, respectively, as of March 31) have played a key role in driving these good returns; however, exposure to these more-volatile industries has also hurt the portfolio at times. In the second quarter of 2012, for example, falling oil prices left this energy-heavy fund in the category’s bottom quartile. So far, though, Shinnick has avoided major losses on individual positions through strict position limits (6% for long stocks, 3% for shorts), technical analysis, and covered-call writing. Though management’s macro views are important, its stock-picking skills are equally influential throughout the portfolio construction process. In this

Outerwall Inc MetLife Inc

Cnsmr Cyc 12.9 6.23 1.36 Finan Svs 22.9 48.39 1.31

regard, Shinnick and Shive have proven themselves both on the long and the short side. Investors, for example, have recently benefited from big gains in long technology holding Applied Materials AMAT and a solid leveraged buyout offer for Dell DELL, both of which were added to the long book in the fourth quarter of 2012 based on attractive valuations and strong business prospects. On the short side, management targets high valuations but also requires positions to have a clear thesis as to why market value will contract. The duo then relies on technical analysis to determine the best entry and exit points--luxury brand Tiffany & Co. TIF was re-added to the short book in the first quarter of 2013, for example, after management successfully shorted the company back in late 2011. On top of strong returns and a topnotch investment process, the fund’s 1.27% expense ratio makes it a very attractively priced long-short option.

National Oilwell Varco,

Energy

12.6 3.23 1.28

Current Investment Style

Sector Weightings

% of Stocks

Rel S&P 500 High

3 Year Low

Market Cap % Giant 20.8 Large 36.7 Mid 23.2 Small 13.8 Micro 5.5 Avg $mil: 15,790

Value Blnd Growth

Large Mid Small

Cyclical 34.12 1.19 BasicMat 8.82 2.88 13 6 CnsmrCyc10.74 1.25 11 8 FinanSvs 14.56 0.93 20 15 Real Est 0.00 0.00 0 0 Sensitive 54.77 1.26 CommSrvs 1.40 0.35 3 0 Energy 26.32 2.46 28 13 Industrl 8.97 0.79 12 8 Technlgy 18.08 1.03 23 17 Defensive11.10 0.40 CnsmrDef 3.66 0.30 8 3 Hlthcare 7.44 0.63 8 3 Utilities 0.00 0.00 . .

h r t y u j i o p a k s d f

Value Measures Price/Earnings Price/Book Price/Sales Price/Cash Flow Dividend Yield % Long-Term Erngs Book Value Sales Cash Flow Historical Erngs Growth Measures

Rel Category

13.39 1.37 1.08 5.57 1.35 11.48 8.84 7.61 9.31 -7.45

0.86 0.72 0.91 0.85 0.67 1.03 2.86 6.68 1.81 NMF

% Rel Category

Composition - Net

Cash 41.7 Stocks 58.5 Bonds 0.0 Other -0.2 Foreign 13.8

Address:

Wasatch Funds Trust Salt Lake City, UT 84111 800-551-1700 www.wasatchfunds.com

Minimum Purchase: Min Auto Inv Plan:

$2000 $1000

Add: $100 IRA: $2000

Add: $50

Profitability

% Rel Category

Sales Fees:

No-load, 2.00%R

Return on Equity Return on Assets Net Margin

13.28 7.03 11.13

0.87 1.24 1.09

Web Address: Inception: Advisor: Subadvisor: NTF Plans:

Management Fee:

1.10%

(% of Stock)

08-01-03

Actual Fees:

Mgt:1.10% Dist: .

Wasatch Advisors Inc.

Expense Projections: Income Distribution:

3Yr:$478 Quarterly

5Yr:$824 10Yr:$1801

None

Fidelity Retail-NTF, Schwab OneSource

Mutual Funds ß ®

© 2013Morningstar, Inc.All rights reserved. The information herein isnot represented orwarranted to be accurate, correct, complete or timely. Pastperformance isnoguarantee of future results.Access updated reports at To order reprints, call 312-696-6100. mfb.morningstar.com.

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