No Yoga Pants, No Soup, No Problem. Value Investors Need Growth Too.

Today is Friday September 4th 2026. What is typically a sleepy week before Labor Day weekend had some action.

What Worked in Value:

I have been on the road, marketing my firm's equity strategy to brokers and investment advisors in the northeast. They are impressed that the Frank Value Fund has returned nearly 90% cumulative from January 1, 2022 to August 31, 2026, compared to 81% for the Nasdaq 100 ETF, ticker QQQ, 72% for the S&P 500 ETF ticker SPY, and 50% the Russell Mid Cap Value ETF ticker IWS. My brand of value has worked in the past five years.

It has taken amazing innovation in Artificial Intelligence, one of the largest capital expenditure booms in recorded history, and absolutely unprecedented revenue growth and margin expansion in the biggest companies in the world to drive the CAPE to 40+

Meanwhile, my value portfolio owns companies trading at less than 10x earnings and with the gap between my stocks and the market significantly wider than it was five years ago, I believe my strategy can outperform even more over the next five years than the past five.

What didn't work?

Value traps like Lulu Lemon ticker LULU had a tough week, down about 20%.

Next up is On the Hunting Trail for Value

Dare I say I am again looking at some Consumer Staples companies.

CPB is expected to have revenue declines though 2028. Still, with indices, ETFs, and investors using factors, similar companies tend to move as a group, so there will be some babies discarded in the consumer staples bathwater.

Wrapping Up:

Momentum continues to claw back some of its summer losses, and value is again being ignored. With the CAPE over 40x, I believe this is a generational opportunity for active strategies.

Website: https://frankfunds.com

Brian X Account: https://x.com/bfrankvalue

Performance data quoted represents past performance and does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. You may obtain performance data current to the most recent month-end by calling the Fund at 1-888-217-5426 or visiting our website at www.frankfunds.com. Returns include reinvestment of any dividends and capital gain distributions.

Non-FDIC insured. May lose value. No bank guarantee. The Fund's investment objectives, risks, charges and expenses must be considered carefully before investing. The prospectus contains this and other important information about the Fund, and it may be obtained by calling 1-888-217-5426. Please read it carefully before you invest or send money.

This publication does not constitute an offer or solicitation of any transaction in any securities. Any recommendation contained herein may not be suitable for all investors. Information contained in this publication has been obtained from sources we believe to be reliable, but cannot be guaranteed.

The information in this portfolio manager letter represents the opinions of the individual portfolio managers and is not intended to be a forecast of future events, a guarantee of future results or investment advice. Also, please note that any discussion of the Fund's holdings, the Fund's performance, and the portfolio managers' views are as of the date of this recording and are subject to change without notice.