Waddell & Reed

Fund Detail

Ivy Micro Cap Growth Fund
Class A Shares

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Fund Facts
Ticker Symbol IGWAX
CUSIP 465899680
Fund Code 698
Fund Type Domestic Equity
Fund Inception 2/17/2009
Class Inception 2/17/2009
Fiscal Year End March
Dividends Paid December
Fund Assets (as of 10/31/2014) $238.3 mil
Total Equity Holdings (as of 10/31/2014) 106
Total Holdings (as of 10/31/2014) 109
Lipper Category Small-Cap Growth Funds
Morningstar Category Small Growth
Benchmarks Russell Micro Cap Growth TR USD
Russell 2000 Growth TR USD
Daily Prices
as of 11/24/2014
Net Asset Value (NAV) $24.54
NAV Change ($) $0.37
NAV Change (%) 1.53%
Weekly NAV Change ($) $0.37
Weekly NAV Change (%) 1.53%
Public Offering Price (POP) $26.04
Historical Prices & Distributions
Please select a date
Fund Description
Fund Objective
To seek to provide growth of capital.

Investment Approach
The Fund invests, under normal circumstances, at least 80% of its net assets in equity securities of micro cap companies (typically companies with float-adjusted market capitalization below $1 billion). The Fund primarily invests in common stock and may include common stocks that are offered in initial public offerings. The portfolio managers seek to invest in securities of companies they believe exhibit extraordinary earnings growth, earnings surprise potential, fundamental strength and management vision.
Morningstar Style Box
Source: Morningstar
Returns and Expenses

Data quoted is past performance and current performance may be lower or higher. Past performance is no guarantee of future results. Investment return and principal value of an investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost.

Performance at NAV does not include the effect of sales charges. Class A shares, including sales charges, reflects the maximum applicable front-end sales load.

Monthly Rates of Return Average Annual Total Returns
as of 10/31/2014
  YTD 1yr 3yr 5yr 10yr Life
Fund at NAV -5.94% 3.27% 18.44% 18.08% N/A 21.38%
Fund with 5.75% sales charge -11.35% -2.65% 16.13% 16.69% N/A 20.13%
Russell Micro Cap Growth TR USD -2.37% 6.85% 19.59% 17.46% 7.15% 21.66%
Russell 2000 Growth TR USD 1.90% 8.26% 18.42% 18.61% 9.42% 21.84%
Lipper Small-Cap Growth Funds -0.33% 5.73% 16.78% 17.77% 8.77% 21.38%
Quarterly Rates of Return Average Annual Total Returns
as of 9/30/2014
  YTD 1yr 3yr 5yr 10yr Life
Fund at NAV -10.86% -0.19% 22.26% 14.63% N/A 20.58%
Fund with 5.75% sales charge -15.98% -5.92% 19.86% 13.29% N/A 19.31%
Russell Micro Cap Growth TR USD -7.63% 1.41% 22.57% 13.85% 6.71% 20.83%
Russell 2000 Growth TR USD -4.05% 3.79% 21.91% 15.51% 9.03% 20.90%
Lipper Small-Cap Growth Funds -5.36% 2.39% 20.29% 15.18% 8.53% 20.66%
Expense Ratios
as of 7/31/2014
Net 1.64%
Gross 1.64%
Growth of a $10,000 Investment
through 10/31/2014

Assumes an investment over 10 years or life of the share class, reinvestment of dividends and capital gains, and does not include the effect of sales charges or taxes.

Ratings and Rankings
Lipper Rankings
as of 10/31/2014
Category: Small-Cap Growth Funds
  Rank Percentile
1 Year 410 / 521 79
3 Year 130 / 461 29
5 Year 196 / 409 48

Rankings are based on average annual total returns, but do not consider sales charges.

Morningstar Ratings
as of 10/31/2014
Category: Small Growth
Overall (out of 649 Small Growth)
3 Year (out of 649 Small Growth)
5 Year (out of 574 Small Growth)

Ratings are based on risk-adjusted returns.

Portfolio Composition
(as a % of net assets as of 10/31/2014)
Domestic Common Stock 92.10%
Cash and Cash Equivalents 4.87%
Foreign Common Stock 3.03%
Sector Allocation
(as a % of equity holdings as of 10/31/2014)
Health Care 33.2%
Consumer Discretionary 18.0%
Information Technology 17.8%
Industrials 13.0%
Financials 6.6%
Consumer Staples 4.6%
Energy 4.2%
Telecommunication Services 2.7%
Top 10 Equity Holdings
(as a % of net assets as of 10/31/2014)
Rentrak Corporation is a global, multi-screen media measurement and research company, providing content measurement insight and analytical services to recognizable companies in the entertainment and advertising industries.Rentrak Corp. 2.3%
Repligen Corporation is a United States-based life sciences company focused on the development, production and commercialization of products used in the process of manufacturing biological drugs.Repligen Corp. 2.1%
Callidus Software Inc. provides sales performance management software and services, including a range of SPM solution implementations, system upgrades, compensation plan enhancements, migration assistance, reporting and integration consulting, solution architecture services.Callidus Software, Inc. 2.1%
Quidel Corporation is engaged in the development, manufacturing and marketing of diagnostic testing solutions. These diagnostic testing solutions primarily include applications in infectious diseases, women’s health and gastrointestinal diseases.Quidel Corp. 2.0%
Enanta Pharmaceuticals, Inc., a biotechnology company, is engaged in the development of small molecule drugs for the infectious disease field.Enanta Pharmaceuticals, Inc. 1.7%
Aerie Pharmaceuticals, Inc., a clinical-stage pharmaceutical company, focuses on the discovery, development, and commercialization of first-in-class therapies for the treatment of patients with glaucoma and other diseases of the eye.Aerie Pharmaceuticals, Inc. 1.7%
ARC Document Solutions, Inc. 1.7%
The Spectranetics Corporation develops, manufactures, markets and distributes single-use medical devices used in minimally invasive procedures within the cardiovascular system. It offers excimer laser system named CVX-300.Spectranetics Corp. (The) 1.6%
RigNet, Inc. provides network infrastructure services for the remote communications needs of the oil and gas industry. It offers remote communications services through a controlled and managed Internet protocol/multiprotocol label switching global network, enabling drilling contractors, oil companies, and oilfield service companies to communicate. RigNet, Inc. 1.6%
NCI Building Systems, Inc. manufactures and markets metal products for the nonresidential construction industry in North America.NCI Building Systems, Inc. 1.5%
Total Portfolio Holdings
(updated quarterly, upon availability)

View | Download (as of 9/30/2014)
Portfolio Management
Manager Name Company Name Years in Industry Years with Fund
Ms. Waadt is responsible for the fundamental analysis of individual securities and industry trends in the technology sector. She has numerous years of experience on the brokerage side, primarily in the institutional arena. Prior to joining Wall Street Associates in 1997, she worked for four years at Hambrecht and Quist, in the institutional sales group, and four years as an analyst at Foresters Equity Services, Inc. Education: BA-Economics, University of California, San Diego; MBA-Finance, San Diego State University.Alexis Waadt Wall Street Associates (subadvisor) 29 1
Mr. LeCoq has more than 25 years of industry experience. He is an industry generalist and also has responsibility for the firm's 3c-1 Hedge Fund. Prior to joining Wall Street Associates in 1999, Mr. LeCoq worked for approximately five years at CIBC World Markets as Executive Director of Institutional Equity Sales and nine years at Ragen MacKenzie Group where he held a similar position. Education: BA-economics, Pacific Lutheran University (Magna Cum); MBA-finance, University of Chicago.Paul LeCoq Wall Street Associates (subadvisor) 27 5
Mr. Ariano has over 20 years of investment experience and has been a member of the investment management team since 2005, specializing in the coverage of health care, consumer discretionary, energy and transportation stocks. Prior to joining Wall Street Associates, he worked for two years at Wilshire Associates as an analyst in its pension consulting division. Education: BA-business administration, University of San Diego; MS-finance, San Diego State University.Paul Ariano, CFA Wall Street Associates (subadvisor) 24 5
Mr. Jacobson is responsible for the fundamental analysis of individual securities and industry trends. He has more than 10 years of investment experience specializing in growth equities. He has been a member of the investment team since 2006, specializing in business services, producer durables, financials and non-traditional areas of growth. Prior to joining Wall Street Associates, he worked for two years at Thomas Weisel Partners in product management, institutional sales and research. Education: BS-finance, University of Missouri.Luke Jacobson, CFA Wall Street Associates (subadvisor) 12 2

Risk Factors: As with any mutual fund, the value of the Fund's shares will change, and you could lose money on your investment. An investment in the Fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. These and other risks are more fully described in the fund's prospectus. Not all funds or fund classes may be offered at all broker/ dealers.

Pricing: All prices and year-to-date returns are based on closing quotes unless noted, as supplied to the NASDAQ by 6:00 p.m. Eastern time.

Index Description: Russell Micro Cap Growth measures the performance of the micro cap growth segment of the U.S. Equity market. It includes those Russell Micro Cap Index companies with higher price-to-book ratios and higher forecasted growth values. It is not possible to invest directly in an index.

Index Description: Russell 2000 Growth is an unmanaged index comprised of securities that represent the small cap sector of the stock market. It is not possible to invest directly in an index.

Performance results for some funds may include the effect of expense reduction arrangements. If those arrangements had not been in place, the performance results would have been lower.

Fee Waiver and/or Expense Reimbursement: Through July 31, 2015, to the extent that the total annual ordinary fund operating expenses of the Class Y shares exceeds the total annual ordinary fund operating expenses of the Class A shares, Ivy Funds Distributor, Inc. (IFDI), the Fund’s distributor, and/or Waddell & Reed Services Company, doing business as WI Services Company (WISC), the Fund’s transfer agent, have contractually agreed to reimburse sufficient 12b-1 and/or shareholder servicing fees to ensure that the total annual ordinary fund operating expenses of the Class Y shares do not exceed the total annual ordinary fund operating expenses of the Class A shares, as calculated at the end of each month. Prior to that date, the expense limitation may not be terminated by IFDI, WISC or the Board of Trustees.

High recent returns are attributable, in part, to unusually favorable market conditions and may not be repeated or consistently achieved in the future.

Morningstar Ratings: For each fund with at least a 3-year history, Morningstar calculates a risk-adjusted return measure that accounts for variation in a fund's monthly performance (including the effects of all sales charges), placing 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. (Each share class is counted as a fraction of one fund and rated separately.) A fund's overall rating is derived from a weighted average of the 3-, 5- and 10-year (if applicable) rating metrics. Morningstar Rating is for the share classes specified; other classes may have different performance characteristics.

Information is subject to change and is not intended to represent any past or future investment recommendations.

Please remember that an investment in a mutual fund involves risk. Investment return and principal value of a mutual fund investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost.

YTD Prices can be updated 3 to 4 hours after the Daily Pricing information which can result in mismatching data.

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