25201510505s25000200001500010000500001415161718192021Fund74665119241 - PDF document

1 2520151050-5s$25,00020,00015,00010,0005,
2520151050-5s$25,00020,00015,00010,0005,00001415161718192021Fund(%)7.46-6.5119.2416.73-8.8727.103.19Index(%)13.45-3.8317.3413.66-8.2726.542.80nvestmentnvestmentI As of June 30, 2021 Collective Fund fact sheet wellsfargoassetmanagement.com/collectiveWells Fargo/T. Rowe Price Institutional Equity Income Man-aged CITAsset class: EquityClassCUSIPTickerF94987Q490TRPEIFFUND OBJECTIVEThis Collective Investment Trust ("CIT", "the Fund", or "collective fund") seeks to provide substantial dividend income, as well as, long-term capital appreciation.FUND STRATEGYThe collective fund will primarily invest its net assets in the common stocks of well-established companies paying above-average dividends. The Fund typically employs a valueŽ approach in selecting investments. The Advisor seeks companies that appear to be undervalued by various measures and may be temporarily out of favor, but have good prospects for capital appreciation and dividend growth.TOP HOLDINGS (%)General Electric Company 2.86United Parcel Service, Inc. Class B 2.52Qualcomm Inc 2.46Southern Company 2.32MetLife, Inc. 2.06American International Group, Inc. 2.06Bank of America Corp 2.05TotalEnergies SE ADR 2.04JPMorgan Chase & Co. 2.03Anthem, Inc. 1.97Portfolio holdings are as-of the date specified above and are subject to change without notice. The holdings listed should not be considered recommendations to purchase or sell a particular security.DEFINITIONSClass F: The F unit class is primarily available to plans when Wells Fargo exercises full investment discretion or acts in a 3(21) or 3(38) fiduciary capacity. i i NSTITUTIONAL USE ONLYSector allocation (%)Communication servicesConsumer discretionaryConsumer staplesEnergyFinancialHealth care IndustriaInformati ls technoloon Materia gyls Real estate UtilitiesFund5.04.57.06.323.015.011.88.95.94.28.4Index8.55.77.25.120.917.312.010.23.84.54.8Allocation variance-3.5-1.2-0.21.22.1-2.3-0.2-1.32.1-0.33.6Sector allocations are as of the date specified above and subject to change without notice. Due to rounding, fund and index sums may not add up to exactly 100%. Excludes any cash or cash equivalents that may be held by the fund.Hypothetical growth of $10,000 and annual returns (Class F units 5-16-13 through 6-30-21)The chart represents the hypothetical growth of $10,000 made in the Fund and does not indicate the future performance of the Fund. Assumes reinvestment of dividends and capital gains. For illustrative purposes only. Chart does not represent an actual investment in the fund.Russell 1000® Value Index $22,842Fund $21,994ANNUALIZEDTotal returns (%)3 MonthYear to date1 year3 year5 year10 yearSince incep.Expense ratioClass F units4.2418.0247.8912.2613.05__10.190.415Russell 1000® Value Index15.2117.0543.6812.4211.87______Past performance is no guarantee of future results. Current performance may be higher or lower than that quoted. Investment return and principal value will fluctuate so that units, when redeemed, may be worth more or less than their original costs. Performance for other unit classes will differ due to different fee structures and other factors. All values are unaudited and subject to revision. The Funds total return for each period is calculated based on the change in the Funds daily net asset value which includes the aggregate of all of the investment contracts individual crediting rates plus the yield on the cash portion of the Funds portfolio, net of fund expenses, primarily including audit, custody, fund accounting and advisory expenses, charged to the Fund during the relevant period, but does not include the potential impact of taxes applicable to an in the fund. All income is reinvested in the Fund and reflected in the unit value. All investing involves risk, including the possible loss of principal. Benchmarks are provided for illustrative purposes only. Comparisons to benchmarks have limitations because benchmarks have volatility and other material characteristics that may differ from those of the fund. Because of these differences, benchmarks should not be relied upon as an accurate measure of comparison. The performance shown is compared to a broad-based securities market index. Broad-based securities indices are unmanaged and are not subject to fees and expenses typically associated with investment products.1. The Russell 1000® Value Index measures the performance of those Russell 1000 companies with lower price/book ratios and lower forecasted growth values. You cannot invest directly in an index. AsofJune30,2021CollectiveFundfactsheetwellsfargoassetmanagement.com/collectiveWellsFargo/T.RowePriceInstitutionalEquityIncomeMan-agedCITAssetclass:EquityINVESTMENT STYLEValueBlendGrowthLargeMARKET CAPITALIZATIONMediumSmall EQUITY STYLE BOXFund characteristicsFundRussell 1000® Value IndexDividend yield2.31%1.93%P/E (trailing 12 month)21.93x22.43xP/B2.23x2.69xMedian market cap. ($B)50.4213.725 year earnings growth (historic)8.51%9.82%Portfolio turnover39%…Number of holdings120842Annual portfolio turnover as of 12-31-2020.Performance and volatility measures ‚Fund (Class F)Alpha-0.45Beta1.03Sharpe ratio0.53Standard deviation20.67R-squared0.98Information ratio-0.06Fund informationFund sponsor and manager: Wells Fargo Bank, N.A.Advisor: T. Rowe Price Associates, Inc.Portfolio managers: John LinehanClass FFiscal year-endDec 31Class inception date05-16-2013Expense ratio0.415%Net asset value$21.99Class assets ($M)$153.26Fund assets ($M)$166.20Units outstanding6,968,227Definitions and Risks: Dividend Yield is a financial ratio that shows how

2 much a company pays out in dividends eac
much a company pays out in dividends each year relative to its share price. Price/Earnings (P/E) is the price of a share of a stock divided by earnings per share, usually calculated using the latest years earnings. Price/Book (P/B) is the ratio used to compare a stocks market value with its book value. It is calculated by dividing the current closing price of the stock by the latest quarters book value per share. Median Market Cap is the midpoint of market capitalization (marketprice multiplied bythe number of shares outstanding) of the stocks in a portfolio. Halfthe stocks inthe portfoliowill have higher marketcapitalizations; half will have lower. 5-year earnings growth rate of a fund is the weighted median of the annualized rate of earnings-per-share growth over the trailing five-year period for the stocks held within a fund.. Portfolio turnover is calculated by taking either the total amount of new securities purchased or the amount of securities sold (whichever is less) over a particular period, divided by the total net asset value of the fund. Alpha measures the excess return of an investment vehicle, such as a mutual fund, relative to the return of its benchmark, given its level of risk (as measured by beta). Beta measures fund volatility relative to general market movements. It is a standardized measure of systematic risk in comparison to a specified index. The benchmark beta is 1.00 by definition. Sharpe ratio measures the potential reward offered by a mutual fund relative to its risk level. The ratio uses a funds standard deviation and its excess return to determine reward per unit of risk. The higher the Sharpe ratio, the better the funds historical risk-adjusted performance. Standard deviation of return measures the average deviations of a return series from its mean and is often used as a measure of risk. R-squared is a measurement of how similar a funds historical performance has been to that of the benchmark. The measure ranges from 0.00, which means that the funds performance bears no relationship to the performance of the index, to 1.00, which means that the funds performance was perfectly synchronized with the performance of the benchmark. Information ratio measures how much the fund outperformed the benchmark per unit of additional risk taken. This value is determined by taking the annualized excess return over a benchmark and dividing it by the standard deviation of excess return. ‚Calculated based on a three-year period. Relative measures are compared with the Russell 1000® Value Index. Risks:Value stocks can perform differently from the market as a whole and from other types of stocks. Value stocks may be purchased because a given security may be out of favor. Value investing seeks to identify stocksthat have depressed valuations, based upon a number of factors which are thought to be temporary in nature, and to sell them at superior profits when their prices rise in response to resolution of the issues whichcaused the valuation of the stock to be depressed. While certain value stocks may increase in value more quickly during periods of anticipated economic upturn, they may also lose value more quickly in periods ofanticipated economic downturn. Furthermore, there is the risk that the factors which caused the depressed valuations are longer term or even permanent in nature and that there will not be any rise in valuation.Finally, there is the increased risk in such situations that such companies may not have sufficient resources to continue as ongoing businesses, which would result in the stock of such companies potentially becomingworthless.Securities of companies with larger market capitalizations may underperform securities of companies with smaller and mid-sized market capitalizations in certain economic environments. Larger, more establishedcompanies might be unable to react as quickly to new competitive challenges, such as changes in technology and consumer tastes. Some larger companies may be unable to grow at rates higher than the fastestgrowing smaller companies, especially during extended periods of economic expansion.A fund that is concentrated in certain sectors may present more risks than a portfolio that is broadly diversified over numerous sectors of the economy. This will increase the funds vulnerability to any singleeconomic, political or regulatory development affecting the sector. This may result in greater price volatility. There are no guarantees that the fund's investment objectives will be met. All investing involves risk,including the possible loss of principal.Wells Fargo & Company is not affiliated with T. Rowe Price Associates, Inc.For more complete information concerning this Fund, including risks and expenses, please obtain a copy of the most recent Disclosure Statement at wellsfargoassetmanagement.com/collective and read it carefully before investing in the Fund. A collective investment trust fund (CIT) is a pooled investment vehicle that is exempt from SEC registration as an investment company under Section 3(c)(11) of the Investment Company Act of 1940 and maintained by a bank or trust company for the collective investment of qualified retirement plans. CITs are authorized by the Office of the Comptroller of the Currency (OCC) and are also known as A2Ž funds, referring to the section in OCC rules that defines them. The Fund is not a mutual fund and not subject to the same registration requirements and restrictions as mutual funds.© 2021 Wells Fargo Bank, N.A. All rights reserved. CAR-1118-02881-CF062-F07-21