| BROWN CAPITAL MANAGEMENT SMALL COMPANY FUND | ||||
Schedule of Investments | June 30, 2023 (unaudited) | ||||
|
|
| Shares |
| Fair Value |
96.66% | COMMON STOCKS |
|
|
| |
25.98% | BUSINESS SERVICES |
|
|
| |
| ANSYS, Inc.(a) . . . . . . . . . . . . | 564,640 | $ 186,483,653 | ||
| Clearwater Analytics Holdings, Inc.(a) . . | 1,099,014 | 17,441,352 | ||
| Enfusion, Inc.(a)(b) . . . . . . . . . . . | 5,517,481 | 61,906,137 | ||
| Guidewire Software, Inc.(a) . . . . . . | 1,718,239 | 130,723,623 | ||
| nCino, Inc.(a) . . . . . . . . . . . . | 2,433,491 | 73,296,749 | ||
| Paycom Software, Inc. . . . . . . . . | 569,880 | 183,068,251 | ||
| PROS Holdings, Inc.(a)(b) . . . . . . . . | 2,008,318 | 61,856,194 | ||
| Q2 Holdings, Inc.(a) . . . . . . . . . | 1,663,214 | 51,393,313 | ||
| Tyler Technologies, Inc.(a) . . . . . . . | 452,129 |
| 188,298,165 | |
|
|
|
| 954,467,437 | |
5.66% | CONSUMER RELATED |
|
|
| |
| Alarm.com Holding, Inc.(a)(b) . . . . . . | 2,813,038 | 145,377,804 | ||
| Olo, Inc. - Class A(a)(b) . . . . . . . . . | 9,676,684 |
| 62,511,379 | |
|
|
|
| 207,889,183 | |
12.68% | INDUSTRIAL PRODUCTS & SERVICES |
|
|
| |
| Balchem Corp. . . . . . . . . . . . | 79,942 | 10,776,981 | ||
| Cognex Corp. . . . . . . . . . . . | 3,005,819 | 168,385,980 | ||
| Energy Recovery, Inc.(a) . . . . . . . | 1,070,516 | 29,920,922 | ||
| Helios Technologies, Inc.(b) . . . . . . | 1,743,933 | 115,256,532 | ||
| Proto Labs, Inc.(a) . . . . . . . . . . | 195,190 | 6,823,842 | ||
| Vicor Corp.(a) . . . . . . . . . . . . | 1,127,425 | 60,880,950 | ||
| Xometry, Inc.(a)(b) . . . . . . . . . . . | 3,483,559 |
| 73,781,780 | |
|
|
|
| 465,826,987 | |
21.85% | INFORMATION/KNOWLEDGE MANAGEMENT |
|
|
| |
| Alteryx, Inc. - Class A(a) . . . . . . . . | 412,951 | 18,747,975 | ||
| AppFolio, Inc. - Class A(a)(b) . . . . . . | 1,160,213 | 199,719,066 | ||
| Datadog, Inc. - Class A(a) . . . . . . . | 1,952,202 | 192,057,633 | ||
| Manhattan Associates, Inc.(a) . . . . . | 975,021 | 194,887,197 | ||
| Smartsheet, Inc. - Class A(a) . . . . . . | 3,714,022 | 142,098,482 | ||
| Workiva Inc.(a) . . . . . . . . . . . . | 543,092 |
| 55,210,733 | |
|
|
|
|
| 802,721,086 |
See Notes to Schedule of Investments
1
QUARTERLY REPORT
| BROWN CAPITAL MANAGEMENT SMALL COMPANY FUND | ||||
Schedule of Investments - continued |
| June 30, 2023 (unaudited) | |||
|
|
| Shares |
| Fair Value |
27.11% | MEDICAL/HEALTHCARE |
|
|
|
|
| 10X Genomics, Inc.(a) . . . . . . . . . | 1,653,265 | $ | 92,318,318 | |
| Bio-Techne Corp. . . . . . . . . . . | 1,843,654 |
| 150,497,476 | |
| Cytek Biosciences, Inc.(a) . . . . . . . | 5,426,165 |
| 46,339,449 | |
| Glaukos Corp.(a) . . . . . . . . . . . | 1,457,910 |
| 103,817,771 | |
| Inari Medical, Inc.(a) . . . . . . . . . | 273,963 |
| 15,928,209 | |
| Inogen, Inc.(a) . . . . . . . . . . . . | 769,900 |
| 8,892,345 | |
| Ironwood Pharmaceuticals, Inc.(a) . . . | 1,772,312 |
| 18,857,400 | |
| OrthoPediatrics Corp.(a)(b) . . . . . . . | 1,955,640 |
| 85,754,814 | |
| QuidelOrtho Corp.(a) . . . . . . . . . | 156,718 |
| 12,985,653 | |
| Repligen Corp.(a) . . . . . . . . . . | 795,717 |
| 112,562,127 | |
| Shockwave Medical, Inc.(a) . . . . . . | 12,472 |
| 3,559,633 | |
| Tandem Diabetes Care, Inc.(a) . . . . . | 852,000 |
| 20,908,080 | |
| Veeva Systems, Inc. - Class A(a) . . . . | 902,129 |
| 178,377,967 | |
| Vericel Corp.(a)(b) . . . . . . . . . . . | 3,869,381 |
| 145,372,644 | |
|
|
|
|
| 996,171,886 |
3.38% | MISCELLANEOUS |
|
|
|
|
| Cryoport, Inc.(a)(b) . . . . . . . . . . . | 4,458,764 |
| 76,913,679 | |
| Neogen Corp.(a) . . . . . . . . . . . | 2,175,915 |
| 47,326,151 | |
|
|
|
|
| 124,239,830 |
96.66% | TOTAL COMMON STOCKS . . . . . . | . . . . . . . |
| 3,551,316,409 | |
3.28% | SHORT-TERM INVESTMENTS |
|
|
|
|
| First American Treasury Obligation |
|
|
|
|
| Fund - Institutional Class 4.97%(c) . . | 120,623,533 |
| 120,623,533 | |
99.94% | TOTAL VALUE OF INVESTMENTS . . . | . . . . . . . |
| 3,671,939,942 | |
0.06% | Other assets, net of liabilities . . . . . | . . . . . . . . |
| 2,138,835 | |
100.00% | NET ASSETS . . . . . . . . . . . . | . . . . . . . . | $ | 3,674,078,777 | |
(a)Non-income producing
(b)Affiliated company - The Fund owns greater than 5% of the outstanding voting securities of this issuer. See Note 1 for more information.
(c)Effective 7 day yield as of June 30, 2023
See Notes to Schedule of Investments
2
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT SMALL COMPANY FUND
Schedule of Investments - continued | June 30, 2023 (unaudited) | ||
Summary of Investments by Sector |
|
| |
| % of |
|
|
Sector | Net Assets |
| Value |
Medical/Health Care . . . . . . . . . . . . . | 27.11% | $ | 996,171,886 |
Business Services . . . . . . . . . . . . . . | 25.98% |
| 954,467,437 |
Information/Knowledge Management . . . . . | 21.85% |
| 802,721,086 |
Industrial Products & Systems . . . . . . . . | 12.68% |
| 465,826,987 |
Consumer Related . . . . . . . . . . . . . | 5.66% |
| 207,889,183 |
Miscellaneous . . . . . . . . . . . . . . . | 3.38% |
| 124,239,830 |
Short-Term Investments . . . . . . . . . . . | 3.28% |
| 120,623,533 |
Other assets, net of liabilities . . . . . . . . . | 0.06% |
| 2,138,835 |
Total . . . . . . . . . . . . . . . . . . . . | 100.00% | $ | 3,674,078,777 |
|
|
|
|
The Fund’s classifications of issuers into sectors, industries and sub-industries may differ for financial reporting pursposes than for other reporting and compliance purposes. The classification for purposes of this financial report are unaudited.
See Notes to Schedule of Investments
3
QUARTERLY REPORT
| BROWN CAPITAL MANAGEMENT MID COMPANY FUND | |||
Schedule of Investments | June 30, 2023 (unaudited) |
| ||
|
| Shares | Fair Value | |
99.34% | COMMON STOCKS |
|
|
|
19.18% | BUSINESS SERVICES |
|
|
|
| Bright Horizons Family Solutions(a) . . . . | 21,232 | $ 1,962,898 | |
| Envestnet, Inc.(a) . . . . . . . . . . . . | 11,353 | 673,801 | |
| Equifax, Inc. . . . . . . . . . . . . . | 9,699 | 2,282,175 | |
| Five9, Inc.(a) . . . . . . . . . . . . . . | 21,450 | 1,768,552 | |
| Jack Henry & Associates, Inc. . . . . . . | 9,674 | 1,618,750 | |
| Paycom Software, Inc. . . . . . . . . . | 8,249 | 2,649,909 | |
| Tyler Technologies, Inc.(a) . . . . . . . . | 7,335 | 3,054,807 | |
|
|
| 14,010,892 | |
5.30% | CONSUMER RELATED |
|
|
|
| Chipotle Mexican Grill, Inc.(a) . . . . . . | 830 | 1,775,370 | |
| Expedida, Inc.(a) . . . . . . . . . . . . | 2,351 | 257,176 | |
| O’Reilly Automotive, Inc.(a) . . . . . . . | 441 | 421,287 | |
| Tractor Suppy Co. . . . . . . . . . . . | 1,537 | 339,831 | |
| Ulta Beauty, Inc.(a) . . . . . . . . . . . | 2,289 | 1,077,192 | |
|
|
| 3,870,856 | |
9.63% | FINANCIAL SERVICES |
|
|
|
| Broadridge Financial Solutions . . . . . | 13,285 | 2,200,395 | |
| FleetCor Technologies, Inc.(a) . . . . . . | 12,036 | 3,021,999 | |
| MarketAxess Holdings, Inc. . . . . . . . | 4,950 | 1,294,029 | |
| T. Rowe Price Group, Inc. . . . . . . . . | 4,637 | 519,437 | |
|
|
| 7,035,860 | |
12.83% | INDUSTRIAL PRODUCTS & SYSTEMS |
|
|
|
| Cognex Corp. . . . . . . . . . . . . | 35,399 | 1,983,052 | |
| Entegris, Inc. . . . . . . . . . . . . . | 16,892 | 1,871,971 | |
| Fastenal Co. . . . . . . . . . . . . . | 9,526 | 561,939 | |
| RBC Bearings, Inc. . . . . . . . . . . | 6,705 | 1,458,136 | |
| Simpson Manufacturing Co., Inc. . . . . | 14,263 | 1,975,425 | |
| SiteOne Landscape Supply, Inc.(a) . . . . | 9,071 | 1,518,123 | |
|
|
| 9,368,646 | |
See Notes to Schedule of Investments
4
QUARTERLY REPORT
| BROWN CAPITAL MANAGEMENT MID COMPANY FUND | |||||
Schedule of Investments - continued | June 30, 2023 (unaudited) | |||||
|
|
| Shares |
|
| Fair Value |
25.93% | INFORMATION/KNOWLEDGE MANAGEMENT |
|
|
|
| |
| Ansys, Inc.(a) . . . . . . . . . . . . . | 6,003 | $ | 1,982,611 | ||
| Autodesk, Inc.(a) . . . . . . . . . . . . | 12,183 |
|
| 2,492,764 | |
| Bentley Sysems, Inc. . . . . . . . . . . | 54,123 |
|
| 2,935,090 | |
| Guidewire Software, Inc.(a) . . . . . . . | 10,479 |
|
| 797,242 | |
| HubSpot, Inc.(a) . . . . . . . . . . . . | 5,873 |
|
| 3,124,965 | |
| Manhattan Associates, Inc.(a) . . . . . . | 18,740 |
|
| 3,745,751 | |
| Shopify, Inc.(a) . . . . . . . . . . . . . | 59,829 |
|
| 3,864,953 | |
|
|
|
|
|
| 18,943,376 |
26.47% | MEDICAL/HEALTH CARE |
|
|
|
| |
| Align Technology, Inc.(a) . . . . . . . . | 9,769 |
|
| 3,454,709 | |
| Charles River Laboratories International(a) | 14,326 |
|
| 3,012,041 | |
| DexCom, Inc.(a) . . . . . . . . . . . . | 22,107 |
|
| 2,840,971 | |
| Edwards Lifesciences Corp.(a) . . . . . . | 16,760 |
|
| 1,580,971 | |
| Insulet Corp.(a) . . . . . . . . . . . . | 8,483 |
|
| 2,445,988 | |
| Jazz Pharmaceuticals PLC(a) . . . . . . | 1,070 |
|
| 132,648 | |
| Masimo Corp.(a) . . . . . . . . . . . . | 3,275 |
|
| 538,901 | |
| Omnicell, Inc.(a) . . . . . . . . . . . . | 35,092 |
|
| 2,585,228 | |
| Teladoc Health, Inc.(a) . . . . . . . . . | 4,421 |
|
| 111,940 | |
| Veeva Systems, Inc. - Class A(a) . . . . . | 12,220 |
|
| 2,416,261 | |
| Zoetis, Inc. . . . . . . . . . . . . . . | 1,249 |
|
| 215,090 | |
|
|
|
|
|
| 19,334,748 |
99.34% | TOTAL COMMON STOCKS . . . . . . . . | . . . . . . |
|
| 72,564,378 | |
0.62% | SHORT-TERM INVESTMENTS |
|
|
|
| |
| First American Treasury Obligation Fund |
|
|
|
| |
| Institutional Class 4.97(b) . . . . . . . | 453,013 |
|
| 453,013 | |
99.96% | TOTAL INVESTMENTS . . . . . . . . . . | . . . . . . |
|
| 73,017,391 | |
0.04% | Other assets, net of liabilities . . . . . . . . | . . . . . . |
|
| 32,094 | |
100.00% | NET ASSETS . . . . . . . . . . . . . . . | . . . . . . |
| $ | 73,049,485 | |
(a)Non-income producing
(b)Effective 7 day yield as of June 30, 2023
See Notes to Schedule of Investments
5
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT MID COMPANY FUND
Schedule of Investments - continued | June 30, 2023 (unaudited) | |
Summary of Investments by Sector |
| |
| % of |
|
Sector | Net Assets | Value |
Medical/Health Care . . . . . . . . . . . . . . | 26.47% | $ 19,334,748 |
Information/Knowledge Management . . . . . . . | 25.93% | 18,943,376 |
Business Services . . . . . . . . . . . . . . . | 19.18% | 14,010,892 |
Industrial Products & Systems . . . . . . . . . . | 12.83% | 9,368,646 |
Financial Services . . . . . . . . . . . . . . . | 9.63% | 7,035,860 |
Consumer Related . . . . . . . . . . . . . . . | 5.30% | 3,870,856 |
Short-Term Investments . . . . . . . . . . . . . | 0.62% | 453,013 |
Other assets, net of liabilities . . . . . . . . . . | 0.04% | 32,094 |
Total . . . . . . . . . . . . . . . . . . . . . | 100.00% | $ 73,049,485 |
|
|
|
The Fund’s classifications of issuers into sectors, industries and sub-industries may differ for financial reporting pursposes than for other reporting and compliance purposes. The classification for purposes of this financial report are unaudited.
See Notes to Schedule of Investments
6
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT INTERNATIONAL ALL COMPANY FUND
Schedule of Investments | June 30, 2023 (unaudited) | ||
|
| Shares | Fair Value |
97.34% | COMMON STOCKS |
|
|
2.75% | ARGENTINA |
|
|
| Mercadolibre Inc.(a) . . . . . . . . . . . | 1,628 | $ 1,928,529 |
7.80% | AUSTRALIA |
|
|
| Atlassian Corp. PLC(a) . . . . . . . . . . | 7,647 | 1,283,243 |
| Cochlear Ltd. . . . . . . . . . . . . . | 16,646 | 2,540,102 |
| REA Group Ltd. . . . . . . . . . . . . | 17,380 | 1,655,960 |
|
|
| 5,479,305 |
5.71% | CANADA |
|
|
| The Descartes Systems Group Inc.(a) . . . | 32,385 | 2,594,222 |
| Shopify Inc.(a) . . . . . . . . . . . . . | 21,912 | 1,415,515 |
|
|
| 4,009,737 |
10.57% | DENMARK |
|
|
| Chr Hansen Holding A/S . . . . . . . . | 28,991 | 2,012,184 |
| Novo Nordisk A/S . . . . . . . . . . . | 19,890 | 3,204,670 |
| SimCorp A/S . . . . . . . . . . . . . . . . . . . . . . . . . . . | 20,834 | 2,207,515 |
|
|
| 7,424,369 |
4.14% | FRANCE |
|
|
| Dassault Systemes SE . . . . . . . . . | 45,718 | 2,026,684 |
| Ipsen SA . . . . . . . . . . . . . . . | 7,303 | 878,190 |
|
|
| 2,904,874 |
7.03% | GERMANY |
|
|
| Carl Zeiss Meditec AG . . . . . . . . . | 19,458 | 2,102,879 |
| Rational AG . . . . . . . . . . . . . . . . . . . . . . . . . . . . | 1,875 | 1,356,501 |
| SAP SE . . . . . . . . . . . . . . . . | 10,836 | 1,479,690 |
|
|
| 4,939,070 |
See Notes to Schedule of Investments
7
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT INTERNATIONAL ALL COMPANY FUND
Schedule of Investments - continued | June 30, 2023 (unaudited) |
| |||
|
| Shares |
| Fair Value | |
2.11% | HONG KONG |
|
|
|
|
| Kingdee International Software |
|
|
|
|
| Group Co. Ltd.(a) . . . . . . . . . . . | 610,146 | $ 816,020 |
| |
| Kingsoft Corp. Ltd. . . . . . . . . . . . . . . . . . . . . . . | 169,643 |
| 667,877 |
|
|
|
| 1,483,897 |
| |
7.40% | IRELAND |
|
|
|
|
| Flutter Entertainment PLC(a) . . . . . . . | 10,442 | 2,099,407 |
| |
| Icon PLC(a) . . . . . . . . . . . . . . . | 12,388 |
| 3,099,478 |
|
|
|
| 5,198,885 |
| |
4.33% | ISRAEL |
|
|
|
|
| Check Point Software Technologies Ltd.(a) . | 7,883 | 990,262 |
| |
| CyberArk Software Ltd.(a) . . . . . . . . | 10,878 | 1,700,558 |
| |
| Mobileye Global Inc. - A . . . . . . . . . | 9,112 |
| 350,083 |
|
|
|
| 3,040,903 |
| |
1.61% | ITALY |
|
|
|
|
| Azimut Holding SPA . . . . . . . . . . | 52,381 | 1,129,162 |
| |
7.58% | JAPAN |
|
|
|
|
| CyberAgent Inc. . . . . . . . . . . . . | 115,200 | 836,686 |
| |
| GMO Payment Gateway, Inc. . . . . . . | 16,300 | 1,265,186 | ||
| Kakaku.com, Inc. . . . . . . . . . . . . | 72,400 | 1,035,110 | ||
| M3, Inc. . . . . . . . . . . . . . . . . | 33,900 | 730,414 | ||
| MonotaRO Co. Ltd. . . . . . . . . . . . | 115,400 |
| 1,457,945 |
|
|
|
| 5,325,341 |
| |
4.39% | NETHERLAND |
|
|
|
|
| ASML Holding NV . . . . . . . . . . . | 2,304 | 1,666,869 |
| |
| Wolters Kluwer NV . . . . . . . . . . . | 11,073 |
| 1,405,240 |
|
|
|
| 3,072,109 |
| |
2.51% | NEW ZEALAND |
|
|
|
|
| Xero Ltd.(a) . . . . . . . . . . . . . . . | 22,218 |
| 1,760,230 |
|
See Notes to Schedule of Investments
8
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT INTERNATIONAL ALL COMPANY FUND
Schedule of Investments - continued |
| June 30, 2023 (unaudited) |
| |||
|
|
| Shares |
| Fair Value | |
1.21% | NORWAY |
|
|
|
|
|
| Autostore Holdings LTD(a) . . . . . . . . | 389,782 | $ | 851,568 |
| |
2.30% | POLAND |
|
|
|
|
|
| Inpost S.A.(a) . . . . . . . . . . . . . . | 148,824 |
| 1,613,578 |
| |
1.80% | SPAIN |
|
|
|
|
|
| Grifols SA(a) . . . . . . . . . . . . . . | 98,814 |
| 1,265,879 |
| |
12.50% | SWITZERLAND |
|
|
|
|
|
| Chocoladefabriken Lindt & Sprungli AG . . | 110 |
| 1,381,375 |
| |
| Givaudan SA . . . . . . . . . . . . . | 694 |
| 2,298,989 |
| |
| Partners Group Holding AG . . . . . . . | 1,541 |
| 1,448,976 |
| |
| Tecan Group AG . . . . . . . . . . . . | 4,267 |
| 1,636,148 |
| |
| Temenos Group AG . . . . . . . . . . | 25,302 |
| 2,011,043 |
| |
|
|
|
|
| 8,776,531 |
|
11.60% | UNITED KINGDOM |
|
|
|
|
|
| Abcam PLC(a) . . . . . . . . . . . . . | 100,451 |
| 2,458,036 |
| |
| AJ Bell PLC . . . . . . . . . . . . . . | 362,094 |
| 1,476,152 |
| |
| Dechra Pharmaceuticals PLC . . . . . . | 16,569 |
| 775,633 |
| |
| Diageo PLC . . . . . . . . . . . . . . | 29,572 |
| 1,269,035 |
| |
| Ocado Group PLC(a) . . . . . . . . . . | 106,111 |
| 765,444 |
| |
| RELX PLC . . . . . . . . . . . . . . . | 42,059 |
| 1,400,008 |
| |
|
|
|
|
| 8,144,308 |
|
97.34% | TOTAL COMMON STOCKS . . . . . . . . | . . . . . . |
| 68,348,275 |
| |
3.03% | SHORT-TERM INVESTMENTS |
|
|
|
|
|
| First American Treasury Obligation Fund - |
|
|
|
|
|
| Institutional Class 4.97% (b) . . . . . . | 2,130,763 |
| 2,130,763 |
| |
100.37% | TOTAL INVESTMENTS . . . . . . . . . . | . . . . . . |
| 70,479,038 |
| |
(0.37%) | Liabilities in excess of other assets . . . . . | . . . . . . |
| (263,952) | ||
100.00% | NET ASSETS . . . . . . . . . . . . . . | . . . . . . . | $ | 70,215,086 |
| |
(a)Non-income producing
(b)Effective 7 day yield as of June 30, 2023
See Notes to Schedule of Investments
9
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT INTERNATIONAL ALL COMPANY FUND
Schedule of Investments - continued | June 30, 2023 (unaudited) |
| |
Summary of Investments by Sector |
|
| |
| % of |
|
|
Sector | Net Assets | Value | |
Information Technology . . . . . . . . . . . . . | 31.17% | $ 21,884,915 |
|
Health Care . . . . . . . . . . . . . . . . . . | 26.62% | 18,691,428 |
|
Industrials . . . . . . . . . . . . . . . . . . . | 11.51% | 8,084,841 |
|
Consumer Discretionary . . . . . . . . . . . . | 7.32% | 5,143,463 |
|
Materials . . . . . . . . . . . . . . . . . . . | 6.14% | 4,311,173 |
|
Financials . . . . . . . . . . . . . . . . . . . | 5.77% | 4,054,289 |
|
Communication Services . . . . . . . . . . . . | 5.02% | 3,527,756 |
|
Consumer Staples . . . . . . . . . . . . . . . | 3.77% | 2,650,410 |
|
Short-Term Investments . . . . . . . . . . . . . | 3.03% | 2,130,763 |
|
Liabilities in excess of other assets . . . . . . . . | (0.37%) | (263,952) | |
Total . . . . . . . . . . . . . . . . . . . . . | 100.00% | $ 70,215,086 |
|
|
|
|
|
The Fund’s classifications of issuers into sectors, industries and sub-industries may differ for financial reporting purposes than for other reporting and compliance purposes. The classification for purposes of this financial report are unaudited.
See Notes to Schedule of Investments
10
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT INTERNATIONAL SMALL COMPANY FUND
Schedule of Investments | June 30, 2023 (unaudited) | ||
|
| Shares | Fair Value |
97.73% | COMMON STOCKS |
|
|
10.61% | AUSTRALIA |
|
|
| Pro Medicus Ltd. . . . . . . . . . . | 627,027 | $ 27,417,499 |
| REA Group Ltd. . . . . . . . . . . . | 1,248,294 | 118,937,016 |
| WiseTech Global Ltd. . . . . . . . . | 2,265,288 | 120,435,287 |
|
|
| 266,789,802 |
9.94% | CANADA |
|
|
| The Descartes Systems Group Inc.(a) . . | 1,531,075 | 122,647,804 |
| Kinaxis, Inc.(a) . . . . . . . . . . . . | 890,394 | 127,232,749 |
|
|
| 249,880,553 |
5.27% | DENMARK |
|
|
| Ambu A/S(a) . . . . . . . . . . . . . | 5,395,985 | 88,292,185 |
| SimCorp A/S . . . . . . . . . . . . . . . . . . . . . . . . | 415,838 | 44,061,094 |
|
|
| 132,353,279 |
11.91% | FRANCE |
|
|
| Esker Sa . . . . . . . . . . . . . . | 293,375 | 44,370,240 |
| Interparfums Sa . . . . . . . . . . . | 1,893,383 | 134,914,081 |
| Lectra(b) . . . . . . . . . . . . . . | 2,818,673 | 83,967,802 |
| SES-imagotag SA (a) . . . . . . . . . | 353,185 | 36,227,265 |
|
|
| 299,479,388 |
9.74% | GERMANY |
|
|
| Evotec SE (a) . . . . . . . . . . . . | 4,054,743 | 91,189,906 |
| Nexus AG(b) . . . . . . . . . . . . . | 1,385,636 | 85,428,552 |
| Stratec Biomedical AG(b) . . . . . . . | 984,835 | 68,133,104 |
|
|
| 244,751,562 |
1.11% | HONG KONG |
|
|
| Kingdee International Software Group |
|
|
| Co. Ltd.(a) . . . . . . . . . . . . . | 20,813,492 | 27,836,319 |
See Notes to Schedule of Investments
11
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT INTERNATIONAL SMALL COMPANY FUND
Schedule of Investments - continued | June 30, 2023 (unaudited) | ||
|
| Shares | Fair Value |
2.12% | INDIA |
|
|
| Crisil Ltd. . . . . . . . . . . . . . . | 1,120,913 | $ 53,328,466 |
0.64% | IRELAND |
|
|
| Flutter Entertainment PLC(a) . . . . . . | 80,089 | 16,102,222 |
6.35% | ISRAEL |
|
|
| CyberArk Software Ltd.(a) . . . . . . . | 627,378 | 98,078,003 |
| Global-E Onlilne Ltd.(a) . . . . . . . . | 1,504,650 | 61,600,371 |
|
|
| 159,678,374 |
2.15% | ITALY |
|
|
| Azimut Holding SPA . . . . . . . . . | 2,510,898 | 54,126,700 |
9.26% | JAPAN |
|
|
| GMO Payment Gateway, Inc. . . . . . | 436,235 | 33,860,023 |
| HIDAY HIDAKA Corp.(b) . . . . . . . . | 2,817,984 | 45,815,797 |
| Kakaku.com, Inc. . . . . . . . . . . | 2,505,387 | 35,819,768 |
| M3, Inc. . . . . . . . . . . . . . . | 352,521 | 7,595,466 |
| SMS Co. Ltd. . . . . . . . . . . . . | 2,388,180 | 47,550,096 |
| Software Service, Inc.(b) . . . . . . . | 483,825 | 36,045,038 |
| Towa Pharmaceutical Co. Ltd. . . . . . | 2,116,495 | 25,976,733 |
|
|
| 232,662,921 |
7.06% | SWEDEN |
|
|
| Fortnox AB . . . . . . . . . . . . . | 4,923,808 | 29,071,666 |
| Hemnet Group AB . . . . . . . . . | 3,938,047 | 68,936,407 |
| MIPS AB . . . . . . . . . . . . . . | 583,017 | 28,876,919 |
| Sectra AB . . . . . . . . . . . . . | 3,021,793 | 50,683,785 |
|
|
| 177,568,777 |
1.03% | SWITZERLAND |
|
|
| Partners Group Holding AG . . . . . | 27,480 | 25,838,968 |
See Notes to Schedule of Investments
12
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT INTERNATIONAL SMALL COMPANY FUND
Schedule of Investments - continued |
| June 30, 2023 (unaudited) | ||||
|
|
| Shares |
|
| Fair Value |
20.54% | UNITED KINGDOM |
|
|
|
|
|
| Abcam PLC(a) . . . . . . . . . . . . | 6,320,253 | $ | 154,656,591 | ||
| AJ Bell PLC . . . . . . . . . . . . . | 14,733,690 |
|
| 60,064,954 | |
| Dechra Pharmaceuticals PLC . . . . . | 2,450,833 |
|
| 114,729,114 | |
| PayPoint PLC . . . . . . . . . . . . | 3,620,922 |
|
| 22,188,150 | |
| Playtech PLC(a) . . . . . . . . . . . | 612,832 |
|
| 4,591,959 | |
| Rightmove PLC . . . . . . . . . . . | 6,620,257 |
|
| 43,989,312 | |
| Victrex PLC . . . . . . . . . . . . . | 2,705,492 |
|
| 47,828,865 | |
| Videndum PLC . . . . . . . . . . . | 2,022,127 |
|
| 17,771,296 | |
| YouGov PLC . . . . . . . . . . . . | 3,991,381 |
|
| 50,690,640 | |
|
|
|
|
|
| 516,510,881 |
97.73% | TOTAL COMMON STOCKS . . . . . | . . . . . . . . |
|
| 2,456,908,212 | |
2.25% | SHORT-TERM INVESTMENTS |
|
|
|
|
|
| First American Treasury Obligation |
|
|
|
|
|
| Fund - Institutional Class 4.97(c) . . . | 56,645,214 |
|
| 56,645,214 | |
99.98% | TOTAL INVESTMENTS . . . . . . . | . . . . . . . . |
|
| 2,513,553,426 | |
0.02% | Other assets, net of liabilities . . . . . | . . . . . . . . |
|
| 588,815 | |
100.00% | NET ASSETS . . . . . . . . . . . . | . . . . . . . . |
| $ | 2,514,142,241 | |
(a)Non-income producing
(b)Affiliated company - The Fund owns greater than 5% of the outstanding voting securities of this issuer. See Note 1 for more information.
(c)Effective 7 day yield as of June 30, 2023
See Notes to Schedule of Investments
13
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT INTERNATIONAL SMALL COMPANY FUND
Schedule of Investments - continued | June 30, 2023 (unaudited) | ||
Summary of Investments by Sector |
|
| |
| % of |
|
|
Sector | Net Assets |
| Value |
Information/Knowledge Management . . . . . | 30.86% | $ | 775,685,897 |
Business Services . . . . . . . . . . . . . . | 28.73% |
| 722,148,475 |
Medical/Health Care . . . . . . . . . . . . . | 17.03% |
| 428,248,519 |
Consumer Related . . . . . . . . . . . . . | 9.87% |
| 248,072,276 |
Miscellaneous . . . . . . . . . . . . . . . | 6.00% |
| 150,956,379 |
Industrial Products & Systems . . . . . . . . | 5.24% |
| 131,796,667 |
Short-Term Investments . . . . . . . . . . . | 2.25% |
| 56,645,214 |
Other assets, net of liabilities . . . . . . . . . | 0.02% |
| 588,814 |
Total . . . . . . . . . . . . . . . . . . . . | 100.00% | $ | 2,514,142,241 |
|
|
|
|
The Fund’s classifications of issuers into sectors, industries and sub-industries may differ for financial reporting purposes than for other reporting and compliance purposes. The classification for purposes of this financial report are unaudited.
See Notes to Schedule of Investments
14
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT MUTUAL FUNDS
Notes to Schedules of Investments | June 30, 2023 (unaudited) |
1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES
The Brown Capital Management Small Company Fund (“Small Company Fund”), The Brown Capital Management Mid Company Fund (“Mid Company Fund”), The Brown Capital Management International All Company (“International All Company Fund”) and The Brown Capital Management International Small Company Fund (“International Small Company Fund”) (each a “Fund” and collectively the “Funds”) are each a series portfolio of Brown Capital Management Mutual Funds (the “Trust”). The Trust is a Delaware statutory trust and is registered under the Investment Company Act of 1940, as amended, (the “1940 Act”) as an open-ended management investment company. Each of the Funds in this report is classified as a diversified, open-end, management investment company, as those terms are defined in the 1940 Act.
The primary investment objective of the Small Company Fund is to seek long- term capital appreciation. Current income is a secondary consideration in selecting portfolio investments. The Small Company Fund seeks to achieve its investment objective principally through investments in equity securities of those companies with operating revenues of $500 million or less at the time of initial investment. Prior to December 1, 2011 the Fund offered one class of shares. On that date the share class of the Fund was converted to Investor Shares. On December 15, 2011 the Fund began to offer Institutional Shares.
The primary investment objective of the Mid Company Fund is to seek long-term capital appreciation. Current income is a secondary consideration in selecting portfolio investments. The Mid Company Fund seeks to achieve its investment objective by investing in equity securities of companies with total operating revenues of $500 million to $2.5 billion at the time of initial investment. Prior to December 1, 2011 the Fund offered one class of shares. On that date the share class of the Fund was converted to Investor Shares. On December 15, 2011 the Fund began to offer Institutional Shares.
The primary investment objective of the International All Company Fund is to seek long-term capital appreciation. Current income is a secondary consideration in selecting portfolio investments. The International All Company Fund seeks to achieve its investment objective by investing in equity securities of non-U.S. based companies. Prior to December 1, 2011 the Fund offered one class of shares. On that date the share class of the Fund was converted to Investor Shares. On August 1, 2014 the Fund began to offer Institutional Shares.
The primary investment objective of the International Small Company Fund is to seek long-term capital appreciation. Current income is a secondary consideration in selecting portfolio investments. The International Small Company Fund
15
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT MUTUAL FUNDS
Notes to Schedules of Investments - continued June 30, 2023 (unaudited)
seeks to achieve its investment objective by investing in equity securities of non-U.S. based companies with total operating revenues of $500 million or less at the time of the initial investment. The Fund commenced operations on September 30, 2015 and offers Investor and Institutional Share classes.
Income, expenses (other than distribution and service fees, which were only attributable to the Investor Shares), and realized and unrealized gains or losses on investments and foreign currencies were allocated to each class of shares based upon its relative net assets.
The following accounting policies have been consistently followed by the Funds and are in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Each Fund is an investment company and accordingly follows the investment company accounting reporting guidance of the Financial Accounting Standards Board Accounting Codification Topic 946 Financial Services – Investment Companies.
Fair Value Measurement
In accordance with GAAP, the Funds use a three-tier hierarchy to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk. Inputs may be observable or unobservable. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability that are developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability that are developed based on the best information available.
Various inputs are used in determining the value of the Funds’ investments. These inputs are summarized in the three broad levels listed below:
Level 1 – Unadjusted quoted prices in active markets for identical, unrestricted assets or liabilities that a Fund has the ability to access at the measurement date;
Level 2 – Quoted prices which are not active, quoted prices for similar assets or liabilities in active markets or inputs other than quoted prices that are observable (either directly or indirectly) for substantially the full term of the asset or liability; and
Level 3 – Significant unobservable prices or inputs (including the Fund’s own assumptions in determining the fair value of investments) where there is little or no market activity for the asset or liability at the measurement date.
16
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT MUTUAL FUNDS
Notes to Schedules of Investments - continued June 30, 2023 (unaudited)
The availability of observable inputs can vary from security to security and is affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3.
An investment’s level within the fair value hierarchy is based on the lowest level input, individually or in the aggregate, that is significant to fair value measurement. The valuation techniques used by the Funds to measure fair value during the period ended June 30, 2023 maximized the use of observable inputs and minimized the use of unobservable inputs.
The inputs or methodology used for valuing securities are not necessarily an indication of the risk or liquidity associated with investing in those securities. The following is a summary of the inputs used in valuing the Funds’ assets as of June 30, 2023:
Small Company Fund:
|
| Valuation Inputs |
| |||
Investments in Securities at Value* | Level 1 | Level 2 | Level 3 | Total | ||
Common Stocks . . . . . . | $3,551,316,409 | $ | — | $ | — | $3,551,316,409 |
Short-Term Investments . . . | 120,623,533 |
| — |
| — | 120,623,533 |
Total . . . . . . . . . . . . | $3,671,939,942 | $ | — | $ | — | $3,671,939,942 |
|
|
|
|
|
|
|
Mid Company Fund:
|
|
| Valuation Inputs |
|
| |||
Investments in Securities at Value* |
| Level 1 | Level 2 | Level 3 |
| Total | ||
Common Stocks . . . . . . | $ | 72,564,378 | $ | — | $ | — | $ | 72,564,378 |
Short-Term Investments . . . |
| 453,013 |
| — |
| — |
| 453,013 |
Total . . . . . . . . . . . . | $ | 73,017,391 | $ | — | $ | — | $ | 73,017,391 |
|
|
|
|
|
|
|
|
|
International All Company Fund:
|
|
| Valuation Inputs |
|
| |||
Investments in Securities at Value* |
| Level 1 | Level 2 | Level 3 |
| Total | ||
Common Stocks . . . . . . | $ | 68,348,275 | $ | — | $ | — | $ | 68,348,275 |
Short-Term Investments . . . |
| 2,130,763 |
| — |
| — |
| 2,130,763 |
Total . . . . . . . . . . . . | $ | 70,479,038 | $ | — | $ | — | $ | 70,479,038 |
|
|
|
|
|
|
|
|
|
|
| 17 |
|
|
|
|
|
|
QUARTERLY REPORT
BROWN CAPITAL MANAGEMENT MUTUAL FUNDS
Notes to Schedules of Investments - continued | June 30, 2023 (unaudited) | |||||
International Small Company Fund: |
|
|
|
|
| |
|
| Valuation Inputs |
| |||
Investments in Securities at Value* | Level 1 | Level 2 | Level 3 | Total | ||
Common Stocks . . . . . . | $2,456,908,213 | $ | — | $ | — | $2,456,908,213 |
Short-Term Investments . . . | 56,645,214 |
| — |
| — | 56,645,214 |
Total . . . . . . . . . . . . | $2,513,553,427 | $ | — | $ | — | $2,513,553,427 |
|
|
|
|
|
|
|
* See Schedule of Investments for sector/country classifications.
For the period ended June 30, 2023 the Funds did not have investments with significant unobservable inputs (Level 3) used in determining fair value.
Foreign Currency Translation (International All Company Fund and International Small Company Fund)
Portfolio securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollars based on the exchange rate of such currencies against U.S. dollars on the date of valuation. Purchases and sales of securities and income items denominated in foreign currencies are translated into U.S. dollars at the exchange rate in effect on the transaction date.
The Funds do not separately report the effect of changes in foreign exchange rates from changes in market prices on securities held. Such changes are included in net realized and unrealized gain or loss from investments.
Realized foreign exchange gains or losses arise from sales of foreign currencies, currency gains or losses realized between the trade and settlement dates on securities transactions and the difference between the recorded amounts of dividends, interest, and foreign withholding taxes, and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in foreign exchange rates on foreign denominated assets and liabilities other than investments in securities held at the end of the reporting period.
Affiliated Companies
Where a Fund owns 5% or more of the outstanding voting securities, either directly or indirectly, of a particular issuer, the 1940 Act deems such an issuer to be an “affiliate” of the Fund. As of and during the three months ended June 30, 2023 the Small Company Fund and International Small Company Fund owned 5% or more of the outstanding voting securities of the issuers identified in the table below and therefore those issuers are affiliates of that Fund for purposes of the 1940 Act.
18
QUARTERLY REPORT
|
|
|
| BROWN CAPITAL MANAGEMENT MUTUAL FUNDS |
|
|
|
|
|
|
|
| |||||
Notes to Schedules of Investments - continued |
|
|
|
|
|
|
| June 30, 2023 (unaudited) |
| ||||||||
Small Company Fund |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common Stock |
| Market Value |
|
|
|
|
| Market Value | Share Balance |
|
|
| Change in |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Realized | ||||||
Security Name |
| as of |
| Purchases |
| Sales |
| as of | as of |
| Dividends |
| Unrealized |
| |||
| March 31, 2023 |
|
|
| June 30, 2023 | June 30, 2023 |
|
| Gain (Loss) |
| Gain/Loss | ||||||
Alarm.com Holding, Inc. . . | $ | 149,999,218 | $ | — | $ | (8,523,389) | $ | 145,377,804 | 2,813,038 | $ | — | $ | 11,448,892 | $ | (7,546,917) |
| |
AppFolio, Inc. - Class A . . |
| 193,229,930 |
| — |
| (59,886,999) |
| 199,719,066 | 1,160,213 |
| — |
| 58,121,477 |
| 8,254,658 |
| |
Cryoport, Inc. . . . . . . |
| 107,010,336 |
| — |
| — |
| 76,913,679 | 4,458,764 |
| — |
| (30,096,657) |
| — | ||
Enfusion, Inc. . . . . . . |
| 51,496,494 |
| 6,159,850 |
| — |
| 61,906,137 | 5,517,481 |
| — |
| 4,249,793 |
| — | ||
Helios Technologies, Inc . |
| 114,053,218 |
| — |
| — |
| 115,256,532 | 1,743,933 |
| 156,954 |
| 1,203,314 |
| — | ||
Olo, Inc - Class A . . . . . |
| 72,474,843 |
| 6,339,422 |
| — |
| 62,511,379 | 9,676,684 |
| — |
| (16,302,886) |
| — | ||
OrthoPediatrics Corp. . . . |
| 82,129,117 |
| 4,773,964 |
| — |
| 85,754,814 | 1,955,640 |
| — |
| (1,148,267) |
| — | ||
Vericel Corp. . . . . . . |
| 113,450,251 |
| — |
| — |
| 145,372,644 | 3,869,381 |
| — |
| 31,922,393 |
| — | ||
Xometry, Inc. . . . . . . |
| 47,537,370 |
| 4,607,948 |
| — |
| 73,781,779 | 3,483,559 |
|
|
| 21,636,461 |
| — | ||
Investments no longer affiliated as of June 30, 2023 |
|
|
|
| $ 966,593,834 | 34,678,693 | $ | 156,954 | $ | 81,034,520 | $ | 707,741 |
|
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
PROS Holdings, Inc. . . . | $ | 74,215,092 | $ | — | $ (19,262,421) | $ | 61,856,194 | 2,008,318 | $ | — | $ | 14,190,536 | $ | (7,287,013) | |||
|
|
|
|
|
|
| $ | 61,856,194 | 2,008,318 | $ | — | $ | 14,190,536 | $ | (7,287,013) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GRAND TOTAL . . . . . . . . . . . . . . . . . . . . . . . . | . . . . . . . | $ | 1,028,450,028 | 36,687,011 | $ | 156,954 | $ | 95,225,056 | $ | (6,579,272) | |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
International Small Company Fund |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Common Stock |
| Market Value |
|
|
|
|
| Market Value | Share Balance |
|
|
| Change in |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Realized | ||||||
Security Name |
| as of |
| Purchases |
| Sales |
| as of | as of |
| Dividends |
| Unrealized |
| |||
| March 31, 2023 |
|
|
| June 30, 2023 | June 30, 2023 |
|
| Gain (Loss) |
| Gain/(Loss) | ||||||
HIDAY HIDAKA Corp. . . . | $ | 43,722,929 | $ | 1,898,159 | $ | — | $ | 45,815,797 | 2,817,984 | $ | 196,039 | $ | 194,709 | $ | — |
| |
Lectra . . . . . . . . . |
| 105,620,545 |
| 4,101,278 |
| — |
| 83,967,802 | 2,818,673 |
| 1,062,326 |
| (25,754,021) |
| — | ||
Nexus AG . . . . . . . . |
| 82,349,528 |
| — |
| — |
| 85,428,552 | 1,385,636 |
| 231,612 |
| 3,079,024 |
| — | ||
Software Service, Inc. . . . |
| 32,467,563 |
| — |
| — |
| 36,045,038 | 483,825 |
| — |
| 3,577,475 |
| — | ||
Stratec Biomedical AG . . |
| 63,553,175 |
| 3,082,385 |
| — |
| 68,133,104 | 984,835 |
| 722,764 |
| 1,497,544 |
| — | ||
|
|
|
|
|
|
| $ | 319,390,293 | 8,490,953 | $ | 2,212,741 | $ | (17,405,269) | $ | — |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GRANDTOTAL . . . . . . . . . . . . . . . . . . . . . . . . | . . . . . . . . | $ | 319,390,293 | 8,490,953 | $ | 2,212,741 | $ | (17,405,269) | $ | — |
| ||||||
|
|
|
|
|
|
|
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19
QUARTERLY REPORT