All our strategies are benefiting from strong security selection with the continued earnings strength of our holdings. Most are being rewarded from earnings surprise as well as top line revenue growth from the strengthening economy and/or increasing market share. As we enter the quarterly earnings reporting season, we are optimistic that our clients’ portfolio holdings will continue to meet or beat consensus earnings expectations.

Organizational Highlights
• Clients: Manager of Emerging Manager programs for 2 states and Chicago Teacher’s pension fund, Credit Suisse and Merrill Lynch
• Ownership: 100% employee-owned and WBEC certified
• Experience: 25 years average institutional investment experience of portfolio managers
• Continuity: 9 of 11 employees, including all 6 partners, previously worked together for several years at their prior firm
• Focus: US Small Cap, Growth Equity and Convertibles have significant overlap in coverage since many Growth Equity holdings are successful Small Cap graduates and most Convertible issuers are small to mid cap growth companies
• Capital Commitment: $100M invested alongside clients in these offered strategies

Upcoming Events
• Emerging Manager Summit (May 12 – 14) in Chicago where CIO Catherine Nicholas will be presenting on a panel on overlooked asset classes: Mid Caps and Convertibles
• 3rd Anniversary of US Small Cap and US Mid Cap on July 1st

We are committed to staying a small, focused investment firm with well-defined capacity limits in each strategy in order to preserve our ability to add value for our clients. You are invited to learn more about our firm and product offerings by visiting www.nicpartners.com, or contacting us directly to request information and/or arrange a meeting. We welcome the opportunity to share perspectives on US small and mid-cap equities and convertibles and learn how we can add value to your investment program.

Please consider this an open invitation to visit us here in northern San Diego.

DISCLOSURE
Nicholas Investment Partners (NIC) claims compliance with Global Investment Performance Standards (GIPS). The CFA Institute has not been involved with or reviewed NIC’s claim of compliance. To receive a complete list and description of NIC’s composites and/or a presentation that adheres to GIPS standards, please contact Tammy Wiseman at twiseman@nicpartners.com or call (858) 381-8183. Under no circumstances does the information contained within represent a recommendation to buy or sell securities. Small to mid-cap stocks may be subject to a higher degree of risk than more established companies’ securities. The lower liquidity of the small to mid-cap market may adversely affect the value of these investments. Gross returns do not reflect the following standard fees: 1.00% for US Small Cap; 0.85% for US Growth Equity and 0.75% for Convertibles. Gross returns are net of trading expenses, but exclude custodial and administrative fees, as well as taxes that may be paid outside the account. Returns are calculated in USD. No derivatives or leverage is employed in the management of these products. Unless otherwise noted, index returns reflect the reinvestment of all income dividends and capital gains, if any. Index return calculations do not reflect fees, brokerage commissions or other expenses of investing. Investors may not make direct investments into any index. Nicholas Investment Partners does not replicate the Index. Securities, sectors and representative buys and sells herein illustrate companies and sectors in which the portfolios may invest. Unless otherwise noted, Nicholas Investment Partners is the source of all performance data, characteristics, charts and illustrations. Past performance is not an indication of future performance. See additional disclosure at www.nicpartners.com.