AAM/ Bahl & Gaynor I ncom e Grow th Fund Carefully consider the - - PowerPoint PPT Presentation

1

Carefully consider the investment objectives, potential risks, management fees, and charges and expenses of the Fund prior to investing. The Fund’s prospectus and summary prospectus contains this and other information about the Fund, and should be read carefully before investing. You may obtain a current copy of the Fund’s prospectus and summary prospectus by calling 888.966.9661.

An investment in the Fund is subject to risks and you could lose money on your investment in the Fund. The principal risks of investing in the Fund include, but are not limited to, investing in foreign securities, investing in small and mid-cap companies, and focused risk. The prices of foreign securities may be more volatile than the securities of U.S. issuers because of economic conditions abroad, political developments, and changes in the regulatory environment of foreign countries. Investments in small and mid-cap companies involve greater risks including increased price volatility compared to the market or larger companies. Although the Fund is diversified, the Sub-advisor intends to focus its investments in the securities of a comparatively small number of issuers. Investment in securities of a limited number of issuers exposes the Fund to greater market risk and potential losses than if its assets were diversified among the securities of a greater number of issuers. More information about these risks may be found in the Fund’s prospectus. Updated 1 2 / 3 1 / 1 5

AAM/ Bahl & Gaynor I ncom e Grow th Fund

• Founded July 2, 1990 in Cincinnati, Ohio.
• $14.0 billion* under management/advisement as of 12/31/15.
• 15 portfolio managers / analysts.
• 100% owned by investment professionals.
• Never lost an investment professional to “another opportunity.”
• 25 years of expertise investing in high quality, dividend-paying stocks.
• “Dividends pay dividends.”™

Bahl & Gaynor Overview

2

Source: Bahl & Gaynor. * Bahl & Gaynor assets under management were $8.1 billion and SMA platform assets under advisement were $5.9 billion as of 12/31/2015.

I nvestm ent Com m ittee

3

Bahl & Gaynor typically invests in high-quality companies that pay growing dividends.

Earnings quality The ability to pay cash from reported earnings points to the inherent quality of those earnings. Financial strength Dividends are a powerful tool in communicating financial health to the capital markets. Earnings power Regular dividends that follow a defined payout ratio are a useful proxy for management’s confidence in the business. Business stability The ability to pay a dividend is an important indicator to investors that the company has a proven and sustainable business model. They believe a strong dividend policy signals:

W hy Dividends?

4

Source: Bahl & Gaynor, Bloomberg, Ned Davis Research. *Annualized. Past performance does not guarantee future results and is not indicative of the performance of the AAM/Bahl & Gaynor Income Growth Fund.

• In 2015, the S&P 500’s price return was negative, with dividends returning over 150% of the index’s total return.
• Dividends were 1,693% of the S&P 500’s total return in the 1930s and 72% in the 1970s.
• S&P 500’s dividend rate of return (ROR) was greater than its price return or total return for the 2000s decade.
• Dividends represented 100% of S&P 500’s 2011 total return, 16% of its 2012 total return, 8.6% of the 2013 total return,

16.7% of the 2014 total return and 153% of the 2015 total return.

• Dividend tax rates used to be tied to the highest marginal tax rate (e.g., 70% average in the ‘70s) prior to 2000.
• Investors traditionally seek income, downside protection and less volatile returns via dividends – regardless of tax

rates – in times of uncertainty.

I ndex Returns by Decade

Dividends are crucial total return – especially in uncertain times

(%)

1930s 1940s 1950s 1960s 1970s 1980s 1990s 2000s 2010 2011 2012 2013 2014 2015

Price Return

• 5.26

2.98 13.57 4.39 1.60 12.58 15.31

• 2.72

12.78 0.00 13.42 29.60 11.39

• 0.73

Income Return 5.59 5.95 5.63 3.33 4.12 4.77 2.82 1.76 2.28 2.11 2.58 2.78 2.29 2.11 Total Return 0.33 8.93 19.20 7.72 5.72 17.35 18.13

• 0.96

15.06 2.11 16.00 32.38 13.68 1.38 S&P 500 Price, Dividend, Total Return by Decade (and 2010, 2011, 2012, 2013, 2014 and 2015)* 5

The Bahl & Gaynor Income Growth strategy invests in high-quality companies that typically produce steady earnings and dividend growth.

Fundamental Sector Review

• Conducted by 15 Portfolio

Managers/Analysts, each with a sector responsibility

• Review current and potential

holdings

• Quantitative and qualitative

comparison of stocks versus peers, history and market

Bottom Up Quantitative Screen

• At least 2% dividend yield and

$1 billion market cap at purchase

• Historical earnings and

dividend growth (e.g., two dividend increases in the last five years)

• Strong balance sheets and

cash flow generation

Fundamental Security Investigation

• Target dominant companies

with a historically clear competitive advantage and reasonable valuation

• Shareholder-friendly

management with large insider ownership

• Emphasize companies with

consistently growing revenue and earnings (R2)

• Seek to meet with senior

management

• Reduces stock universe to a

Focus List of 100-150 stocks

• Consensus decision-making

process

• Portfolio typically contains 35-

45 stocks and is fully invested (1%-3% cash)

• Minimum 0.5% and maximum

5.0% security position at purchase

• No minimum or maximum

sector weights

• Each stock may only represent

a maximum of 6% of the portfolio’s total income

• Pursue harmonic balance

between absolute yield and growth of income

1 2 3 4

Investment Committee Review & Implementation

I nvestm ent Process

6

Bahl & Gaynor will consider selling or trimming their Income Growth positions for any

• ne of the following reasons:

Fundamental

• Valuation
• Oversized capital or

income position

• Better opportunity for

yield, enhanced fundamentals, or income growth elsewhere Dividend Policy

• Declining growth rate
• No increase for some time
• Dividend payment

reduction Cash Flow or Earnings

• Declining cash flow return
• n investment
• Negative operating cash

flow

• Declining earnings quality
• Accounting issues

Management

• Unexpected leadership

change

• New ownership,

acquisition or rising debt level

• Unusual insider trading

1 2 3 4

Sell Process

7

*All share classes may not be available. Please consult with your financial advisor for more details. **The Fund’s advisor has contractually agreed to waive certain fees/expenses until October 31, 2016 and may recoup previously waived expenses that it assumed during the previous three-year period. Share Class* Ticker CUSIP Minimum Initial Purchase Amount Minimum Subsequent Purchase Amount Expense Ratios** (gross / net) Class A AFNAX 461 418 188 $2,500 $500 1.45% / 1.40% Class C AFYCX 461 418 170 $2,500 $500 2.20% / 2.15% Class I AFNIX 461 418 162 $25,000 $5,000 1.20% / 1.15%

Fund Facts

8

Performance shown for periods longer than one year is annualized.

1For A and I Shares, inception date is 07/05/12 2Redemption fee if redeemed within 90 days of purchase 2.00% 3Sales charge fee for Class A 5.50% 4 For C Shares, inception date is 01/31/13. Subject to a CDSC of 1% on any shares sold within 12 months of purchasing them. 5S&P 500 Index is an unmanaged capitalization-weighted index (weighted by the market value of the companies) of 500 stocks listed on

various exchanges. It is not possible to invest directly in an index. Class* Quarter End Year-to- Date One Year Three Years Since Inception1,4 2013 2014 2015 Class A - AFNAX2 6.47

• 0.71
• 0.71

10.97 10.11 22.68 12.19

• 0.71

With sales charge3 0.62

• 6.16
• 6.16

8.90 8.35 15.94 6.02

• 6.16

Class I - AFNIX2,4 6.53

• 0.54
• 0.54

11.22 10.33 22.83 12.62

• 0.54

Class C - AFYCX2,4 6.23

• 1.51
• 1.51

N/A 8.47 N/A 11.31

• 1.51

S&P 500 Index5 7.04 1.38 1.38 15.13 14.621 / 13.624 32.39 13.69 1.38

The performance data quoted represents past performance and is not a guarantee of future results. 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 information

• quoted. To obtain performance information current to the most recent month-end, call 888.966.9661.

*All share classes may not be available. Please consult with your financial advisor for more details.

Trailing Performance as of 12/31/15

Perform ance ( % )

9

Portfolio holdings will change due to ongoing management of the funds. References to specific securities [or sectors] should not be construed as recommendations by the Funds, the Adviser or the Distributor.

Note: Top ten holdings does not include cash allocation. % Net Assets Microsoft Corp 4.10 Paychex Inc 3.66 Kimberly-Clark Corp 3.41 3M Co 3.41 Home Depot Inc/The 3.35 JPMorgan Chase & Co 3.35 PepsiCo Inc 3.11 AbbVie Inc 3.05 NextEra Energy Inc 2.96 BlackRock Inc 2.94 Top 10 Holdings 33.34

Top Ten Holdings (as of 12/31/15)

% Net Assets Consumer Staples 12.90 Financials 23.46 Information Technology 16.55 Health Care 11.50 Industrials 12.07 Energy 6.48 Utilities 5.36 Consumer Discretionary 8.06 Materials 1.98 Telecommunication Services 0.00 Cash 1.64

Sector Diversification (as of 12/31/15)

About the Portfolio

10

Fund S&P 500 Mega ($50B+) 49.86 61.75 Large ($12-50B) 43.24 31.11 Mid ($2-12B) 6.90 7.12

Market Capitalization Distribution (% as of 12/31/15)

Fund Weighted Avg. Market Cap $100.1B Number of Equity Holdings 41 Debt to Capital 41.8% % of Portfolio with B+ or better S&P Ranking 76.19% Dividend Frequency Monthly

Portfolio Characteristics (as of 12/31/15)

Portfolio holdings will change due to ongoing management of the funds. References to specific securities [or sectors] should not be construed as recommendations by the Funds, the Adviser or the Distributor Weighted Average Market Capitalization refers to a stock market index in which larger companies (i.e. with higher market capitalization) have more influence on the index’s

• performance. The Debt to Capital Ratio is a measurement of how leveraged a

company is. The ratio compares a firm’s total debt to its total capital. The total capital is the amount of available funds that the company can use for financing projects and other operations. It is calculated by dividing debt by the sum of debt and stockholders’ equity. A high debt-to-capital ratio indicates that a high proportion of a company’s capital is comprised of debt. The 30-day SEC Dividend Yield is based on the most recent 30-day period covered by the fund's filings with the SEC. The yield figure reflects the dividends and interest earned during the period, after the deduction of the fund's expenses. Standard & Poor’s (S&P) Ranking: S&P determines “quality” via a company’s 10-year history of earnings growth and dividend growth. Subsidized 30-day SEC Yield Unsubsidized 30-day SEC Yield Class A 1.80 1.70 Class C 1.17 1.06 Class I 2.16 2.05

Portfolio Yield (% as of 12/31/15)

About the Portfolio

% Net Assets United States 100.00

Country Allocation (as of 12/31/15) 11

All share classes may not be available. Please consult with your financial advisor for more details. You should carefully consider the investment objectives, risks, management fees, and charges and expenses of the Fund prior to investing. The Fund’s prospectus and summary prospectus contains this and other information about the Fund, and should be read carefully before investing. You may obtain a current copy of the Fund’s prospectus and summary prospectus by calling 888.966.9661. An investment in the Fund is subject to risks and you could lose money on your investment in the Fund. The principal risks

• f investing in the Fund include, but are not limited to, investing in foreign securities, investing in small and mid-cap

companies, and focused risk. The prices of foreign securities may be more volatile than the securities of U.S. issuers because of economic conditions abroad, political developments, and changes in the regulatory environment of foreign

• countries. Investments in small and mid-cap companies involve greater risks including increased price volatility compared to

the market or larger companies. Although the Fund is diversified, the Sub-advisor intends to focus its investments in the securities of a comparatively small number of issuers. Investment in securities of a limited number of issuers exposes the Fund to greater market risk and potential losses than if its assets were diversified among the securities of a greater number

• f issuers. More information about these risks may be found in the Fund’s prospectus.

The S&P 500 Index in an unmanaged capitalization-weighted index (weighted by the market value of the companies) of 500 stocks listed on various exchanges. It is not possible to invest directly in an index. Dividend Payment Risk: An issuer of a security may be unwilling or unable to pay income on a security. Common stocks do not assure dividend payments and are paid only when declared by an issuer’s board of directors. The amount of any dividend may vary over time. Dividend yield is one component of performance and should not be the only consideration for

• investment. Individual results may vary.

Distributed by IMST Distributors, LLC

CRN: 2014-0722-4330 R Link 3251

12

Disclosures