Fund Evaluator:
Royce Micro-Cap Invmt (RYOTX)
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Best Performing in Small Blend Over the Last Year
| 67.2% | Royce Micro-Cap Invmt (RYOTX) |
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| 46.5% | Paradigm Value (PVFAX) |
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Fund Details
Royce Micro-Cap Invmt Overview
Royce Micro-Cap Invmt (RYOTX) is an actively managed U.S. Equity Small Blend fund. Royce Investment Partners launched the fund in 1991.
The investment seeks long-term growth of capital. The fund invests the fund's assets primarily in equity securities of micro-cap companies. Normally, the fund invests at least 80% of its net assets in equity securities of micro-cap companies. Although the fund normally focuses on securities of U.S. companies, it may invest up to 25% of its net assets (measured at the time of investment) in securities of companies headquartered in foreign countries.
About Royce Micro-Cap Invmt (RYOTX)
There are 2 members of the management team with an average tenure of 6.46 years: Andrew Palen (2024), James Stoeffel (2015). Management tenure is more important for actively managed funds than passive index funds.
The fund has 2 primary benchmarks: Russell 3000 TR USD index with a weighting of 100% and Russell Micro Cap TR USD index with a weighting of 100%. Royce Micro-Cap Invmt has 160 securities in its portfolio. The top 10 holdings constitute 14.1% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.
Royce Micro-Cap Invmt is part of the Equity global asset class and is within the U.S. Equity fund group. Royce Micro-Cap Invmt has 12.6% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 84.7%. There is 12.6% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Royce Micro-Cap Invmt has 2.7% of the portfolio in cash.
Assets Under Management
The fund has $238 million in total assets, which is below the $694 million average for the Small Blend category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
RYOTX Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Royce Micro-Cap Invmt expense ratio is high compared to funds in the Small Blend category. Royce Micro-Cap Invmt has an expense ratio of 1.24%, which is 19% higher than its category average, making the fund expense ratio grade a D. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. Royce Micro-Cap Invmt has a portfolio turnover rate of 38%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 65% for the Small Blend category.
Recently, in the month of June 2026, Royce Micro-Cap Invmt returned 8.1%, which earned it a grade of A, as the Small Blend category had an average return of 5.9%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.
Royce Micro-Cap Invmt has a trailing yield of 0.00%, which is below the 0.41% category average. The fund normally distributes its income annually and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
Royce Micro-Cap Invmt Grades
Year to date, the fund has returned 45.4%, 23.7 percentage points better than the category, which translates into a grade of A. The fund has returned 67.2% over the past year (grade of A), 26.8% over the past three years (grade of A) and 12.5% per year over the past five years (grade of A) and 14.7% per year over the past 10 years (grade of A).
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RYOTX Trailing NAV Total Returns Data as of 6/30/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| RYOTX Return (NAV) | 8.1% | 33.1% | 67.2% | 26.8% | 12.5% | 14.7% |
| RYOTX Grade | A | A | A | A | A | A |
| +/- Category | 2.2% | 13.4% | 33.3% | 10.4% | 4.6% | 3.6% |
| Small Blend Avg | 5.9% | 19.8% | 33.9% | 16.4% | 7.9% | 11.2% |
| RYOTX Tax Cost Ratio | na | na | 3.0% | 2.4% | 2.7% | 2.3% |
RYOTX Annual NAV Total ReturnsData as of 6/30/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| RYOTX Return (NAV) | 45.4% | 13.3% | 13.4% | 19.3% | -22.6% | 31.0% | 24.5% | 21.2% | -8.9% | 5.4% | 19.7% |
| RYOTX Grade | A | A | B | A | F | A | A | F | A | F | C |
| +/- Category | 23.7% | 5.4% | 1.8% | 2.8% | -6.0% | 7.8% | 10.1% | -4.3% | 2.9% | -8.6% | -0.5% |
| Small Blend Avg | 21.7% | 7.9% | 11.6% | 16.5% | -16.5% | 23.2% | 14.4% | 25.5% | -11.8% | 14.1% | 20.2% |
| Risk Measures | |
| Standard Deviation: | 22.9% |
| Total Risk Index: | 1.88 - High |
| Category Risk Index: | 1.24 - High |
| Category Risk Grade: | F (101% Rank) |
| Beta: | 1.38 |
| R-Squared: | 62% |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | Small-Cap Blend |
| Bond Investment Style: | na |
| Yield: | 0.0% |
| Dividend Distribution: | Annually |
| Cap Gains Distribution: | Annually |
| Total Assets: | $427 Mil |
| Fund Total Assets: | $ 239 Mil |
| Share Class Type: | Inv |
| Portfolio Turnover: | 38% |
Management Team
| Number of Managers: 2 | |||
| Longest Tenure: 11.2 years | |||
| Average Tenure: 6.5 years | |||
| Managers (Year): Stoeffel James (2015), Palen Andrew (2024) | |||
Portfolio Composition (as of 3/31/26)
| # of Holdings: | 160 |
| % in Top 10 Holdings: | 14.1% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 12.6% |
Portfolio Allocation |
|
| Domestic Stock: | 84.7% |
| Foreign Stock: | 12.6% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 0.0% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 2.7% |
Purchase Information
| Fund Family: | Royce Investment Partners |
| Phone Number: | 800-841-1180 |
| Website: | www.roycefunds.com |
| Status: | Open |
| Inception Date: | December 31, 1991 |
| Min. Initial Purchase: | $2,000 |
| Min. Initial IRA Purchase: | $1,000 |
| True No-Load: | Yes |
| Front Load Maximum: | 0.00% |
| Deferred Charge Maximum: | 0.00% |
| Redemption Charge Maximum: | 0.00% |
| 12b-1 Fee: | 0.00% |
Expenses and Fees | |
| Expense Ratio (%): | 1.24% ( Rating : High ) |
| Category Average Expense Ratio (%): | 1.05% |
| Share Class: | Royce Micro-Cap Invmt |
| Min. Subsequent Purchase: | $ 50 |
| Min. Subsequent IRA Purchase: | $ 50 |
