Performance data quoted represents past performance. Past performance does not guarantee future results. All performance assumes the reinvestment of dividends and capital gains. The 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. Any extraordinary performance shown for the recent short-term periods may not be sustainable and is not representative of the performance over longer periods. Current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end for Ariel Fund may be obtained by visiting our website, arielinvestments.com. Click here for Fund performance current to the most recent quarter end, as well as the Fund’s annual expense ratio.

Ariel Fund invests in small cap and mid-cap stocks, which is more risky and more volatile than investing in large cap stocks. The intrinsic value of the stocks in which the Fund invests may never be recognized by the broader market. The Fund is often concentrated in fewer sectors than its benchmarks, and its performance may suffer if these sectors underperform the overall stock market. Investing in equity stocks is risky and subject to the volatility of the markets.

The opinions in the article were current as of the date of the article but are subject to change. The information provided in this article does not provide information reasonably sufficient upon which to base an investment decision and should not be considered a recommendation to purchase or sell any particular security. This material should not be considered an offer for any of the securities referenced. The information contained in the article is not guaranteed as to its accuracy or completeness.

Past performance does not guarantee future results. Ariel Fund’s (Institutional Class) received an Overall Morningstar Rating™ of four stars and was categorized in Morningstar’s US Fund Mid-Cap Value, amongst 393 funds, for the period ended 07/31/21. The Overall Morningstar Rating™ is a weighted average of the available three-, five-, and ten-year ratings, if applicable. For the period ended 07/31/21, Ariel Fund (Institutional Class) was rated three stars amongst 393 funds, four stars amongst 347 funds, and three stars amongst 250 funds over the three-, five-, and ten-year periods, respectively. The inception date of the Fund’s Institutional Class is 12/30/11 and as such, the Morningstar Rating for the ten-year period includes extended performance as an estimate based on the performance of the Fund’s oldest share class, adjusted for fees. Total returns (on which the rankings are based) would have been lower if certain fees and expenses had not been reduced during these periods. Rankings for the Investor Class differ. The Institutional Class shares require a minimum initial investment of $1,000,000.

Morningstar, Inc. is a nationally recognized organization that reports performance and calculates rankings for mutual funds. The Morningstar Rating™ for funds, or “star rating”, is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product’s monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.

The Morningstar Analyst Rating^TM for funds is the summary expression of Morningstar’s forward-looking analysis of a fund. Morningstar Analyst Ratings are assigned globally on a five-tier scale running from Gold to Negative. The top three ratings, Gold, Silver, and Bronze, all indicate that Morningstar analysts think highly of a fund; the difference between them corresponds to differences in the level of analyst conviction in a fund’s ability to outperform its benchmark and peers through time, within the context of the level of risk taken. The Analyst Rating does not express a view on a given asset class or peer group; rather, it seeks to evaluate each fund within the context of its objective, an appropriate benchmark, and peer group. Ariel Fund (Institutional Class) received a Bronze Morningstar Analyst Rating as of June 30, 2021. Morningstar defines Bronze as funds that have advantages that clearly outweigh any disadvantages across the pillars, giving Analysts the conviction to award them a positive rating. As is the case with any fund receiving a positive rating, Morningstar analysts expect these funds to beat their relevant performance benchmark and/or peer group within the context of the level of risk taken over a full market cycle (or at least five years). Funds rated Bronze may be working their way up the ratings scale as Morningstar analysts gain more familiarity and conviction in key pillars or working their way down based on degradation within specific pillars. Investment research is produced and issued by subsidiaries of Morningstar, Inc. including, but not limited to, Morningstar Research Services LLC, registered with and governed by the U.S. Securities and Exchange Commission.

© 2021 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.