SPARROW GROWTH FUND

“SunStar is far exceeding our expectations. Despite a global pandemic, in the four months we have been working with SunStar, our fund assets are up 106%*!

We’re in the news continually; Bob Tebeleff and Jake Oxley’s coaching before each interview helps finesse our talking points. And, SunStar is doing a heck of a job faithfully executing our outreach plan to advisors.”

*4/1/2020 to 8/6/2020

Introduction

The Sparrow Growth Fund launched in 1998. The fund, advised by Sparrow Capital Management, is comprised of stocks the adviser believes demonstrate strong earnings momentum as measured by expanding profit margins, accelerating earnings, positive earnings surprises, positive earnings estimate revisions, and positive relative price strength.

Problem

Despite its long track record of over two decades, the fund remained relatively small and unknown through the spring of 2019. As 2020 began, the novel coronavirus pandemic emerged in the US. Sparrow Growth Fund performance was good, and the Fund was rated 5 stars overall by Morningstar.

A weekly email program to thousands of advisors lacked dynamic content and failed to produce leads. The portfolio manager had some 8000 followers on social media platforms, but virtually no engagement.

Solution

In April of 2020, Sparrow initiated a public relations program with SunStar. In that new virtual world, SunStar conducted its Messaging Workshop via video conference and telephone.

The PR effort, which by necessity was all conducted virtually, resulted in Sparrow coverage in 14 outlets over the first four months. SunStar further supported the growth initiative by executing a marketing program that included compliance vetting, copywriting, and execution of a revitalized weekly email to share the media coverage.

SunStar further was engaged to share the coverage to Sparrow’s social media channels and handle logistics for a monthly sales/marketing meeting for the manager and a recently hired team of wholesalers across the U.S. to ensure shared strategy and good communications.

Accomplishments

The fund assets were $19 million on April 1, 2020, when Sparrow Capital began working with SunStar. Four months later, as of August 5, 2020, assets topped $40 million, an increase of 106%, with about $5.3 million due to new fund flows.

Date

27 Aug