Weitz Investment Short Duration Income Fund Q2 2022 Commentary

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Additional disclosure: This document must be preceded or accompanied by a prospectus or a simplified prospectus.

Data is for the quarter ending 06/30/2022. The opinions expressed are those of Weitz Investment Management and are not intended to be used as investment advice or to predict or project the future performance of any investment product.
Opinions are current to 7/20/2022, are subject to change at any time based on market and other current conditions, and no forecast can be guaranteed. This commentary is provided as a general source of information and is not intended to be a recommendation to buy, sell or hold any specific security or to engage in any investment strategy. Investment decisions should always be made based on an investor’s specific objectives, financial needs, risk tolerance and time horizon.

Data quoted is past performance and current performance may be lower or higher. Past performance is not indicative of future results. Investment returns and the principal value of an investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost. Please visit weitzinvestments.com for the most recent month-end performance.

Investment results reflect applicable fees and expenses and assume that all distributions are reinvested, but do not reflect the deduction of taxes an investor would pay on distributions or share redemptions. The net and gross expense ratios are those of the Fund’s most recent prospectus. Certain Sub-Funds have entered into fee waiver and/or fee reimbursement agreements with the Investment Adviser. In these cases, the advisor has contractually agreed to waive a portion of the advisor’s fees and reimburse certain expenses (excluding taxes, interest, brokerage fees, acquired funds fees and expenses, and extraordinary expenses) in order to limit the total annual operating expenses of the funds of the Class. average daily net assets through 07/31/2023.

The gross expense ratio reflects the total annual operating expenses of the fund before any fee waivers or refunds. The net expense ratio reflects the total annual operating expenses of the Fund after taking into account any fee waivers and/or expense reimbursements. The net expense ratio represents what investors are ultimately charged for investing in a mutual fund.

The performance shown for the Investor Class shares prior to their inception (08/01/2011) is derived from the historical performance of the Institutional Class shares and has not been adjusted for the expense of the Investor Class shares, if had they been, the yields would have been different.

As of 16/12/2016, the Fund has revised its main investment strategies. Since then, the Fund has generally maintained an average effective duration of between one and three and a half years. Prior to this date, the Fund maintained a dollar-weighted average maturity of between two and five years. Performance prior to 16/12/2016 reflects the Fund’s prior principal investment strategies and may not be indicative of future performance.

The inception date of the Short Duration Income Fund is 28 December 1988. The inception date of the Investor Class is 1 August 2011. The performance of shares in the Investor Class prior to their inception date uses the performance and historical spending of Institutional Class shares. Effective December 16, 2016, the Fund revised its primary investment strategies. Since then, the Fund has generally maintained an average duration of effective income of between one and three and a half years. Prior to this date, the Fund maintained a dollar-weighted average maturity of between 2 and 5 years.

Performance prior to 16 December 2016 reflects the Fund’s prior major investment strategies and may not be indicative of future performance.

The performance of the index is hypothetical and is presented for information purposes only. You cannot invest directly in an index.

The Bloomberg 1-3 Year US Aggregate Index is generally representative of the market for taxable, fixed-rate, investment-grade bonds denominated in US dollars with maturities of one to three years.

The holdings are subject to change and may not be representative of the current or future investments of the Fund.

Credit ratings are assigned to the underlying securities using ratings from a Nationally Recognized Statistical Rating Organization (NRSRO) such as Moody’s and Fitch, or other rating agencies and applying the following hierarchy: a a security is considered investment grade if it has been rated at least BBB – by a credit rating agency; once it has been determined to be investment grade (BBB- and above) or non-investment grade (BB+ and below) where multiple ratings are available, the lowest rating is assigned. Mortgage-backed securities issued and guaranteed by government-sponsored agencies such as Fannie Mae and Freddie Mac are generally not rated by rating agencies.

Titles that are not rated do not necessarily indicate poor quality. Ratings are given on the Fitch scale (eg AAA). Portfolio ratings and credit quality may change over time. The Fund itself has not been rated by any rating agency.

Definitions: Average effective duration provides a measure of a fund’s sensitivity to interest rates. The longer a fund’s duration, the more sensitive the fund is to changes in interest rates. The average effective maturity is the weighted average of the maturities of the underlying bonds of a fund. Commercial Real Estate Secured Loan Obligations (CRE CLOs) are a type of asset-backed securities backed by a pool of commercial loans. Investment Grade bonds are securities rated at least BBB- by one or more rating agencies. The middle market refers to small businesses, whose earnings before interest, taxes, depreciation and amortization are typically less than $75 million. Non-investment

Investment grade bonds are securities (commonly referred to as “high yield” or “junk bonds”) rated BB+ and lower by one or more credit rating agencies. Yield at worst (YTW) is the lowest potential yield that can be received on a bond portfolio without the underlying issuers defaulting.

Consider these risks before investing: All investments involve risk, including possible loss of capital. These risks include market risks, such as political, regulatory, economic, social and health risks (including risks presented by the spread of infectious diseases). Also, because the Fund may have a more concentrated portfolio than some other mutual funds, the performance of each security in the Fund has a greater impact on the overall portfolio, which increases risk. See the Fund’s prospectus for a more detailed analysis of the Fund’s risks.

Investors should carefully consider a fund’s investment objectives, risks and charges and expenses before investing. This and other important information is contained in the prospectus and the simplified prospectus, which can be obtained at weitzinvestments.com or from a financial adviser. Please read the prospectus carefully before investing.

Weitz Securities, Inc. is the distributor of Weitz funds.

©2022 Weitz Investment Management, Inc. All rights reserved.

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