AB Discovery Value Fund
Data updated: 2026-09-11
C000028756 — AB Discovery Value Fund. United States Mid Cap Value Equity · $2.56B AUM · 1.88% expense ratio. Holdings, fees, performance and SEC filings.
C000028756 Fund Overview
AB Discovery Value Fund is a US mutual fund managed by Ab Trust, categorised as United States Mid Cap Value Equity. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.
- Type: US mutual fund
- Manager: Ab Trust
- Category: United States Mid Cap Value Equity
- Assets under management: $2.56B
- SEC CIK: 0001129870
- SEC series ID: S000010412
- Share class ID: C000028756
C000028756 Investment Objective and Strategy
AB Discovery Value Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by Ab Trust.
Investment objective
The Fund’s investment objective is long-term growth of capital.
Principal investment strategy
"The Fund invests primarily in a diversified portfolio of equity securities of small- to mid-capitalization U.S. companies. Under normal circumstances, the Fund invests at least 80% of its net assets in securities of small- to mid-capitalization companies. For purposes of this policy, small- to mid-capitalization companies are those that, at the time of investment, fall within the capitalization range between the smallest company in the Russell 2500(R) Value Index and the greater of $5 billion or the market capitalization of the largest company in the Russell 2500(R) Value Index. Because the Fund's definition of small- to mid-capitalization companies is dynamic, the lower and upper limits on market capitalization will change with the markets. As of December 31, 2017, the capitalization ranges of companies in the Russell 2500(R) Value Index ranged from approximately $22.7 million to $13.8 billion.
The Fund invests in companies that are determined by the Adviser to be undervalued, using the Adviser's fundamental value approach. In selecting securities for the Fund's portfolio, the Adviser uses its fundamental and quantitative research to identify companies whose long-term earnings power is not reflected in the current market price of their securities. In selecting securities for the Fund's portfolio, the Adviser looks for companies with attractive valuation (for example, with low price to book ratios) and compelling success factors (for example, momentum and return on equity). The Adviser then uses this information to calculate an expected return. Returns and rankings are updated on a daily basis. The rankings are used to determine prospective candidates for further fundamental research and, subsequently, possible addition to the portfolio.
Typically, the Adviser's fundamental research analysts focus their research on the most attractive 20% of the universe. The Adviser typically projects a company's financial performance over a full economic cycle, including a trough and a peak, within the context of forecasts for real economic growth, inflation and interest rate changes. The Adviser focuses on the valuation implied by the current price, relative to the earnings the company will be generating five years from now, or ""normalized"" earnings, assuming average mid-economic cycle growth for the fifth year. The Fund's management team and other senior investment professionals work in close collaboration to weigh each investment opportunity identified by the research staff relative to the entire portfolio and determine the timing and position size for purchases and sales.
Analysts remain responsible for monitoring new developments that would affect the securities they cover. The team will generally sell a security when it no longer meets appropriate valuation criteria, although sales may be delayed when positive return trends are favorable. Typically, growth in the size of a company's market capitalization relative to other domestically traded companies will not cause the Fund to dispose of the security. The Adviser seeks to manage overall portfolio volatility relative to the universe of companies that comprise the lowest 20% of the total U.S. market capitalization by favoring promising securities that offer the best balance between return and targeted risk. At times, the Fund may favor or disfavor a particular sector compared to that universe of companies.
The Fund may invest significantly in companies involved in certain sectors that constitute a material portion of the universe of small- and mid-capitalization companies, such as financial services and consumer services. The Fund may enter into derivatives transactions, such as options, futures contracts, forwards, and swaps. The Fund may use options strategies involving the purchase and/or writing of various combinations of call and/or put options, including on individual securities and stock indices, futures contracts (including futures contracts on individual securities and stock indices) or shares of exchange-traded funds (""ETFs""). These transactions may be used, for example, in an effort to earn extra income, to adjust exposure to individual securities or markets, or to protect all or a portion of the Fund's portfolio from a decline in value, sometimes within certain ranges.
The Fund may, at times, invest in shares of ETFs in lieu of making direct investments in equity securities. ETFs may provide more efficient and economical exposure to the type of companies and geographic locations in which the Fund seeks to invest than direct investments."
C000028756 Holdings
Top 10 holdings of AB Discovery Value Fund by percentage of net assets, from the fund's latest SEC N-PORT filing.
| Holding | % of net assets |
|---|---|
| Alliance Bernstein | 1.90% |
| US Foods Holding Corp | 1.67% |
| Hanover Insurance Group Inc/The | 1.63% |
| BorgWarner Inc | 1.61% |
| Reliance Inc | 1.61% |
| Regal Rexnord Corp | 1.55% |
| F5 Inc | 1.53% |
| IDACORP Inc | 1.50% |
| UMB Financial Corp | 1.47% |
| Everest Group Ltd | 1.44% |
C000028756 Portfolio Allocation
Asset-class allocation of AB Discovery Value Fund by percentage of net assets, from the latest SEC N-PORT filing.
| Asset class | Allocation |
|---|---|
| Equity | 98.3% |
| Cash & Equivalents | 1.9% |
C000028756 Costs and Fees
C000028756 costs about $188 per $10,000 invested per year in fund expenses.
- Net expense ratio: 1.88%
- Gross expense ratio: 1.88%
- Portfolio turnover: 63%
- Brokerage commissions: 2.32 bps of average net assets (SEC N-CEN)
C000028756 Cashflows
Over the 12 months to 2026-06, AB Discovery Value Fund had net outflows of $131.66M, from monthly SEC N-PORT filings.
| Month | Net flow |
|---|---|
| 2026-06 | −$36.81M |
| 2026-05 | −$21.75M |
| 2026-04 | −$36.26M |
| 2026-03 | −$13.74M |
| 2026-02 | −$24.20M |
| 2026-01 | −$16.01M |
C000028756 Debt Constituents
No individual debt constituents are reported in AB Discovery Value Fund's latest SEC N-PORT filing.
C000028756 Prospectus and SEC Filings
Official AB Discovery Value Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.
- Prospectus (485BPOS) — filed 2026-02-26
- Prospectus (485BPOS) — filed 2025-02-27
- Prospectus (485BPOS) — filed 2024-02-28
- Portfolio holdings (N-PORT) — filed 2026-08-26
- Portfolio holdings (N-PORT) — filed 2026-07-24
- Portfolio holdings (N-PORT) — filed 2026-04-24
- Annual census (N-CEN) — filed 2026-09-11
- Annual census (N-CEN) — filed 2026-02-12
Related Funds
Other United States Mid Cap Value Equity funds tracked on ABC INVEST:
Data Sources
ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.