Fund invests only in U.S. dollar-denominated securities. |
Fund seeks to invest in securities that present minimal credit risk.
Fund may invest significantly in securities with floating or variable rates of
interest. Their yields will vary as interest rates change. The Fund will at
times hold some of its assets in cash.
Fund’s adviser seeks to develop an appropriate portfolio by considering the
differences in yields among securities of different maturities, market sectors
Money Market Fund Regulations
the amendments to the Securities and Exchange Commission (“SEC”) rules that
govern the operation of registered money market funds (“MMFs”), MMFs that
qualify as “retail” (“Retail MMFs”) or “government” (“Government MMFs”) are
permitted to continue to utilize amortized cost to value their portfolio
securities and to transact at their existing $1.00 share price. MMFs that do not
qualify as Retail MMFs or Government MMFs (collectively, “Institutional MMFs”)
are required to price and transact in their shares at NAV reflecting current
market-based values of their portfolio securities (i.e., at a “floating
NAV”). The Fund intends to qualify as a Retail
Fees and Redemption Gates
Fund’s policies and procedures permit the Board to impose liquidity fees on
redemptions and/or redemption gates in the event that the Fund’s weekly liquid
assets were to fall below a designated threshold.
the Fund’s weekly liquid assets fall below 30% of its total assets, the Board,
in its discretion, may impose liquidity fees of up to 2% of the value of the
shares redeemed and/or gates on redemptions. In addition, if the Fund’s weekly
liquid assets fall below 10% of its total assets at the end of any business day,
the Fund must impose a 1% liquidity fee on shareholder redemptions unless the
Board determines that not doing so is in the best interests of the Fund.
determination that the Fund will qualify as a Retail MMF remains subject to
future change. Shareholders will be given notice of further developments, as
order to separate retail and non-retail investors, pursuant to relief granted by
the SEC, the Fund may redeem investors that do not satisfy the eligibility
requirements for Retail MMF investors. The Fund will provide advance written
notification of its intent to make any such involuntary redemptions to the
applicable shareholders, which will include more specific information about
timing. Neither the Fund nor the adviser will be responsible for any loss in an
investor’s account or tax liability resulting from an involuntary
Free Money Market Fund
normal conditions, the Fund invests primarily in municipal obligations, the
interest on which is excluded from federal income taxes. As a fundamental
policy, the Fund will invest at least 80% of the value of its Assets in
municipal obligations. For purposes of this policy, “Assets” means net assets,
plus the amount of borrowings for investment purposes.
obligations are securities that are issued by or on behalf of states,
territories and possessions of the United States, including the District of
Columbia, and their respective authorities, agencies and other groups with
authority to act for the municipalities.
Fund generally invests in short-term money market instruments such as private
activity and industrial development bonds, tax anticipation notes, municipal
lease obligations and participations in pools of municipal obligations.
purposes of the 80% policy above, the Fund will only invest in municipal
obligations if the issuer receives assurances from legal counsel that the
interest payable on the securities is exempt from federal income tax.
addition to purchasing municipal obligations directly, the Fund may invest in
municipal obligations by (1) purchasing instruments evidencing direct ownership
of interest payments or principal payments, or both, on municipal obligations,
such as tender option bonds, or (2) purchasing participation interests in all or
part of specific holdings of municipal obligations, provided that the applicable
issuer receives assurances from legal counsel that the interest payable on the
securities is exempt from federal income tax.
remaining 20% of the Fund’s total assets may be invested in securities subject
to federal income tax or the federal alternative minimum tax.
Fund is a money market fund managed in the following manner:
Fund seeks to maintain a net asset value (“NAV”) of $1.00 per share.