Important News Update for Your U.S. Global Investors Funds
U.S. Global Investors is pleased to announce several changes to the funds. The changes will reposition our fund offerings to provide our shareholders with streamlined products and services and allow us to focus on our core competencies.
A summary of the important changes:
1. Holmes Macro Trends Fund
Shareholders approved the reorganization of the MegaTrends Fund into the Holmes Growth Fund. The new name of the fund is the Holmes Macro Trends Fund. The fund seeks to identify strong sectors, and within those sectors, to identify companies that have the greatest potential for growth. The merger took place after the close of business on December 20.
2. U.S. Government Securities Ultra-Short Bond Fund
Shareholders of the U.S. Government Securities Savings Fund approved the conversion of the fund to a new investment policy. The new name of the fund is the U.S. Government Securities Ultra-Short Bond Fund. The fund is designed to be used as an investment that takes advantage of the security of U.S. Government bonds and obligations, while simultaneously pursuing a high level of income. This conversion took place after the close of business on December 20.
3. Near-Term Tax Free Fund
The Tax Free Fund was merged with the Near-Term Tax Free Fund, a shorter-term municipal bond fund. The Near-Term Tax Free Fund offers similar tax-free benefits and monthly dividends, along with a shorter maturity bond structure that seeks lower volatility. This merger took place after the close of business on December 20. You can read the information statement here and read the summary prospectus for the Near-Term Tax Free Fund here.
4. U.S. Treasury Securities Cash Fund Closing
This fund closed on December 27. We have a new money market fund option available if you would like to use a money market fund for exchanges, checkwriting or direct deposit transactions.
5. New Money Market Fund Option Available
A new money market fund option, the Fidelity Institutional Money Market Treasury Portfolio Class III, is available for those shareholders who wish the convenience of an investment vehicle to use for exchanges between funds with U.S. Global Investors. This fund also provides checkwriting service. If you would like to use a money market fund for exchanges, checkwriting or direct deposit transactions, you may do so with the Fidelity Institutional Money Market Treasury Portfolio Class III fund. You can download an application here. Note that checkwriting is available for shareholders with $5,000 or more invested in U.S. Global Investors non-money market funds.
Have More Questions?
Please contact us with any questions. Investor Representatives are ready to assist you at 1-800-US-FUNDS (1-800-873-8637).
Please consider carefully a fund's investment objectives, risks, charges and expenses. For this and other important information, obtain a fund prospectus by visiting www.usfunds.com or by calling 1-800-US-FUNDS (1-800-873-8637). Read it carefully before investing. Distributed by U.S. Global Brokerage, Inc.
With respect to the money market funds, an investment in a money market fund is neither insured nor guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although money market funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in these funds. The Fidelity Institutional Money Market Treasury Portfolio Class III is distributed by Fidelity Distributors Corporation.
Tax-exempt income is federal income tax free. A portion of this income may be subject to state and local income taxes, and if applicable, may subject certain investors to the Alternative Minimum Tax as well. Each tax free fund may invest up to 20% of its assets in securities that pay taxable interest. Income or fund distributions attributable to capital gains are usually subject to both state and federal income taxes. Bond funds are subject to interest-rate risk; their value declines as interest rates rise. The tax free funds may be exposed to risks related to a concentration of investments in a particular state or geographic area. These investments present risks resulting from changes in economic conditions of the region or issuer.