U.S. Global Investors Funds to Pay Year-End Distributions

Author: Frank Holmes
Date Posted: March 20, 2014 Read time: 6 min

SAN ANTONIO—December 10, 2010—U.S. Global Investors, Inc. (Nasdaq: GROW), a boutique investment adviser specializing in natural resources and emerging markets, announces that five of the mutual funds it manages will pay 2010 income dividend and long-term capital gains distributions.

“Our gold, resources and emerging market funds have once again had a strong year in terms of generating returns for investors,” says Frank Holmes, U.S. Global’s CEO and chief investment officer. “The Global Resources Fund (PSPFX) had a year-to-date return of more than 25 percent as of November 30 and the World Precious Minerals Fund (UNWPX) and the Gold & Precious Metals Fund (USERX) had returns of 39 percent and 33 percent, respectively, over the same time period. In comparison, the S&P 500 had only risen 7.86 percent for the same period.”

This continues a trend of strong performance that our active investment approach has achieved over the past decade. Since 2000, U.S. Global funds have won 27 fund awards and performance achievement certificates from Lipper.

“It’s important for investors to recognize the power of diversification into natural resources and emerging markets,” Holmes says. “Research from Roger Gibson, the best-selling author of Asset Allocation: Balancing Financial Risk, shows that $1 invested in 1971 is worth $51.79 if it was split 50-50 among U.S. stocks and commodity-linked securities if rebalanced each year. If invested solely in one or the other, that dollar is only worth $36.26 or $32.07, respectively.”

The record date was December 9, 2010, and the ex-dividend and payable date is December 10, 2010.

Shareholders should be aware that the distributions of dividends and/or capital gains have reduced each fund’s net asset value (NAV) by the amount of the distribution. Market activity may also have impacted a fund’s NAV on the ex-dividend date, so the total change in a fund’s NAV may be more or less than its distribution.

Shareholders with automatic reinvestment will receive their distribution in the form of additional shares at the closing prices on December 10, 2010, while others will receive their distribution by check or electronic funds transfer. The distributions do not affect the fund’s total return.

The following is a list of the dividends and capital gains distributions by fund.

Fund Income dividend per share Short-term capitalgains per share Long-term capital gains per share Total per share
Holmes Growth Fund (ACBGX) $0.209 $0.00 $0.00 $0.209
Global MegaTrends Fund (MEGAX) $0.007 $0.00 $0.00 $0.007
Global MegaTrends Fund Institutional (MEGIX) $0.079 $0.00 $0.00 $0.079
World Precious Minerals Fund (UNWPX) $2.983 $0.00 $0.00 $2.983
World Precious Minerals Fund Institutional Class (UNWIX) $3.113 $0.00 $0.00 $3.113
Gold and Precious Metals Fund (USERX) $0.258 $0.00 $1.313 $1.571
Global Resources Fund (PSPFX) $0.291 $0.00 $0.00 $0.291
Global Resources Fund Institutional Class (PIPFX) $0.291 $0.00 $0.00 $0.291

For the Global Resources and World Precious Minerals Funds, income dividend per share was also impacted by federal tax laws that classify certain passive income for international junior mining companies as ordinary income for shareholders,” says Holmes. “Both funds invest in promising junior miners currently in the pre-production stages of development, so some exposure to the tax rules is unavoidable.

Total Annualized Returns as of November 30, 2010
Fund One-Year Five-Year Ten-Year Gross Expense Ratio
Global Resources Fund (PSPFX) 28.95% 7.67% 19.79% 1.63%
World Precious Minerals Fund (UNWPX) 38.72% 21.28% 28.72% 1.90%
Gold and Precious Metals Fund (USERX) 26.88% 22.53% 27.23% 1.70%
S&P 500 Index 9.94% 0.98% 0.81% N/A
Total Annualized Returns as of September 30, 2010
Fund One-Year Five-Year Ten-Year Gross Expense Ratio
Global Resources Fund (PSPFX)





World Precious Minerals Fund (UNWPX) 43.34% 18.66% 25.67% 1.90%
Gold and Precious Metals Fund (USERX) 31.05% 20.72% 24.99% 1.70%
S&P 500 Index 10.16% 0.64% (0.43%) N/A

Performance data quoted above is historical. Past performance is no guarantee of future results. Results reflect the reinvestment of dividends and other earnings.  Current performance may be higher or lower than the performance data quoted. The principal value and investment return of an investment will fluctuate so that your shares, when redeemed, may be worth more or less than their original cost. Performance does not include the effect of any direct fees described in the fund’s prospectus (e.g., short-term trading fees of 0.50%) which, if applicable, would lower your total returns.  Obtain performance data current to the most recent month-end at www.usfunds.com or 1-800-US-FUNDS. High double-digit returns are attributable, in part, to unusually favorable market conditions and may not be repeated or consistently achieved in the future.

About U.S. Global Investors, Inc.

U.S. Global Investors, Inc. (www.usfunds.com) is an SEC- registered investment adviser that focuses on profitable niche markets around the world. Headquartered in San Antonio, Texas, the company provides advisory, transfer agency and other services to U.S. Global Investors Funds and other clients.

With an average of $2.45 billion in assets under management in the quarter ended September 30, 2010, U.S. Global Investors manages domestic and offshore funds offering a variety of investment options, from emerging markets to money markets. In general, trends in assets under management are the critical drivers of revenue and earnings.

U.S. Global Investors routinely posts corporate filings and other important information on the company’s website, www.usfunds.com.

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.

Foreign and emerging market investing involves special risks such as currency fluctuation and less public disclosure, as well as economic and political risk. Because the Global Resources Fund concentrates its investments in a specific industry, the fund may be subject to greater risks and fluctuations than a portfolio representing a broader range of industries.

Gold, precious metals, and precious minerals funds may be susceptible to adverse economic, political or regulatory developments due to concentrating in a single theme. The prices of gold, precious metals, and precious minerals are subject to substantial price fluctuations over short periods of time and may be affected by unpredicted international monetary and political policies. We suggest investing no more than 5% to 10% of your portfolio in these sectors.