are engaged in or related to the infrastructure group of
industries (“infrastructure companies”). The Fund will invest primarily in the
common stock of infrastructure companies.
An issuer is engaged in or related to the infrastructure group of industries if it is involved in the
ownership, development, construction, renovation, financing, management, sale or operation of infrastructure assets, or that provide the services and raw materials necessary for the construction and maintenance of
infrastructure assets. Infrastructure assets include, but are not limited to, utilities, energy, transportation, real estate, media, telecommunications and capital goods.
The Fund will invest in the securities of infrastructure companies that are economically tied to at least three countries, including the United States. Although the Fund will
invest, under normal circumstances, primarily in the securities of infrastructure companies
that are economically tied to developed countries (namely developed countries in North
America and Europe), the Fund may also invest in the securities of infrastructure companies that are economically tied to countries with emerging markets or economies (“emerging countries”).
The Fund may invest without restriction as to issuer capitalization
(including small- and mid-capitalization companies). A portion of the Fund’s securities
are denominated in foreign currencies and held outside the United States.
The Fund may invest in real estate investment trusts (“REITs”). The
Fund may also invest up to 20% of its total assets (measured at time of purchase) in master
limited partnerships (“MLPs”) that are taxed as partnerships and up to 20% of its Net Assets (measured at time of purchase) in issuers that are not infrastructure companies.
Exchange-traded funds (“ETFs”) that provide exposure to infrastructure
companies and derivative instruments, such as futures, that have similar economic exposures
to infrastructure companies will be counted towards the Fund’s 80% policy discussed
above.
The Fund’s investment strategy combines bottom-up
company analysis with fundamental real asset research. The Investment Adviser may integrate
environmental, social and governance (“ESG”) factors alongside traditional fundamental factors as part of its fundamental research process. No one factor or consideration is determinative in the stock selection process. The
Investment Adviser may decide to sell a position for various reasons, including valuation and price considerations or for risk management purposes.
The Fund concentrates its investments in the securities of issuers in the infrastructure group of industries.
THE FUND IS “NON-DIVERSIFIED” UNDER THE INVESTMENT COMPANY ACT OF 1940, AS AMENDED (“INVESTMENT COMPANY ACT”), AND MAY INVEST A LARGER PERCENTAGE
OF ITS ASSETS IN FEWER ISSUERS THAN DIVERSIFIED MUTUAL FUNDS.
The Fund’s benchmark index is the Dow Jones Brookfield Global Infrastructure Index (Net, USD, Unhedged).
Principal Risks of the Fund |
Loss of money is a risk of investing in the Fund. An investment in the Fund is not a bank deposit and is not insured or
guaranteed by the Federal Deposit Insurance Corporation (“FDIC”) or any government agency. The Fund should not be relied upon as a complete investment program. There can be no assurance that the Fund
will achieve its investment objective. Investments in the Fund
involve substantial risks which prospective investors should consider
carefully before investing. The Fund's principal risks are presented below in alphabetical order, and not in the order of importance or
potential exposure.
Dividend-Paying Investments
Risk. The Fund’s investments in dividend-paying securities could cause the Fund to underperform other funds. Securities that pay
dividends, as a group, can fall out of favor with the market, causing such securities to underperform securities that do not pay dividends. Depending upon market conditions and political and legislative responses to such
conditions, dividend-paying securities that meet the Fund’s investment criteria may not be widely available and/or may be highly concentrated in only a few market sectors. In addition, issuers that have paid
regular dividends or distributions to shareholders may not continue to do so at the same level or at all in the future. This may limit the ability of the Fund to produce current income.
Foreign and Emerging Countries Risk. Foreign securities may be subject to risk of loss because of more or less foreign government regulation; less public information;
less stringent investor protections; less stringent accounting, corporate governance, financial reporting and disclosure standards; and less economic, political and social stability in the countries in which the Fund
invests. The imposition of sanctions, exchange controls (including repatriation restrictions), confiscations, trade restrictions (including tariffs) and other government restrictions by the United States and other
governments, or from problems in share registration, settlement or custody, may also result in losses. The type and severity of sanctions and other similar measures, including counter sanctions and other retaliatory
actions, that may be imposed could vary broadly in scope, and their impact is impossible to predict. For example, the imposition of sanctions and other similar measures could, among other things, cause a decline in the
value and/or liquidity of securities issued by the sanctioned country or companies located in or economically tied to the sanctioned country and increase market volatility and disruption in the
sanctioned country and throughout the world. Sanctions and other similar measures could limit or prevent the Fund from buying and selling securities (in the sanctioned country and other markets), significantly delay
or prevent the settlement of securities transactions, and significantly impact the Fund’s liquidity and performance. Foreign risk also involves the risk of negative foreign currency exchange rate fluctuations,
which may cause the value of securities denominated in such foreign currency (or other instruments through which the Fund has exposure to foreign currencies) to decline in value. Currency exchange rates
may fluctuate significantly over short periods of time. These risks are more pronounced in connection with the Fund’s investments in securities of issuers located in, or otherwise economically tied to, emerging
countries.
Industry Concentration Risk. The Fund concentrates its investments in securities of companies in the infrastructure group of
industries. This concentration subjects the Fund to greater risk of loss as a result of
adverse economic, business, political, environmental or other developments in such
industries than if its investments were diversified across different
industries.
Infrastructure
Company Risk. Infrastructure companies are susceptible to various factors that may negatively impact their businesses or operations, including costs associated
with compliance with and changes in environmental, governmental and other regulations, rising
interest costs in connection with capital construction and improvement programs, government
budgetary constraints that impact publicly funded projects, the effects of general economic conditions throughout the world, surplus capacity and depletion concerns, increased competition from other providers of
services, uncertainties regarding the availability of fuel and other natural resources at reasonable prices, the effects of energy conservation policies, unfavorable tax laws or