December 20, 2012
IMPORTANT ANNOUNCEMENT: REVISED DATES FOR FPA FUND DISTRIBUTIONS
Please note that this update supersedes the notices sent earlier. The FPA Fund distributions will still be declared on December 31, 2012; however, all the other dates have been moved earlier as follows:
Record Date December 31, 2012
Ex-Date January 2, 2013
Payable Date January 3, 2013
We apologize for any inconvenience this may have created.
Many of the companies in the FPA Fund portfolios are paying disproportionately large dividends this year due to higher tax rates next year. Because of these large dividends the Funds are receiving, we will not be able to accurately estimate the Funds’ ordinary income until closer to the end of the year. Unfortunately, this has caused us to delay the timing of the year-end distributions on the FPA Funds in order for us to be certain that no underpayment penalty, in the form of an excise tax, is imposed on the Funds. Therefore, we will now be declaring the dividends on December 31, 2012, with a record date also of December 31, 2012, ex-date of January 2, 2013, and payable date of January 3, 2013. Please note, the distribution will be reflected in the closing NAV on ex-date, January 2, 2013.
Given the uncertainty of the amount of dividends that the FPA Funds will receive, as companies make distributions up until December 31, 2012, we are unable to provide any additional distribution estimates prior to the declaration date.
We do not expect any impact on the distribution rates for FPA New Income or FPA International Value Fund however, in order to maintain operational consistency and take advantage of administrative savings to shareholders, all of the FPA Funds will use the same distribution dates.
It is important to remember that the IRS Code requires that these dividends are taxable to shareholders in 2012 even though they are paid in 2013. These dividends will be reflected in the Form 1099 shareholders will receive in early 2013.
Please email firstname.lastname@example.org or call 310 9965485 with any questions or concerns.
Thank you for your continued support.
Investing in a mutual fund involves risks, including the possible loss of principal. The Prospectus details the Fund’s objective and policies, sales charges, and other matters of interest to the prospective investor. Please read this Prospectus carefully before investing. The Prospectus may be obtained by visiting the website at www.fpafunds.com, by email at email@example.com, toll-free by calling 1-800-982-4372 or by contacting the Fund in writing.
FPA Funds are distributed by UMB Distribution Services, LLC