The SMI Dynamic Allocation Fund (SMIDX) uses an investing strategy called Enhanced Dynamic Asset Allocation (EDAA). Generally, the Fund will be invested in varying amounts of each of the six asset classes shown below. The amounts allocated to each based on several trend-following mathematical techniques.

The six asset classes utilized within DAA are:

• US Equities
• International Equities
• Fixed Income Securities
• Commodities
• Alternative Investments
• Cash (and cash equivalents)

Markets periodically experience times of inflation, deflation, economic growth and recession. Each of these asset classes will typically respond quite differently to varying market conditions. Our research indicates that great value can be added by adjusting portfolio exposure between the six asset classes as these changes in market environments become apparent. In other words, we try to be in the right place at the right time — and possibly more importantly — to not be in the wrong place at the wrong time. This strategy involves monitoring six broad asset classes and varying the weighting among them using several trend-following mathematical techniques.

Once the specific asset classes are determined, we achieve the desired exposure to each by using ETFs and Mutual Funds.

Monthly Returns as of

Quarterly Returns as of

All performance figures are net of fees, and therefore the following fees have already been taken out:

Total/Gross Expense Ratio: 1.56% as of 7/12/2024 (includes expenses of underlying funds)

Adjusted Expense Ratio: 1.22% as of 7/12/2024 (excludes expenses of underlying funds)

¹Mixed Benchmark consists of 60% S&P 500 and 40% Bloomberg U.S. Aggregate Bond Index performance.

*SMIDX inception date was

The performance data quoted represents past performance, and past performance is not a guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance information quoted. To obtain performance information current to the most recent month-end, please call 1-877-SMI-FUND (877-764-3863). Performance is calculated after fees and includes the reinvestment of income dividends and capital gain distributions, if any. The performance shown does not reflect the deduction of taxes that a shareholder might pay on any of the Funds' distributions or the redemption of the Funds' shares.

The S&P 500 index is an unmanaged index commonly used to measure the performance of U.S. stocks. The Bloomberg U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, MBS (agency fixed-rate and hybrid ARM passthroughs), ABS, and CMBS. You cannot invest directly in an index.

Explanation of mutual fund distributions

All mutual funds must periodically distribute any profits they’ve earned to investors. The law requires a fund to pass substantially all of the net gains from the sale of securities, as well as earned dividends and interest from securities, to its shareholders. These distributions cause a taxable event for investors holding their shares in a taxable account. Those investing through tax-deferred retirement accounts do not experience a taxable event as a result of a fund’s distributions.

When a fund makes a distribution, the amount is deducted from the fund's Net Asset Value (NAV), so its listed price falls by the amount of the distribution on the Ex-Dividend date. However, it's important to realize that an investor does not lose anything from the distribution. While the fund’s price is reduced as a result of the distribution, the shareholder receives an equal amount of either cash or additional shares (if the distribution is reinvested) when the distribution takes place (Pay Date).

The SMI Funds are "funds of funds" which makes their distributions more difficult to estimate than most funds. In addition to capital gains earned from the sale of its own underlying funds throughout the year, the SMI Funds have to distribute as income any Income or Short-Term Capital Gains received in distributions from the underlying funds held in the portfolios. Estimates have been obtained from most of the underlying funds held in the portfolios, but these estimates are subject to change. As a result, the estimated income distribution above is presented as a projected range.

The SMI Multi-Strategy Fund (SMILX) conveniently combines three popular SMI strategies into one professionally managed fund.

SMILX’s portfolio will typically be invested as follows:

50% Enhanced Dynamic Asset Allocation (EDAA). This strategy involves adjusting investment weightings of six broad asset classes based on quantitative factors. As economic and market conditions change, the Advisor believes that being invested in the right asset classes in the right amount can add significant value. Enhanced Dynamic Asset Allocation is also the strategy used to manage the SMI Dynamic Allocation Fund (SMIDX); please see that fund’s strategy description, above, for more details.

40% Enhanced Stock Upgrading. Enhanced Stock Upgrading involves monitoring thousands of stock funds and continually standing ready to replace lagging funds in each of seven “risk categories” with new funds that have better current performance momentum. Enhanced Stock Upgrading is also the strategy used to manage the Sound Mind Investing Fund (SMIFX); please see that fund’s strategy description, above, for more details.

10% Sector Rotation (SR). Sector Rotation provides exposure to the top performing sector(s) of the stock market via sector mutual funds and sector ETFs. Funds and/or ETFs are purchased based on their recent performance momentum, which is calculated based on multiple short-term performance periods. An Upgrading approach is then used to enforce a strict selling discipline, which determines when to move out of one sector and into another. This 10% Sector Rotation portion of SMILX may be concentrated, meaning that it may be invested in as few as one or two sectors at a time and potentially as few as one underlying mutual fund or ETF.

The Advisor believes these three strategies work together synergistically, allowing for the pursuit of higher performance through an aggressive strategy like Sector Rotation (and to a lesser extent, Enhanced Stock Upgrading) by combining them with the volatility-suppressing characteristics of Enhanced Dynamic Asset Allocation.

The SMI Multi-Strategy Fund provides a convenient way to invest the stock portion of a portfolio across multiple strategies.

Note: The SMI Multi-Strategy Fund is available direct and is also available on most brokerage platforms. For those shareholders that want to make regular purchases of these strategies, the most cost-effective manner is to invest directly with the SMI Funds, rather than incurring transaction fees via the broker platforms. Call 877-SMI-FUND or click the “Open An Account” link at the top of the page to open or transfer an account directly with the SMI Funds.

Monthly Returns as of

Quarterly Returns as of

All performance figures are net of fees, and therefore the following fees have already been taken out:

Total/Gross Expense Ratio: 1.52% as of 7/12/2024 (includes expenses of underlying funds)

Adjusted Expense Ratio: 1.22% as of 7/12/2024 (excludes expenses of underlying funds)

¹Mixed Benchmark consists of 60% S&P 500 and 40% Bloomberg U.S. Aggregate Bond Index performance.

*SMILX inception date was 4/29/2015

The performance data quoted represents past performance, and past performance is not a guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance information quoted. To obtain performance information current to the most recent month-end, please call 1-877-SMI-FUND (877-764-3863). Performance is calculated after fees and includes the reinvestment of income dividends and capital gain distributions, if any. The performance shown does not reflect the deduction of taxes that a shareholder might pay on any of the Funds' distributions or the redemption of the Funds' shares.

The S&P 500 index is an unmanaged index commonly used to measure the performance of U.S. stocks. The Bloomberg U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, MBS (agency fixed-rate and hybrid ARM passthroughs), ABS, and CMBS. You cannot invest directly in an index.

Explanation of mutual fund distributions

All mutual funds must periodically distribute any profits they’ve earned to investors. The law requires a fund to pass substantially all of the net gains from the sale of securities, as well as earned dividends and interest from securities, to its shareholders. These distributions cause a taxable event for investors holding their shares in a taxable account. Those investing through tax-deferred retirement accounts do not experience a taxable event as a result of a fund’s distributions.

When a fund makes a distribution, the amount is deducted from the fund's Net Asset Value (NAV), so its listed price falls by the amount of the distribution on the Ex-Dividend date. However, it's important to realize that an investor does not lose anything from the distribution. While the fund’s price is reduced as a result of the distribution, the shareholder receives an equal amount of either cash or additional shares (if the distribution is reinvested) when the distribution takes place (Pay Date).

The SMI Funds are "funds of funds" which makes their distributions more difficult to estimate than most funds. In addition to capital gains earned from the sale of its own underlying funds throughout the year, the SMI Funds have to distribute as income any Income or Short-Term Capital Gains received in distributions from the underlying funds held in the portfolios. Estimates have been obtained from most of the underlying funds held in the portfolios, but these estimates are subject to change. As a result, the estimated income distribution above is presented as a projected range.

The Sound Mind Investing Fund (SMIFX) follows an investing strategy called Enhanced Stock Upgrading. Enhanced Stock Upgrading is a “momentum” strategy built on the idea that recent performance tends to persist. The strategy normally diversifies across seven stock fund “risk categories”.

Enhanced Stock Upgrading attempts to own what we believe are the best-performing stock mutual funds and ETFs, regardless of what the current market environment may be. The Enhanced Stock Upgrading strategy has been a principal investment strategy recommendation of the Sound Mind Investing newsletter, a separate entity, to thousands of subscribers since it began publication in 1990.

In this strategy we continually monitor and rank thousands of mutual funds and ETFs in order to determine which ones have been performing the best recently. We purchase the underlying funds showing superior performance relative to their peer group.

Enhanced Stock Upgrading is based on research indicating that, as economic conditions change, market leadership rotates among companies of different sizes, and among different investment approaches.

While market conditions are constantly changing, fund managers rarely change their approach. Managers that excel under one set of market conditions are often only average (or worse) under a different set of conditions. Enhanced Stock Upgrading attempts to seek out and buy those funds that are excelling right now. Enhanced Stock Upgrading strives to own funds that reflect the market's continually evolving leadership. While most investment approaches focus on long-term performance as the key to determining which mutual funds will succeed in the future, we believe the opposite is true. Research has shown that funds exhibiting superior performance in recent months tend to continue to perform well in the following months. This approach to selecting new funds, coupled with a strong discipline to replace lagging funds, is the key to the Upgrading strategy. The Enhanced Stock Upgrading strategy typically invests in underlying funds in the following seven “risk categories.”

• Large-Cap Value
• Large-Cap Growth
• Small to Mid-Cap Value
• Small to Mid-Cap Growth
• International (which can be replaced with commodities and domestic ETFs)
• Commodities
• Non-Diversified

These broad category definitions make a wide range of investment opportunities available.

Note that the “2.0” update to the Upgrading strategy enables the managers to shift part of (up to all of) the Upgrading 2.0 portfolio to cash.

Monthly Returns as of

Quarterly Returns as of

All performance figures are net of fees, and therefore the following fees have already been taken out:

Total/Gross Expense Ratio: 1.48% as of 7/12/2024 (includes expenses of underlying funds)

Adjusted Expense Ratio: 1.21% as of 7/12/2024 (excludes expenses of underlying funds)

¹Mixed Benchmark consists of 20% Russell 1000^® Value Index, 20% Russell 1000^® Growth Index, 20% Russell 2000^® Value Index, 20% Russell 2000^® Growth Index, and 20% MSCI EAFE Index performance.

The performance data quoted represents past performance, and past performance is not a guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance information quoted. To obtain performance information current to the most recent month-end, please call 1-877-SMI-FUND (877-764-3863). Performance is calculated after fees and includes the reinvestment of income dividends and capital gain distributions, if any. The performance shown does not reflect the deduction of taxes that a shareholder might pay on any of the Funds' distributions or the redemption of the Funds' shares.

The S&P 500 index is an unmanaged index commonly used to measure the performance of U.S. stocks. The Russell 1000 Value Index, Russell 1000 Growth Index, Russell 2000 Value Index, Russell 2000 Growth Index are unmanaged indexes commonly used to measure the performance of U.S. stocks. The MSCI EAFE Index is an unmatched index commonly used to measure the performance of International stocks. You cannot invest directly in an index.

Explanation of mutual fund distributions

All mutual funds must periodically distribute any profits they’ve earned to investors. The law requires a fund to pass substantially all of the net gains from the sale of securities, as well as earned dividends and interest from securities, to its shareholders. These distributions cause a taxable event for investors holding their shares in a taxable account. Those investing through tax-deferred retirement accounts do not experience a taxable event as a result of a fund’s distributions.

When a fund makes a distribution, the amount is deducted from the fund's Net Asset Value (NAV), so its listed price falls by the amount of the distribution on the Ex-Dividend date. However, it's important to realize that an investor does not lose anything from the distribution. While the fund’s price is reduced as a result of the distribution, the shareholder receives an equal amount of either cash or additional shares (if the distribution is reinvested) when the distribution takes place (Pay Date).

The SMI Funds are "funds of funds" which makes their distributions more difficult to estimate than most funds. In addition to capital gains earned from the sale of its own underlying funds throughout the year, the SMI Funds have to distribute as income any Income or Short-Term Capital Gains received in distributions from the underlying funds held in the portfolios. Estimates have been obtained from most of the underlying funds held in the portfolios, but these estimates are subject to change. As a result, the estimated income distribution above is presented as a projected range.