Two natural resources funds and a municipal bond fund managed by U.S. Global Investors Inc. (Nasdaq: GROW) have been awarded Performance Achievement Certificates by the prominent fund rating firm Lipper Inc. for being the top-performing funds in their respective sectors in 2007.
U.S. Global’s World Precious Minerals Fund (UNWPX) won the Lipper performance certificate in the Gold-Oriented Fund category for the five-year period ended December 31, 2007. The fund was ranked #1 of 44 funds in its category.
The Global Resources Fund (PSPFX) won the performance certificate in the Natural Resources Fund category for the five years ended December 31, 2007. The fund was ranked #1 of 75 funds in its category.
The Near-Term Tax Free Fund (NEARX) won the performance certificate in the Short-Intermediate Municipal Debt Fund category for the one-year period ended December 31, 2007. The fund was ranked #1 of 44 funds in its category.
Lipper's Performance Achievement Certificates are awarded to funds with returns that topped their Lipper category over one or more time periods: one, five, 10 or 15-year (depending on universe). Certificates are awarded for all Lipper Classifications and for the overall fund universe. Past performance does not guarantee future results.
Frank Holmes, CEO and chief investment officer at U.S. Global, says the Performance Achievement Certificates are a reflection of the company’s strict investment processes.
“Our proprietary approach using both fundamental and statistical analysis has enabled our funds to generate significant alpha versus both benchmark ETF indexes and other similar asset classes,” Mr. Holmes says. “Most of the credit goes to our investment culture -- we have had this long-term success using a team approach to investing, rather than one that relies on individual superstars. We can’t control the markets, but we can control how we execute these investment processes.
“It’s also important to point out that we’ve achieved this outstanding performance without any leverage in our funds, and we have no exposure to the subprime debt securities that are creating so much turmoil in financial markets,” Mr. Holmes continues. “U.S. Global Investors as a company also has no debt, but it is being tarnished by this derivatives mess that’s affecting the financial sector as a whole.”
|Total Annualized Returns as of December 31, 2007|
|Fund||1-Year||5-Year||10-Year||Gross Expense Ratio||Capped Expense Ratio|
|World Precious Minerals (UNWPX)||23.02%||36.66%||15.65%||1.01%||N/A|
|Global Resources (PSPFX)||39.95%||45.95%||18.05%||0.96%||N/A|
|Near-Term Tax Free (NEARX)||4.53%||2.68%||3.66%||1.77%||0.45%|
Gross expense ratio as stated in the most recent prospectus. The Adviser for the Near-Term Tax Free Fund has contractually limited total fund operating expenses to not exceed 0.45% through November 1, 2008, or until such later date as the Adviser determines. 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, if applicable, of up to 0.50%) which, if applicable, would lower your total returns. High double-digit returns are attributable, in part, to unusually favorable market conditions and may not be repeated or consistently achieved in the future. Obtain performance data current to the most recent month-end at www.usfunds.com or 1-800-US-FUNDS, option 5.
About U.S. Global Investors, Inc.
U.S. Global Investors, Inc. (www.usfunds.com) is a 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 U.S. Global Accolade Funds and other clients.
With an average of $5.63 billion in assets under management for the quarter ended December 31, 2007, 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.
Please consider carefully the 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.
All opinions expressed and data provided are subject to change without notice. Some of these opinions may not be appropriate to every investor.
Foreign and emerging market investing involves special risks such as currency fluctuation and less public disclosure, as well as economic and political risk. Gold funds may be susceptible to adverse economic, political or regulatory developments due to concentrating in a single theme. The price of gold is 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 gold or gold stocks. 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. Bond funds are subject to interest-rate risk; their value declines as interest rates rise.
Although Lipper makes reasonable efforts to ensure the accuracy and reliability of the data contained herein, the accuracy is not guaranteed by Lipper. Users acknowledge that they have not relied upon any warranty, condition, guarantee, or representation made by Lipper. Any use of the data for analyzing, managing, or trading financial instruments is at the user's own risk. This is not an offer to buy or sell securities.
Terry Badger, 210-308-1221
Director of Communications