Brandes Institutional Emerging Markets Fund - Overview
Investment Objective
The Fund seeks to achieve capital appreciation.
Principal Investment Strategies of the Fund
The Emerging Markets Fund normally invests at least 80% of its net assets in equity securities of companies located in emerging markets. Equity securities include common and preferred stocks, warrants, convertible securities and shares of exchange traded funds ("ETFs"). ETFs are investment companies that invest in portfolios of securities designed to track particular market segments or indices, the shares of which are bought and sold on securities exchanges. Emerging markets include some or all of the countries located in each of the following regions: Asia, Europe, Central and South America, Africa and the Middle East. The Advisor considers an emerging market country to be any country which is in or has been in the Emerging Market Database of Standard and Poor's or the Morgan Stanley Capital International Emerging Markets Index ("MSCI EM Index") or those countries which generally are considered to be emerging countries by the international financial community.
Principal Risks of Investing in the Fund
General Stock Market Risks. The Fund's principal risks are those of investing in the stock market. The values of the Fund's investments fluctuate in response to the activities of individual companies and general stock market and economic conditions. That means they may experience sudden, unpredictable declines in value, as well as periods of poor performance. Because stock values fluctuate, when you sell your investment you may receive more or less money than you originally invested.
Foreign Securities. Foreign investments involve additional risks, including currency fluctuations, political instability, differences in financial reporting standards and less stringent regulation of securities markets. Emerging market countries involve greater risks, such as immature economic structures, national policies restricting investments by foreigners, and different legal systems.
Small and Medium-Cap Risk. Investments in small and medium capitalization companies tend to have limited liquidity and greater price volatility than large capitalization companies.
ETF Risk. The fund may invest in ETFs which are subject to additional risks that do not apply to conventional mutual funds, including the risks that the market price of an ETF's shares may trade at a discount to its net asset value ("NAV"), an active secondary trading market may not develop or be maintained, or trading may be halted by the exchange in which they trade, which may impact a Fund's ability to sell its shares.
The Fund may be appropriate for investors who are willing to ride out short-term stock market fluctuations in pursuit of potentially above-average long-term returns. By itself, the Emerging Markets Fund does not constitute a complete investment plan.
Fees and Expenses
This table describes the fees and expenses that you may pay if you buy and hold shares of the Fund.
| Shareholder Fees (fees paid directly from your investment) |
Class I | Class S |
|---|---|---|
| Maximum Sales Charge (Load) Imposed on Purchases | None | None |
| Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None |
| Maximum Contingent Deferred Sales Charge | None | None |
| Redemption Fee | None | None |
| Annual Fund Operating Expenses1 (expenses that you pay each year as a percentage of the value of your investment) |
||
| Management Fees | 0.95% | 0.95% |
| Distribution (rule 12b-1) Fees | None | 0.25% |
| Other Expenses2 | 0.38% | 0.38% |
| Total Annual Fund Operating Expenses | 1.33% | 1.58% |
| Less Fee Waiver and/or Expense Reimbursement | -0.21% | -0.21% |
| Total Annual Fund Operating Expenses After Fee Waiver and /or Expense Reimbursement | 1.12% | 1.37% |
1. The Advisor has contractually agreed to limit the Emerging Markets Fund's Class I and Class S annual operating expenses, including repayment of previous waivers, to 1.12% for Class I and 1.37% for Class S as percentages of the Fund's average daily net assets through January 31, 2012 (the "Expense Caps"). The Expense Caps may be terminated at any time by the Board of Trustees upon 60 days notice to the Advisor, or by the Advisor with the consent of the Board.
2. Other Expenses are based on estimated customary Fund expenses for the current fiscal year.
MSCI Emerging Markets Index - The MSCI Emerging Markets Index with gross dividends is an unmanaged, free float-adjusted market capitalization weighted index designed to measure equity market performance in emerging markets throughout the world. This index includes dividends and distributions, but does not reflect fees, brokerage commissions, withholding taxes, or other expenses of investing. One cannot invest directly in an index.
Please refer to the Prospectus for important information about the investment company including investment objectives, risks, charges and expenses. To obtain a hard copy Prospectus, please call the Mutual Fund Group at 800.395.3807.