Important Investor Information
Because investor situations and objectives vary this information is not intended to indicate that an investment is appropriate for or is being recommendation to any individual investor. This is for informational purposes only, does not constitute individual investment advice, and should not be relied upon as tax or legal advice. Please consult the appropriate professional regarding your individual circumstance. IRC Section 1031 and IRC Section 721 are complex tax concepts; therefore, you should consult your legal or tax professional regarding the specifics of your individual situation. Mutual Funds and Exchange Traded Funds (ETF’s) are sold by prospectus. Please consider the investment objectives, risks, charges, and expenses carefully before investing. The prospectus, which contains this and other information about the investment company, can be obtained from the Fund Company or your financial professional. Be sure to read the prospectus carefully before deciding whether to invest. A REIT is a security that sells like a stock on the major exchanges and invests in real estate directly, either through properties or mortgages. REITs receive special tax considerations and typically offer investors high yields, as well as a highly liquid method of investing in real estate. There are risks associated with these types of investments and include but are not limited to the following: Typically, no secondary market exists for the security listed above. Potential difficulty discerning between routine interest payments and principal repayment. Redemption price of a REIT may be worth more or less than the original price paid. Value of the shares in the trust will fluctuate with the portfolio of underlying real estate. Involves risks such as refinancing in the real estate industry, interest rates, availability of mortgage funds, operating expenses, cost of insurance, lease terminations, potential economic and regulatory changes. This is neither an offer to sell nor a solicitation or an offer to buy the securities described herein. The offering is made only by the Prospectus. Non-traded REITs are not listed on public exchanges but must still be registered with the Securities and Exchange Commission and are required to make regular, periodic regulatory filings. Like exchange-traded REITs, non-traded REITs are subject to returning at least 90% of taxable income to shareholders. Non-traded REITs are illiquid for long periods of time, may have front-end fees as much as 15%, might include unknown types of properties early and the initial property acquisitions might be made through a blind pool. Early redemption of a non-traded REIT can result in high fees that can lower the total return Potential distributions are not guaranteed and may exceed the REIT operating cash flow. The board of directors may decide whether to pay distribution and what amount will be given. When a non-traded REIT is just getting started, its earliest distributions might come entirely from the capital the investors put into it. The value of the investment made into such a REIT could decrease or become worthless at the time the program is liquidated.
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