5. Act as underwriter except to the
extent that, in connection with the disposition of portfolio securities, it may be deemed to be an underwriter under certain federal securities laws.
The Fund may make loans, including
loans of assets of the Fund, repurchase agreements, trade claims, loan participations or similar investments, or as permitted by the 1940 Act Laws, Interpretations and Exemptions. The acquisition of bonds, debentures,
other debt securities or instruments, or participations or other interests therein and investments in government obligations, commercial paper, certificates of deposit, bankers' acceptances or instruments similar to
any of the foregoing will not be considered the making of a loan, and is permitted if consistent with the Fund's investment objectives.
For purposes of Investment
Restriction 4, each Fund relies on the Global Industry Classification System (GICS) published by S&P in determining industry classification. A Fund's reliance on this classification system is not a fundamental
policy of the Fund and, therefore, can be changed without shareholder approval.
Whenever any
fundamental investment policy or investment restriction states a maximum percentage of the Fund's assets, it is intended that, if the percentage limitation is met at the time the investment is made, a later change in
percentage resulting from changing total asset values will not be considered a violation of such policy. However, if the Fund's asset coverage for borrowings permitted by Investment Restriction 1 falls below 300%, the
Fund is required to reduce the amount of its borrowings so that it meets the 300% asset coverage threshold within three days (not including Sundays and holidays).
Presently, under the 1940 Act Laws,
Interpretations and Exemptions, the Fund's borrowings are limited to no more than 33
1
∕
3
% of the Fund's total assets. Presently, under the 1940 Act Laws, Interpretations and Exemptions, the Fund may make loans, including loans of assets of the Fund,
totaling no more than 33
1
∕
3
% of the Fund's total assets.
Although not fundamental, the Funds
have the following additional investment restrictions.
The Global Real Estate Fund may
not:
1. Make investments for the purpose
of exercising control or management.
2. Invest in securities of other
investment companies, except as permitted under the 1940 Act, and the rules thereunder, as amended from time to time, or by any exemptive relief granted by the SEC. (Currently, under the 1940 Act, a Fund may hold not
more than 3% of the outstanding voting securities of any one investment company, may not have invested more than 5% of its total assets in any one investment company and may not have invested more than 10% of its
total assets in securities of one or more investment companies.
The US Real Estate Fund may not:
1. Invest in other registered
open-end management investment companies and registered unit investment trusts in reliance upon the provisions of subparagraphs (G) or (F) of Section 12(d)(1) of the 1940 Act. The foregoing investment policy does not
restrict the Fund from (i) acquiring securities of other registered investment companies in connection with a merger, consolidation, reorganization, or acquisition of assets, or (ii) purchasing the securities of
registered investment companies, to the extent otherwise permissible under Section 12(d)(1) of the 1940 Act.
The Global Real Estate Fund will
provide 60 days' prior written notice to shareholders of a change in the Fund's non-fundamental policy of investing at least 80% of its investable assets in equity-related securities of real estate companies.
The US Real Estate Fund will
provide 60 days' prior written notice to shareholders of a change in the Fund's non-fundamental policy of investing at least 80% of its investable assets in equity-related securities of real estate companies operating
in the United States.
INFORMATION ABOUT BOARD MEMBERS
AND OFFICERS
Information about Board Members and
Officers of the Funds is set forth below. Board Members who are not deemed to be “interested persons” of the Funds, as defined in the 1940 Act, are referred to as “Independent Board Members.”
Board Members who are deemed to be “interested persons” of the Funds are referred to as “Interested Board Members.” The Board Members are responsible for the overall supervision of the
operations of the Funds and perform the various duties imposed on the directors of investment companies by the 1940 Act. The Board in turn elects the Officers, who are responsible for administering the day-to-day
operations of the Funds.