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Prudent Bear Fund

The funds in the Prudent Bear Fund family are the Prudent Bear and Prudent Global Income funds. Prudent Bear funds are available through most online discount and full service brokers. Or fund investments may be made directly by check or by wire.

The Prudent Bear Fund is a no-load mutual fund specifically designed to benefit from stock market declines as the fund has far more "short" than "long" positions. The fund is structured in this manner because they believes there is significant risk that a "secular bear market" is underway that is a long period of poor stock market performance.

The Prudent Bear Fund takes short positions in individual stocks and market proxies, and purchases put options, to benefit from an anticipated decline in particular stocks or stock market indices. The fund also holds some “long” positions, primarily stocks of gold and silver mining companies. Investors should realize that the fund is not a “market neutral” fund, but will typically have far more "short" than "long" exposure. And because most long positions are gold stocks the long portion of the portfolio is unlikely to closely track the general stock market. The fund manager believes this portfolio of short positions and gold stocks will benefit if the long bear market continues to unfold as we expect.

Prudent Global Income Fund is a no-load mutual fund currently structured to benefit from a falling dollar and rising gold prices. The fund primarily invests in foreign and domestic bonds and gold stocks. The fund is similar to many international bond funds but there are a number of important differences. The Prudent Global Income Fund seeks the highest credit quality primarily by investing in government securities, The Fund seeks to limit the risk of rising interest rates by keeping maturities relatively short (1-3 years) and the Fund maintains an exposure to rising gold prices.

In Fund Investments a significant portion of the fund's assets are typically invested in foreign government securities. The fund may also hold U.S. Treasury Notes and common stocks of gold and silver mining companies and or gold bullion. Debt issues typically have a maturity of 1 to 3 years.

The fund's investments in gold mining companies primarily include those already mining gold as opposed to exploration or "junior companies." The fund generally seeks those gold stocks paying dividends.

Prudent Bear Fund has offered a full range of mutual funds to help meet the investor’s long-term financial goals. Their funds provide with a wide variety of investment styles all focusing on seeking attractive total returns over the term.

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