MUHLENKAMP FUND (MUHLX)

FAQs

FAQs

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1. What type of accounts do you offer?

Individual, Joint, Tenant, UGMA/UTMA, Trust, Corporate, IRA, Spousal IRA, Roth IRA, SEP IRA, SIMPLE IRA, and Coverdell Education Savings Accounts.

2. What is the minimum for an initial investment in the Muhlenkamp Fund?

$1,500 for all account types. $200 if you enroll in the Automatic Investment Plan.*
*A program of regular investing can not assure a profit or protect against a loss in a declining market.

3. What is the minimum for a subsequent investment in the Muhlenkamp Fund?

The minimum is $50 for all account types, and may be submitted at any time. This is the minimum subsequent investment whether you invest periodically using the Automatic Investment Plan*, send a check in the mail, wire money, etc.
*A program of regular investing can not assure a profit or protect against a loss in a declining market.

4. Must I be a resident of the United States to own shares?

Shares of our 100% no-load mutual fund are offered only for sale in the United States and the information on this web site is intended only for persons in the United States. While you may obtain prospectuses and other information about our Fund at this web site, our Fund is not registered for sale in any other country. Nothing on this web site should be considered a solicitation to buy or an offer to sell shares of our 100% no-load mutual fund in any jurisdiction where the offer or solicitation would be unlawful under the securities laws of such jurisdiction.

5. Where do I mail purchases, redemption requests, account applications, or a changes of address?

First Class Mail:
Muhlenkamp Fund
U.S. Bank Global Fund Services
P.O. Box 701
Milwaukee WI 53201-0701

Overnight Mail:
Muhlenkamp Fund
U.S. Bank Global Fund Services
615 E Michigan Street
Milwaukee, WI 53202

6. Can I purchase shares over the telephone/online?

Yes. You must first enroll by completing the Telephone/Online Options section of a new account application. If you have an existing account, complete the purchase area of an Account Options Form. The Fund will electronically transfer the specified dollar amount from your bank account through the Electronic Funds Transfer (EFT) program.

7. Can I check my account balance and last transaction over the telephone or online?

The Fund’s automated telephone system can be accessed at (800)860-3863. Online account access is available on our website, www.muhlenkamp.com under “Our Mutual Fund” section (CLICK HERE to go directly to Account Access). Both methods offer 24-hour access to account information, including balances and last transactions. The daily Net Asset Value (NAV) per share of the Fund is posted each business day by 6 p.m. EST.

8. How can I wire money to my account?

Provide your bank with money and the following information:

Wire to:                 U.S. Bank, N. A.
ABA Number:      075000022
Credit:                   U.S. Bancorp Fund Services, LLC
Account:               112-952-137
Further Credit:    Muhlenkamp Fund
(Shareholder Name/Account Registration)
(Shareholder Account Number)

9. Can I query my account online?

Online Account Access is available to Muhlenkamp Fund shareholders. You can enroll by selecting “Account Access” at  www.muhlenkamp.com (CLICK HERE to go directly to Account Access).

Please contact our Shareholder Services Team at U.S. Bank Global Fund Services if you need help gaining access. They can be reached at (800) 860-3863 option 0 between the hours of 8:00 a.m.–7:00 p.m. CST Monday through Friday.

10. What are your fees, expenses, and loads?
  • We are a 100% no-load mutual fund. We do not charge any front-end or back-end sales fees, nor do we charge any 12b-1 fees.
  • As an investor, you pay certain fees and expenses in connection with the Fund, which are described below. Shareholder fees are paid directly from your investment. Annual Fund operating expenses are paid out of the Fund assets, so their effect is included in the Fund’s share price.

SHAREHOLDER FEES* (fees paid directly from your investment)

  • Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price) NONE
  • Redemption Fees (as a percentage of amount redeemed) NONE
  • Maximum Sales Charge (Load) Imposed on Reinvested Dividends and other Distributions NONE
  • Maximum Deferred Sales Charge (Load) NONE

ANNUAL FUND OPERATING EXPENSES (expenses that you pay each year as a percentage of the value of your investment)

  • Management Fees 1.00%
  • Distribution and Service (Rule 12b-1) Fees NONE
  • Other Expenses 0.26%
  • Acquired Fund Fees and Expenses** 0.04%
  • Total Annual Fund Operating Expenses 1.30%
  • Less: Fee Waiver*** (0.16%)
  • Total Annual Fund Operating Expenses After Fee Waiver**** 1.14%

*Investors may be charged an annual account maintenance fee if their account falls below the established minimums. Investors may be charged a fee by their broker or agent if they effect transactions through a broker or agent. There are certain annual charges and other fees associated with retirement accounts offered by the Fund.
**The Total Annual Fund Operating Expenses for the Fund do not correlate to the ratio of operating expenses to average net assets in the “Financial Highlights” section of the Fund’s Statutory Prospectus, which reflects the operating expenses of the Fund and does not include acquired fund fees and expenses (“AFFE”).
***Muhlenkamp & Company, Inc. (the “Adviser”) has contractually agreed to waive its management fees, and may reimburse the Fund for its operating expenses, in order to ensure that Total Annual Fund Operating Expenses (excluding AFFE, leverage/borrowing interest, interest expense, taxes, brokerage commissions, and extraordinary expenses) do not exceed 1.10% of the Fund’s average daily net assets. Fees waived and expenses paid by the Adviser may be recouped by the Adviser for a period of three fiscal years following the fiscal year during which such fee waiver and expense payment was made, if such recoupment can be achieved without exceeding the expense limit in effect at the time the fee waiver and expense payment occurred and the expense limit in place at the time of recoupment. The Operating Expenses Limitation Agreement is indefinite, but cannot be terminated through at least April 30, 2023. Thereafter, the agreement may be terminated at any time upon 60 days’ written notice by the Trust’s Board of Trustees (the “Board”) or the Adviser, with the consent of the Board.
****Total Annual Fund Operating Expenses After Fee Waiver have been restated to reflect the current Operating Expenses Limitation Agreement.

TRANSACTION FEES:

  • Federal Wire Fee: $15 per wire.
  • Traditional and Roth IRA annual maintenance fee per account: $15.00 for accounts less than $50,000 (not to exceed $30 per social security number).
  • Transfer to successor trustee: $25.00.
  • Distribution to IRA participant (exclusive of systematic withdrawal plan): $25.00.
  • Refund of excess contribution: $25.00.
  • Reconversion/Recharacterization: $25.00.
  • Investors may be charged an annual account maintenance fee if their account falls below the established minimums. By November 30th of each year, all accounts must have net investments (purchases less redemptions) totaling $1,500 or more, an account value greater than $1,500, or be enrolled in the Automatic Investment Program. Accounts that do not meet one of these three criterion will be charged a $15 fee, paid to the Fund to lower expenses. The Fund will check accounts and charge this fee annually.
  • Investors may be charged a fee by their broker if they effect transactions through a broker or agent.
11. How do I redeem shares from my account?

Redemption requests may be made by: telephone, by calling the Fund at (800) 860-3863; online, by visiting our website at www.muhlenkamp.com and select “Account Access”  (CLICK HERE to go directly to Account Access); or in writing, by mailing instructions to:

Muhlenkamp Fund
c/o U.S. Bank Global Fund Services
615 East Michigan Street, 3rd Floor
Milwaukee, WI 53202

The letter should include the shareholder(s) original signature, the account number, Social Security number, and either a dollar amount or share amount to be redeemed. Shares are sold at the net asset value next determined after your request is received in good order by the Muhlenkamp Fund. There is no fee to redeem shares, unless you are redeeming shares from your IRA account and you are not using the System Withdrawal Plan, then there is a $25.00 fee for each redemption.

12. How quickly can I receive the proceeds from my redemption request?

Shares are sold at the net asset value next determined after your request is received in good order by the Muhlenkamp Fund. Checks are generally mailed to your address of record within two business days of receiving your request.

The Fund offers an address for express/overnight letters and will overnight the redemption check if requested. For this service we subtract $15 from the proceeds of the redemption.

If you are participating in the Electronic Funds Transfer (EFT) Program you may request that the redemption proceeds be sent electronically to your designated bank account.

13. How do I contact the Fund with questions about my account, for a prospectus, or applications?

You can reach us toll free at (800)860-3863.

14. What is the Fund's Symbol

MUHLX

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15. What is the Cusip number?

5 6 1 6 6 Y 4 3 8

16. How long has the Fund been in operation?

The Fund’s inception date is November 1, 1988.

17. What is the portfolio turnover rate?

Historically, the turnover rate has averaged less than 30% annually. See the current annual report for the year-by-year figures.

18. What are your top twenty holdings?
19. When has the Fund paid dividends?
20. What kind of a fund are you?

The Fund is a Total Return fund that has a Value orientation. The Fund attempts to maximize the total return to its shareholders, while limiting downside risk, and limiting and deferring taxes. This is achieved by primarily buying the common stock of highly profitable companies that are selling at value prices, and holding them for a period of 3-5 years on average. Fixed-income securities are used as stock substitutes when, and if, stocks are overpriced and are not likely to produce desired returns.

21. To what extent do you use cash?

We use cash in two ways:

  • As a “parking place” between the sale of one position and the purchase of another.
  • As a portfolio hedge when we see risk in the marketplace.
22. Do you buy foreign securities?

We buy foreign securities, but only when they meet our criteria and they look better than their domestic counterparts.

23. How do you conduct your research?

We begin with various databases, looking for companies with good return on equity (ROE) and modest price-to-earnings (P/E) ratios. As a working definition, ROE is the rate of return of earnings based on the equity capital. It has averaged roughly 14% since WW II, so that becomes our starting point. If the numbers look good, we dig deeper by checking financial statements and annual reports. If satisfied, we call the company’s management. Our three favorite questions are:

  • Are there analysts on Wall Street who do a good job covering your company? (That saves us time because we can work off their efforts.)
  • What metrics do you use to judge your company’s performance? (Some use ROE, some use Discounted Cash Flow, others use Economic Value Added, and so forth; all those are valid, but we want to know what they use.)
  • At what point on that metric do your executives or employees start earning a bonus? We want to know what they’re trying to accomplish with shareholder money. (Sometimes they set their hurdles too low, in which case we’re not interested. Our job is to figure out whether the company will reach its goals and figure out what we’re willing to pay for that.)

Finally, we talk with the company’s customers. If the customers are happy, the company is doing something right.

24. Have you changed your style over time?

No, our style hasn’t changed in over thirty years. We define style as good investments at good prices. At various times this has included bonds, foreign stocks, real estate and what some people call “growth” stocks. Some people may include size (i.e. market capitalization) in their definition of style. We think size is irrelevant.

25. Is your investment style value-oriented or growth-oriented?

Both. Growth is part of the value calculation. But we consider profitability (return on shareholder equity) more important than growth. We then try to get that profitability at a value price.

26. Why is ROE so important to you?

We’ve done studies and concluded that over time prices revert to values of companies –and values of companies are heavily determined by their return on equity (ROE). Plus, ROE is relatively stable –and useable across industry lines. For example, if we look only at margins, the margins in a grocery store are a whole lot different than the margins in a steel business because the turnover is so different. When you use ROE, the numbers allow comparisons that are valid across a broad list of companies and industries.