Mutual Fund Summary Prospectus (497k)
04 March 2014 - 9:00AM
Edgar (US Regulatory)
|
|
|
|
|
|
|
|
|
Share Class & Ticker
|
|
Class A
HUMSX
|
|
Institutional Shares
HMTGX
|
|
|
|
Summary Prospectus April 30, 2013
As Supplemented February 28, 2014
|
Huntington Mortgage Securities Fund
Before you invest, you may want to review the Funds prospectus, which contains
more information about the Fund and its risks. You can find the Funds prospectus and other information about the Fund, including its statement of additional information (SAI) and most recent reports to shareholders, online at
http://www.huntingtonfunds.com/prospectussummary. You can also get this information at no cost by calling 800-253-0412, by emailing a request to info@huntingtonfunds.com, or by asking any financial advisor, bank, or broker-dealer who offers shares
of the Fund. This Summary Prospectus incorporates by reference the Funds entire prospectus and SAI, each dated April 30, 2013, as supplemented September 4, 2013, October 4, 2013, December 6, 2013, and February 28, 2014.
Fund Summary
Investment Objective
|
The Funds investment objective is to seek to achieve current income.
|
Fees and Expenses
This table describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and members
of your household invest, or agree to invest in the future, at least $50,000 in Huntington Funds. More information about these and other discounts is available from your financial professional and in the Sales Charges section at page 208
of this prospectus and Other Purchase Information Sales Charge Reductions/Waivers (Class A Shares) at page 74 of the Funds statement of additional information.
|
|
|
|
|
|
|
|
|
Shareholder Fees
(fees paid directly from your investment)
|
|
Institutional
Shares
|
|
|
Class A
Shares
|
|
Maximum Sales Charge (Load) Imposed on Purchase
(as a percentage of offering price)
|
|
|
None
|
|
|
|
3.75%
|
|
|
|
Maximum Deferred Sales Charge (Load)
(as a percentage of net asset value)
|
|
|
None
|
|
|
|
None
|
|
|
|
Redemption Fee
(as a percentage of amount redeemed, if applicable)
|
|
|
None
|
|
|
|
None
|
|
|
|
|
|
|
|
|
|
|
Annual Fund Operating Expenses
(expenses that you pay each year as a percentage of the
value of your
investment)
|
|
Institutional
Shares
|
|
|
Class A
Shares
|
|
Management Fees
|
|
|
0.50%
|
|
|
|
0.50%
|
|
|
|
Distribution (12b-1) Fees
|
|
|
None
|
|
|
|
0.25%
|
|
|
|
Other Expenses
(including shareholder services fee)
|
|
|
0.61%
|
|
|
|
0.61%
|
|
|
|
Acquired Fund Fees and Expenses
|
|
|
None
|
|
|
|
None
|
|
|
|
Total Annual Fund Operating Expenses
|
|
|
1.11%
|
|
|
|
1.36%
|
|
Example
This Example is
intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of
those periods. The Example also assumes that your investment has a 5% return each year and that the Funds operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 Year
|
|
|
3 Years
|
|
|
5 Years
|
|
|
10 Years
|
|
Institutional Shares
|
|
$
|
113
|
|
|
$
|
353
|
|
|
$
|
612
|
|
|
$
|
1,352
|
|
Class A Shares
|
|
$
|
508
|
|
|
$
|
790
|
|
|
$
|
1,092
|
|
|
$
|
1,949
|
|
Portfolio Turnover
The Fund
pays transaction costs, such as commissions, when it buys and sells securities (or turns over its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held
in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the Example, affect the Funds performance. During the most recent fiscal year, the Funds portfolio turnover rate was 26% of the average
value of its portfolio.
|
Not A Deposit * Not Insured By Any Government Agency * Not
FDIC Insured * No Bank Guarantee * May Lose Value
|
Principal Investment Strategy
The Advisor invests, under normal circumstances, at least 80% of the Funds assets in mortgage-related securities, including mortgage Real Estate Investment Trusts (REITs) and Collateralized
Mortgage Obligations (CMOs) (whose income is generated by payments of principal and interest on pools of mortgage loans and mortgage REITs). The Advisor especially focuses on securities which it expects to be less susceptible to
prepayment of principal. The Advisor endeavors to maintain a dollar-weighted average portfolio life for the Fund of between two and ten years. The Fund may also invest up to 20% of its assets in equity REITs. The Fund will indirectly bear its
proportionate share of expenses incurred by REITs in which the Fund invests in addition to the expenses incurred directly by the Fund.
In making its
investment decisions, the Advisor considers various economic factors, Federal Reserve policy, interest rate trends and spreads between different types of fixed income securities.
REITs are pooled investment vehicles which invest primarily in income producing real estate or real estate related loans or interest. REITs are generally classified as equity REITs, mortgage REITs or a combination
of equity and mortgage REITs.
Because the Fund refers to mortgage in its name, the Fund will normally invest at least 80% of its assets in
mortgage-related securities, and the Fund will notify shareholders at least 60 days in advance of any changes in this policy.
Principal Investment Risks
All mutual funds take investment risks. Therefore, it is possible to lose money by investing in the Fund. An investment in the Fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit
Insurance Corporation or any other government agency. The primary factors that may reduce the Funds net asset value (NAV) and returns include:
Call Risk.
Issuers of securities may redeem the securities prior to maturity at a price below their current market value.
Class/Sector/Region Focus Risk.
When the Fund invests more than 25% of its net assets in a particular asset class (such as real estate-related or commodities-related securities), or securities of issuers
within a particular business sector or geographic region, it is subject to increased risk.
Counterparty Risk.
The value of the Funds
investments may be adversely affected if a securitys credit rating is downgraded; an issuer of an investment held by the Fund fails to pay an obligation on a timely basis, otherwise defaults or is perceived by other investors to be less
creditworthy; or a counterparty to a derivatives or other transaction with the Fund files for bankruptcy, becomes insolvent, or otherwise becomes unable or unwilling to honor its obligation to the Fund.
Credit Risk.
Issuers of securities in which the Fund invests may have their credit ratings downgraded or may default in the payment of principal or interest
on the securities, which would cause the Fund to lose money.
Derivative Contracts and Hybrid Instruments Risks.
Derivatives contracts and hybrid
instruments involve risks different from, and possibly greater than, traditional investments, including valuation and tax issues, increased potential for losses and/or costs to the Fund, and interest rate, credit, currency, liquidity and leverage
risks.
Extension Risk.
When interest rates rise, anticipated prepayments may occur at a slower than expected rate, thus effectively extending the
maturity of mortgage-backed securities. Prices of longer-term securities generally fluctuate more widely in response to changes in interest rates than the prices of shorter-term securities.
Interest Rate Risk.
The value of the Funds investments in fixed income securities may decline when prevailing interest rates rise or increase when interest rates go down. The longer a securitys
maturity or duration, the greater its value will change in response to changes in interest rates. The interest earned on the Funds investments in fixed income securities may decline when prevailing interest rates decline.
Investment Company Risk.
Because the Fund may invest in underlying funds that have their own fees and expenses in addition to those charged directly by the
Fund, the Fund may pay higher expenses than a Fund that invests directly in equity or fixed income securities.
Mortgage-Backed and Asset-Backed
Securities Risk.
Mortgage-backed and asset-backed securities, particularly those with complex or highly variable terms, such as CMOs, entail greater prepayment and liquidity risks than other fixed-income securities. As a result, their prices may
be more volatile and their trading market may be more limited than that of other fixed income securities.
Prepayment Risk.
When homeowners prepay
their mortgages in response to lower interest rates, the Fund will be required to reinvest the proceeds at the lower interest rates available. Also, when interest rates fall, the price of mortgage -backed securities may not rise as quickly as the
prices of other fixed-income securities.
Real Estate/REIT Risk.
The Funds investment in REITs is subject to the same risks as direct
investments in real estate, including sensitivity to general economic downturns and the volatility of local real estate markets. REITs may have limited financial resources and their securities may trade infrequently and in limited volume, and thus
they may be more volatile than other securities.
For more information, please see Principal Investment Strategies and Risks.
Performance: Bar Chart for Institutional Shares and Average Annual Total Return Table
The performance information shown below will help you analyze the Funds investment risks in light of its historical returns. The bar chart shows the
variability of the Funds Institutional Shares total returns on a calendar year-by-year basis. The Average Annual Total Return Table shows returns averaged over the stated periods, and includes comparative performance information. The
Funds performance will fluctuate, and past performance (before and after taxes) is not necessarily an indication of future results. Updated performance information will be available at www.huntingtonfunds.com, or by calling 1-800-253-0412.
|
|
|
|
|
|
|
|
|
|
|
Risk/Return Bar Chart
|
|
Best Quarter
Worst Quarter
|
|
|
Q1 2004
Q2 2004
|
|
|
|
3.64
(2.75
|
%
)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
This table shows the Funds average annual total
returns for periods ended December 31, 2012.
|
|
Average Annual Total Return Table
(for the periods ended December 31, 2012)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 Year
|
|
|
5 Years
|
|
|
10 Years
|
|
Mortgage Securities Fund Institutional Shares
|
|
|
|
|
|
|
|
|
|
|
|
|
Returns before taxes
|
|
|
2.95%
|
|
|
|
4.15%
|
|
|
|
4.49%
|
|
Returns after taxes on distributions
(1)
|
|
|
1.97%
|
|
|
|
3.21%
|
|
|
|
3.33%
|
|
Returns after taxes on distributions and sales of Institutional Shares
(1)
|
|
|
2.09%
|
|
|
|
3.11%
|
|
|
|
3.23%
|
|
Mortgage Securities Fund Class A Shares
(with 3.75% sales charge)
|
|
|
|
|
|
|
|
|
|
|
|
|
Returns before taxes
|
|
|
(1.14)%
|
|
|
|
3.09%
|
|
|
|
3.82%
|
|
Barclays Capital Mortgage Backed Securities Index (BMBSI)
(reflects no deduction for fees, expenses or taxes)
(2)
|
|
|
2.59%
|
|
|
|
5.67%
|
|
|
|
5.08%
|
|
(1)
|
|
After tax returns are calculated using a standard set of assumptions. The stated returns assume the highest historical
federal
income and capital gains
tax rates. Returns after taxes on distributions assumes a continued investment in the Fund and show the effect of taxes on Fund distributions. Returns after taxes on distributions and sales of Fund Shares assumes all Shares were redeemed at the end
of each measurement period, and shows the effect of any taxable gain (or offsetting loss) on redemption, as well as the effects of taxes on Fund distributions. These after tax returns do
not
reflect the effect of any applicable
state
and
local
taxes. After tax returns are not relevant to investors holding Shares through tax-deferred programs, such as IRA or 401(k) plans.
|
(2)
|
|
The BMBSI is composed of all fixed securities mortgage pools by the Government National Mortgage Association (GNMA), Federal National Mortgage Association and
the Federal Home Loan Mortgage Corporation, including GNMA Graduated Payment Mortgages. The index is unmanaged and, unlike the Fund, is not affected by cash flows. It is not possible to invest directly in an Index.
|
Investment Advisor and Portfolio Manager
The Funds investment advisor is Huntington Asset Advisors, Inc. William G. Doughty, Senior Vice President of the Advisor, has served as Portfolio Manager of the Fund since 1999.
Purchasing and Redeeming Shares
The minimum initial purchase
for the Funds Class A and Institutional Shares is $1,000. For Class A Shares, the minimum subsequent investment is $50; for Institutional Shares the minimum subsequent investment is $500. For Class A Shares and Institutional
Shares, the minimum initial and subsequent investment through the Systematic Investment Program (SIP) is $50.
Shares may be purchased or
redeemed by calling your investment professional or directly from the Trust at (800) 253-0412; by check payable to the Huntington Mortgage Securities Fund and applicable Share class (for example, Huntington Mortgage Securities Fund Class A
Shares) (Mail to: The Huntington Funds, P.O. Box 6110, Indianapolis, IN 46206-6110); or by Federal funds wire (please call the Trust at
(800) 253-0412
for wire instructions). You may redeem your
Shares on any business day when both the Federal Reserve Bank and New York Stock Exchange are open by telephone at (800) 253-0412, or by calling your Investment Professional; or by mail to the Huntington Funds address above. You may receive
redemption proceeds by wire (wire transfer fees may apply), by electronic bank transfer or by check. Sales charges may apply to the purchase or redemption of Shares.
Tax Information
The Funds distributions are taxable as ordinary income or capital gains, except when
your investment is through an Individual Retirement Account (IRA).
Payments to Broker-Dealers and Other Financial Intermediaries
If you purchase the Fund through a broker-dealer or other financial intermediary (such as a bank), the Fund and its related companies may pay the intermediary for
the sale of Fund shares and related services. These payments may create a conflict of interest by influencing the broker-dealer or other intermediary and your salesperson to recommend the Fund over another investment. Ask your salesperson or visit
your financial intermediarys Web site for more information.
Vanguard Money Market Reserves F (NASDAQ:VMFXX)
Historical Stock Chart
From Aug 2024 to Sep 2024
Vanguard Money Market Reserves F (NASDAQ:VMFXX)
Historical Stock Chart
From Sep 2023 to Sep 2024