Big 4 Funds. Big 4 OneFund. PROSPECTUS September 19, Investor Class Shares (FOUIX) Institutional Class Shares (FOURX)

Transcription

1 Big 4 Funds Big 4 OneFund PROSPECTUS September 19, 2014 Investor Class Shares (FOUIX) Institutional Class Shares (FOURX) This prospectus describes the Big 4 OneFund. The Fund is authorized to offer two classes of shares, both of which are offered by this prospectus. The U.S. Securities and Exchange Commission has not approved or disapproved these securities or determined if this prospectus is truthful or complete. Any representation to the contrary is a criminal offense.

2 PAGE Fund Summary Investment Objective 1 Fees and Expenses of the Fund 1 Portfolio Turnover 2 Principal Investment Strategies 2 Principal Risks 3 Performance History 6 Investment Adviser 6 Portfolio Managers 6 Purchase and Sale of Fund Shares 7 Tax Information 7 Payments to Broker-Dealers and Other Intermediaries 7 Additional Information About Fund Investments 7 Additional Information About Risk 9 Management 13 How to Buy Shares 15 How to Sell Shares 17 General Information 18 Dividends, Distributions and Taxes 20 Distribution Arrangements 25 Financial Highlights 25 For More Information 26

3 FUND SUMMARY Investment Objective The Big 4 OneFund (the Fund ) seeks long-term capital appreciation. Fees and Expenses of the Fund This table describes the fees and expenses that you may pay if you buy and hold shares of the Fund. Shareholder Fees (fees paid directly from your investment) Investor Class Shares Institutional Class Shares Maximum sales charge (load) imposed on purchases None None (as a percentage of offering price) Maximum deferred sales charges (load) (as a percentage of the NAV at time of None purchase) None Redemption Fee None None Exchange Fee None None Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment) Management Fee 0.75% 0.75% Distribution (12b-1) and Service Fees 0.25% None Other Expenses (1) 1.68% 1.68% Acquired Fund Fees and Expenses (1) 0.01% 0.01% Total Annual Fund Operating Expenses 2.69% 2.44% Fee Waivers and/or Expense Reimbursements (2) (1.68%) (1.68%) Total Annual Fund Operating Expenses (after fee waivers and expense reimbursements) (2) 1.01% 0.76% (1) (2) Estimated for the Fund s initial fiscal year. Chicago Partners Investment Group, LLC (the Adviser ) has entered into a written expense limitation agreement under which it has agreed to limit the total expenses of the Fund (exclusive of interest, distribution fees pursuant to Rule 12b-1 Plans, taxes, acquired fund fees and expenses, brokerage commissions, extraordinary expenses and dividend expense on short sales) to an annual rate of 0.75% of the average daily net assets of the Fund. This expense limitation agreement may be terminated by the Adviser or the Trust at any time after January 31, The Adviser may recoup any 1

4 waived amount from the Fund pursuant to this agreement if such reimbursement does not cause the Fund to exceed existing expense limitations in effect and the expense reimbursement is made within three years after the year in which the Adviser incurred the expense. 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 Fund's operating expenses remain the same. The one and three year numbers shown below reflect the Adviser s agreement to waive fees and/or reimburse Fund expenses. Although your actual costs may be higher or lower, based on these assumptions your costs would be: Portfolio Turnover Share Class 1 Year 3 Years Investor Class Shares $103 $1,275 Institutional Class Shares $78 $599 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 Total Annual Fund Operating Expenses or in the example, affect the Fund s performance. Principal Investment Strategies Under normal market conditions, the Fund will invest in the securities of other investment companies (including exchange-traded funds ( ETFs ), closed-end funds, and business development companies ( BDCs )), master limited partnerships ( MLPs ), and real estate investment trusts ( REITs ). Many MLPs operate pipelines transporting crude oil, natural gas, and other petroleum products along with associated facilities. The other investment companies (or underlying funds) which the Fund may invest in may, in turn, invest in equity securities and debt securities without regard to capitalization and credit quality and may invest in foreign securities, including emerging markets securities. The Fund may also invest directly in equity securities and debt securities. Equity securities in which the Fund may invest include common stocks, preferred stocks, convertible bonds and warrants. Debt securities in which the Fund may invest include U.S. government and agency debt and U.S. corporate debt without regard to market capitalization or credit ratings as determined by any of the credit rating agencies. Chicago Partners Investment Group, LLC (the Adviser ) allocates assets among the various investments in order to gain exposure across multiple unique and complementary asset classes. The Fund s investments in MLPs and REITs is limited to no more than 25% of its total assets. 2

5 In selecting investments for the Fund, the Adviser may analyze the historical returns produced by various asset classes and investment styles to determine an appropriate set of strategic targets for the Fund. These targets reflect an equity bias, sound diversification and judicious portfolio management strategies. The Adviser will periodically (typically, on a monthly basis) rebalance the Fund s asset allocation targets when it believes it is necessary to do so. The Adviser sells or reduces the Fund s position in a security (1) when it approaches the Adviser s estimate of its fair value, (2) when the Adviser s estimates of its future earnings and cash flow growth change, or (3) when the facts or the analysis surrounding the reason to originally put the security in the Fund s portfolio have changed. Principal Risks Common Stock Risks. Overall stock market risks may affect the value of the Fund. Factors such as domestic economic growth and market conditions, interest rate levels, and political events affect the securities markets. When the value of the Fund s investments goes down, your investment in the Fund decreases in value and you could lose money. Management Risks. The Adviser s investment approach may fail to produce the intended results. If the Adviser s perception of a company s worth is not realized in the expected time frame, the Fund s overall performance may suffer. Risks of Investing in Other Investment Companies and Underlying Funds. The Fund will incur higher and duplicative expenses when it invests in mutual funds, exchange-traded funds ( ETFs ), and REITs (see the separate discussion below on risks related to REITs). There is also the risk that the Fund may suffer losses due to the investment practices of the underlying funds. When the Fund invests in an underlying mutual fund, ETF, or REIT, the Fund will be subject to substantially the same risks as those associated with the direct ownership of securities comprising the underlying funds or index on which the ETF or index mutual fund or other vehicle is based and the value of the Fund s investments will fluctuate in response to the performance and risks of the underlying investments or index. In addition to the brokerage costs associated with the fund s purchase and sale of the underlying securities, ETFs, mutual funds and other vehicles incur fees that are separate from those of the Fund. As a result, the Fund s shareholders will indirectly bear a proportionate share of the operating expenses of these investment vehicles, in addition to Fund expenses. Because the Fund is not required to hold shares of underlying funds for any minimum period, it may be subject to, and may have to pay, short-term redemption fees imposed by the underlying funds. ETFs are subject to additional risks such as the fact that the market price of its shares may trade above or below its net asset value or an active market may not develop. The Fund has no control over the investments and related risks taken by the underlying funds in which it invests. The Investment Company Act of 1940 and the rules and regulations adopted under that statute impose conditions on investment companies which invest in other investment companies, and as a result, the Fund is generally restricted on the amount of shares of another investment company to shares amounting to no more than 3% of the outstanding voting shares of such other investment company. 3

6 Closed-end funds may utilize more leverage than other types of investment companies. They can utilize leverage by issuing preferred stocks or debt securities to raise additional capital which can, in turn, be used to buy more securities and leverage its portfolio. Closed-end fund shares may also trade at a discount to their net asset value. Style Risks. The Fund may invest in underlying funds that use growth- and/or value-oriented investing styles, or other styles. If the underlying fund s portfolio manager incorrectly assesses the growth potential of companies in which the fund invests, the securities purchased may not perform as expected, reducing the underlying fund s return and ultimately reducing the Fund s return, or causing it to lose money on the investment. With respect to underlying value funds, the market may not agree with a value manager s determination that the fund s portfolio stocks are undervalued, and the prices of such portfolio securities may not increase to what the Adviser believes are their full value. They may even decrease in value. Small and Mid-Capitalization Company Risks. To the extent the Fund invests directly or in other investment companies that invest in smaller companies including microcap, small-cap, mid-cap it will be subject to additional risks. Less seasoned companies often involve greater volatility than investing in larger more established companies and these securities may be less liquid that other securities. Foreign Securities Risks. The Fund may invest directly in foreign securities and in underlying funds that invest in foreign securities. Foreign securities are subject to additional risks not typically associated with investments in domestic securities. These risks may include, among others, currency risk, country risks (political, diplomatic, regional conflicts, terrorism, war, social and economic instability, currency devaluations and policies that have the effect of limiting or restricting foreign investment or the movement of assets), different trading practices, less government supervision, less publicly available information, limited trading markets and greater volatility. To the extent that Fund or underlying funds invest in issuers located in emerging markets, the risk may be heightened by political changes, changes in taxation, or currency controls that could adversely affect the values of these investments. Emerging markets have been more volatile than the markets of developed countries with more mature economies. Fixed Income Securities Risks. The Fund may invest directly in fixed income securities or in underlying funds that invest in fixed income securities, which are subject to a number of risks. For example, the issuer of a fixed income security may not be able to make interest and principal payments when due. Generally, the lower the credit rating of a security, the greater the risk that the issuer will default on its obligation. If a rating agency gives a debt security a lower rating, the value of the debt security will decline because investors will demand a higher rate of return. As nominal interest rates rise, the value of fixed income securities held by the Fund is likely to decrease. A nominal interest rate is the sum of a real interest rate and an expected inflation rate. To the extent the Fund invests in high-yield securities rated below investment grade ( junk bonds ) it may experience a lower rate of return as those securities are subject to higher credit risks and are less liquid than other fixed income securities. 4

7 Business Development Companies ( BDCs ) Risks. BDCs are closed-end funds that help provide capital to small- and mid-size businesses that do not have access to traditional sources of funding. BDCs invest in private companies and thinly traded securities of public companies, including debt instruments of such companies. Generally, little public information exists for private and thinly traded companies. Less mature and smaller private companies involve greater risk than well-established larger publicly-traded companies. Shares of BDCs are publicly traded on an exchange just like the stock of public companies. A BDC s gains and losses may be magnified through the use of leverage. This may increase the risk associated with these securities. BDCs generally depend on the ability to access capital markets, raise cash, acquire suitable investment and monitor and administer those investments in order to maintain their status as a BDC. A failure to do so may adversely affect the value of the BDCs shares. Master Limited Partnerships ( MLPs ) Risks. Master limited partnerships are generally considered interest-rate sensitive investments. During periods of interest rate volatility, these investments may not provide attractive returns. Depending on the state of interest rates in general, the use of MLPs could enhance or harm the overall performance of the Fund. To the extent that an MLP s interests are all in a particular industry (such as the energy sector), the MLP will be negatively impacted by economic events adversely impacting that industry. Real Estate Investment Trusts ( REITs ) Risks. REITs may be subject to certain risks associated with the direct ownership of real estate, including declines in the value of real estate, risks related to general and local economic conditions, overbuilding and increased competition, increases in property taxes and operating expenses, and variations in rental income. REITs are subject to management fees and other expenses, and so when the Fund invests in REITs it will bear its proportionate share of the costs of the REIT s operations. REITS are also subject to heavy cash flow dependency, defaults by borrowers, selfliquidation and the possibility of failing to qualify for the tax-free pass-through of income under the Internal Revenue Code and to maintain their exemption from registration under the 1940 Act. Additionally, distributions received by the Fund from REITs may consist of dividends, capital gains and/or return of capital. Generally, dividends received by the Fund from REIT shares and distributed to the Fund s shareholders will not constitute qualified income dividends eligible for reduced tax rates applicable to qualified dividend income; therefore, the tax rate applicable to that portion of the dividend income attributable to REIT shares held by the Fund that shareholders of the Fund will receive will be taxed at a higher rate than dividends eligible for reduced tax rate application to qualified dividend income. Warrants Risks. The Fund may invest in warrants. A warrant gives the Fund the right to buy a stock and specifies the amount of the underlying stock, the purchase (or exercise ) price, and the date the warrant expires. If the price of the underlying stock does not rise above the exercise price before the warrant expires, the warrant generally expires without any value and the Fund loses any amount it paid for the warrant. Thus, investments in warrants may involve more risk than investments in common stock. Warrants may trade in the same markets as their underlying stock; however, the price of the warrant does not necessarily move with the price of the underlying stock. 5

8 Convertible Securities Risks. The market value of a convertible security performs like that of a regular debt security; that is, if market interest rates rise, the value of a convertible security usually falls. In addition, convertible securities are subject to the risk that the issuer will not be able to pay interest or dividends when due, and their market value may change based on changes in the issuer s credit rating or the market s perception of the issuer s creditworthiness. Since it derives a portion of its value from the common stock into which it may be converted, a convertible security is also subject to the same types of market and issuer risks that apply to the underlying common stock. Preferred Securities Risks. Preferred securities may pay fixed or adjustable rates of return. Preferred securities are subject to issuer-specific and market risks applicable generally to equity securities. In addition, a company s preferred securities generally pay dividends only after the company makes required payments to holders of its bonds and other debt. For this reason, the value of preferred securities will usually react more strongly than bonds and other debt to actual or perceived changes in the company s financial condition or prospects. Preferred securities of smaller companies may be more vulnerable to adverse developments than preferred stock of larger companies. New Fund Risk. The Fund is a new mutual fund and has a limited history of operations. fund. New Adviser Risk. The investment adviser has not previously managed a mutual PERFORMANCE HISTORY The Fund recently commenced operations and, as a result, does not have a full calendar year of performance history. Investors should be aware that past performance is not necessarily an indication of how the Fund will perform in the future. Updated performance information is available at or by calling toll-free (800) Investment Adviser Chicago Partners Investment Group, LLC is the investment adviser to the Fund. Portfolio Managers Mr. Jim Hagedorn, CFA, Founder, President and CEO of the Adviser, has served as the Portfolio Manager to the Fund since its inception in September, Mr. John Nicholas, Managing Director of the Adviser, has served as the Portfolio Manager to the Fund since its inception in September,

9 Purchase and Sale of Fund Shares You may purchase, redeem or exchange shares of the Fund on days when the New York Stock Exchange is open for regular trading through a financial advisor, by mail (Big 4 OneFund, 8730 Stony Point Parkway, Suite 205, Richmond, Virginia 23235), by wire, or by telephone at Purchases and redemptions by telephone are only permitted if you previously established this option on your account. The minimum initial purchase or exchange into the Fund is $1,000 and $2,500, respectively, for the Investor Class Shares and Institutional Class Shares. Subsequent investments must be in amounts of $1,000 for each class. The Fund may waive minimums for purchases or exchanges through employersponsored retirement plans. Tax Information The Fund s distributions will be taxed as ordinary income or capital gains, unless you are investing through a tax-deferred arrangement, such as a 401(k) plan or an individual retirement account in which case withdrawals will be taxed. Payments to Broker-Dealers and Other Financial Intermediaries If you purchase shares of 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 financial intermediary and your sales person to recommend the Fund over another investment. Ask your sales person or visit your financial intermediary s website for more information. ADDITIONAL INFORMATION ABOUT FUND INVESTMENTS The Fund s investment objective is to seek long-term capital appreciation. The Fund s investment objective may be changed by the Board of Trustees without shareholder approval. The Fund would seek to provide to its shareholders advance written notice of any material changes to the Fund s objective. Under normal market conditions, the Fund will invest in the securities of other investment companies (including exchange-traded funds ( ETFs ), closed-end funds, and business development companies ( BDCs )), master limited partnerships ( MLPs ), and real estate investment trusts ( REITs ). The other investment companies (or underlying funds) which the Fund may invest in may, in turn, invest in equity securities and debt securities without regard to capitalization and credit quality and may invest in foreign securities. The Fund may also invest directly in equity securities and debt securities. Equity securities in which the Fund may invest include common stocks, preferred stocks, convertible bonds and warrants. Debt securities in which the Fund may invest include U.S. government and agency debt and U.S. corporate debt without regard to market capitalization or credit ratings as determined by any of the credit rating agencies. 7

10 Chicago Partners Investment Group, LLC (the Adviser ) allocates assets among the various investments in order to gain exposure across 15 unique but complementary asset classes. These asset classes are: U.S. Large Cap (Core and Value) U.S. Mid Cap (Core and Value) U.S. Small Cap (Core and Value) U.S. Micro Cap International Large Cap Value International Mid Cap International Small Value Emerging Market Value Emerging Market Small Frontier Market Corporate Spin-Off Global REIT Global Convertibles BDCs/Private Equities Master Limited Partnerships Potential investments must meet certain fundamental criteria to be included in the Fund. In selecting investments for the Fund, the Adviser may analyze the historical returns produced by various asset classes and investment styles to determine an appropriate set of strategic targets for the Fund. These targets reflect an equity bias, sound diversification and judicious portfolio management strategies. The Adviser will periodically (typically, on a month basis) rebalance the Fund s asset allocation targets when it believes it is necessary to do so. The Adviser believes the commitment to an appropriate set of asset allocation targets is more challenging than determining the targets. Managing emotions represents the hardest work in investing. Remaining rational through the emotionally charged swings in the market is the most important service the Adviser believes it provides. The Adviser believes a global multi-asset class portfolio is an excellent way to achieve strong investment returns over the long term. With this in mind, the Adviser looks for low cost investment vehicles in each asset class to provide the exposures it is looking for. The Adviser had a bias toward low cost investment vehicles that tend to be tax efficient. The Adviser also has a bias toward value and small factors that should allow it to achieve better long-term performance for the Fund. The Adviser defines tax efficiency as it relates to portfolio turnover. Lower turnover portfolios will realize less gains everything else being equal. Lower turnover portfolios will have more unrealized gains everything else being equal and this leads to greater tax efficiency. The Adviser has a bias toward securities that exhibit value characteristics which include securities with low price to book value ratios. Additionally, the Adviser has a bias toward small factors meaning it favors investments that are smaller capitalization weighted securities. For Example, in the large cap stock category, the Adviser will favor the smaller large cap stocks. The Adviser sells or reduces the Fund s position in a security (1) when it approaches the Adviser s estimate of its fair value, (2) when the Adviser s estimates of its future earnings 8

11 and cash flow growth change, or (3) when the facts or the analysis surrounding the reason to originally put the security in the Fund s portfolio have changed. ADDITIONAL INFORMATION ABOUT RISK An investment in the Fund is not guaranteed and you may lose money by investing in the Fund. The Fund is not a complete investment program. The value of your investment will go up and down, which means you could lose money when you sell your shares. There are risks involved with any investment, but the principal risks associated with an investment in the Fund include: Common Stock Risks. The Fund is subject to market risk. Market risk is the possibility that, over short or long periods, stock prices will decline. Because stock prices tend to fluctuate, the value of your investment in the Fund may increase or decrease. The Fund's investment success depends on the skills of the Adviser in evaluating, selecting and monitoring the portfolio assets. If the Adviser's conclusions about growth rates or securities values are incorrect, the Fund may not perform as anticipated. Management Risks. The Adviser s investment approach may fail to produce the intended results. If the Adviser s perception of a company s worth is not realized in the expected time frame, the Fund s overall performance may suffer. Risks of Investing in Other Investment Companies and Underlying Funds. The Fund will incur higher and duplicative expenses when it invests in mutual funds, exchange-traded funds ( ETFs ), closed-end funds, and REITs (see the separate discussion below on risks related to REITs). ETFs are investment companies that are traded on stock exchanges similar to stocks. Typically, ETFs hold assets such as stocks, commodities or bonds, and track an index such as a stock or bond index. There is also the risk that the Fund may suffer losses due to the investment practices of the underlying funds. When the Fund invests in an underlying mutual fund or ETF, or REIT, the Fund will be subject to substantially the same risks as those associated with the direct ownership of securities comprising the underlying fund or index on which the ETF or other vehicle is based and the value of the Fund s investments will fluctuate in response to the performance and risks of the underlying investments or index. In addition to the brokerage costs associated with the fund s purchase and sale of the underlying securities, ETFs, closed-end funds, and REITs incur fees that are separate from those of the Fund. As a result, the Fund s shareholders will indirectly bear a proportionate share of the operating expenses of these investment vehicles in addition to Fund expenses. Because the Fund is not required to hold shares of underlying funds for any minimum period, it may be subject to, and may have to pay, short-term redemption fees imposed by the underlying funds. The Fund has no control over the investments and related risks taken by the underlying funds in which it invests. The Investment Company Act of 1940 and the rules and regulations adopted under that statute impose conditions on investment companies which invest in other investment companies, and as a result, the Fund is generally restricted on the amount of shares of another investment company to shares amounting to no more than 3% of the outstanding voting shares of such other investment company. 9

12 In addition to risks generally associated with investments in investment company securities, ETFs are subject to the following risks that do not apply to traditional mutual funds: (i) an ETF s shares may trade at a market price that is above or below their net asset value; (ii) an active trading market for an ETF s shares may not develop or be maintained; (iii) the ETF may employ an investment strategy that utilizes high leverage ratios; or (iv) trading of an ETF s shares may be halted if the listing exchange s officials deem such action appropriate, the shares are de-listed from the exchange, or the activation of market-wide circuit breakers (which are tied to large decreases in stock prices) halts stock trading generally. Closed-end funds may utilize more leverage than other types of investment companies. They can utilize leverage by issuing preferred stocks or debt securities to raise additional capital which can, in turn, be used to buy more securities and leverage its portfolio. Closed-end fund shares may also trade at a discount to their net asset value. Style Risks. The Fund may invest in underlying funds that use growth- and/or value-oriented investing styles, or other styles. If the underlying fund s portfolio manager incorrectly assesses the growth potential of companies in which the fund invests, the securities purchased may not perform as expected, reducing the underlying fund s return and ultimately reducing the Fund s return, or causing it to lose money on the investment. With respect to underlying value funds, the market may not agree with a value manager s determination that the fund s portfolio stocks are undervalued, and the prices of such portfolio securities may not increase to what the Adviser believes are their full value. They may even decrease in value. Small and Mid-Capitalization Company Risks. The Fund may invest directly or in underlying funds that invest in the securities of micro-cap, small-cap and mid-cap companies which generally involves substantially greater risk than investing in larger, more established companies. This greater risk is, in part, attributable to the fact that the securities of these companies usually have more limited marketability and, therefore, may be more volatile than securities of larger, more established companies or the market averages in general. Because these companies normally have fewer shares outstanding than larger companies, it may be more difficult to buy or sell significant amounts of such shares without an unfavorable impact on prevailing prices. Another risk factor is that these companies often have limited product lines, markets, or financial resources and may lack management depth. Additionally, these companies are typically subject to greater changes in earnings and business prospects than are larger, more established companies. These companies may not be well-known to the investing public, may not be followed by the financial press or industry analysts, and may not have institutional ownership. These factors affect the access to information about the companies and the stability of the markets for the companies securities. These companies may be more vulnerable than larger companies to adverse business or economic developments; the risk exists that the companies will not succeed; and the prices of the companies shares could dramatically decline in value. Foreign Securities Risks. The Fund may invest directly or in underlying funds that invest in foreign securities. Foreign securities are subject to additional risks not typically associated with investments in domestic securities. These risks may include, among 10

13 others, currency risk, country risks (political, diplomatic, regional conflicts, terrorism, war, social and economic instability, currency devaluations and policies that have the effect of limiting or restricting foreign investment or the movement of assets), different trading practices, less government supervision, less publicly available information, limited trading markets and greater volatility. To the extent that the Fund or underlying funds invest in issuers located in emerging markets, the risk may be heightened by political changes, changes in taxation, or currency controls that could adversely affect the values of these investments. The securities of issuers located in emerging markets countries tend to be more volatile and less liquid than securities of issuers located in countries of more mature economies, and emerging markets generally have less diverse and less mature economic structures and less stable political systems than those of developed countries. The securities of issuers located or doing substantial business in emerging markets are often subject to rapid and large changes in price. Fixed Income Securities Risks. The Fund may invest directly or in underlying funds that invest in fixed income securities, which are subject to a number of risks. Investing in fixed income securities subjects the Fund to interest rate risk and credit risk. Interest rate risk is the risk that increases in interest rates could cause the prices of the Fund s investments in fixed income securities to decline. Credit risk is the risk that the issuer of bonds may not be able to meet interest or principal payments when bonds become due. To the extent the Fund invests in high-yield securities rated below investment grade ( junk bonds ) it may experience a lower rate of return as those securities are subject to higher credit risks and are less liquid than other fixed income securities. Business Development Companies ( BDCs ) Risks. BDCs are closed-end funds that help provide capital to small- and mid-size businesses that do not have access to traditional sources of funding. Shares of BDCs are publicly traded on an exchange just like the stock of public companies. A BDC s gains and losses may be magnified through the use of leverage. This may increase the risk associated with these securities. BDCs generally depend on the ability to access capital markets, raise cash, acquire suitable investment and monitor and administer those investments in order to maintain their status as a BDC. A failure to do so may adversely affect the value of the BDCs shares. BDCs often invest in securities that are not publicly traded which adversely impacts their ability to value those assets and reduces the investment s liquidity. BDCs are closed-end funds which tend to trade at a discount from their net asset value and are subject to risks related to factors such as the manger s ability to achieve a fund s objective, market conditions affecting the fund s investments, and use of leverage. By investing in BDCs, the Fund incurs greater expenses than you would incur if you invested directly in the BDC. The Fund is subject to the risk that a BDC issuer may be unable to make income and/or principal payments in the future which may reduce the income the BDC pays. Master Limited Partnerships ( MLPs ) Risks. The Fund may invest in MLPs. MLPs are limited partnerships in which the ownership units are publicly traded. MLP units are registered with the U.S. Securities and Exchange Commission (the SEC ) and are freely traded on a securities exchange or in the over-the-counter market. MLPs often own several properties or businesses (or own interests) that are related to oil and gas industries or other natural resources, but they also may finance other projects. To the 11

14 extent that an MLP s interests are all in a particular industry, the MLP will be negatively impacted by economic events adversely impacting that industry. The risks of investing in a MLP are generally those involved in investing in a partnership as opposed to a corporation. For example, state law governing partnerships is often less restrictive than state law governing corporations. Accordingly, there may be fewer protections afforded to investors in a MLP than investors in a corporation. In addition, MLPs may be subject to state taxation in certain jurisdictions which will have the effect of reducing the amount of income paid by the MLP to its investors. MLPs may be subject to interest rate risk in that higher interest rates make the yields of the MLPs less attractive. Real Estate Investment Trusts ( REITs ) Risks. The Fund may invest in REITs. REITs may be subject to certain risks associated with the direct ownership of real estate, including declines in the value of real estate, risks related to general and local economic conditions, overbuilding and increased competition, increases in property taxes and operating expenses, and variations in rental income. Generally, increases in interest rates will decrease the value of high yielding securities and increase the costs of obtaining financing, which could decrease the value of the REITs held in the Fund's portfolio. REITs are also subject to heavy cash flow dependency, defaults by borrowers, self-liquidation and the possibility of failing to qualify for the tax-free pass-through of income under the Internal Revenue Code and to maintain their exemption from registration under the 1940 Act. Additionally, distributions received by the Fund from REITs may consist of dividends, capital gains and/or return of capital. Generally, dividends received by the Fund from REIT shares and distributed to the Fund s shareholders will not constitute qualified income dividends eligible for reduced tax rates applicable to qualified dividend income; therefore, the tax rate applicable to that portion of the dividend income attributable to REIT shares held by the Fund that shareholders of the Fund will receive will be taxed at a higher rate than dividends eligible for reduced tax rate application to qualified dividend income. Warrants Risks. The Fund may invest in warrants. A warrant gives the Fund the right to buy a stock and specifies the amount of the underlying stock, the purchase (or exercise ) price, and the date the warrant expires. If the price of the underlying stock does not rise above the exercise price before the warrant expires, the warrant generally expires without any value and the Fund loses any amount it paid for the warrant. Thus, investments in warrants may involve more risk than investments in common stock. Warrants may trade in the same markets as their underlying stock; however, the price of the warrant does not necessarily move with the price of the underlying stock. Convertible Securities Risks. The market value of a convertible security performs like that of a regular debt security; that is, if market interest rates rise, the value of a convertible security usually falls. In addition, convertible securities are subject to the risk that the issuer will not be able to pay interest or dividends when due, and their market value may change based on changes in the issuer s credit rating or the market s perception of the issuer s creditworthiness. Since it derives a portion of its value from the common stock into which it may be converted, a convertible security is also subject to the same types of market and issuer risks that apply to the underlying common stock. Preferred Securities Risks. Preferred securities may pay fixed or adjustable rates of return. Preferred securities are subject to issuer-specific and market risks applicable 12

15 generally to equity securities. In addition, a company s preferred securities generally pay dividends only after the company makes required payments to holders of its bonds and other debt. For this reason, the value of preferred securities will usually react more strongly than bonds and other debt to actual or perceived changes in the company s financial condition or prospects. Preferred securities of smaller companies may be more vulnerable to adverse developments than preferred stock of larger companies. New Fund Risk. The Fund is a new mutual fund and has a limited history of operations. fund. New Adviser Risk. The investment adviser has not previously managed a mutual Temporary Defensive Position. The investments and strategies described in this prospectus are those that the Fund uses under normal conditions. The Fund may take temporary "defensive" positions in attempting to respond to adverse market conditions. The Fund may invest any amount of its assets in cash or money market instruments in a defensive posture when the Adviser believes it is advisable to do so. Although taking a defensive posture is designed to protect the Fund from an anticipated market downturn, it could have the effect of reducing the benefit from any upswing in the market. When the Fund takes a defensive position, it may not achieve its investment objective. Big 4 typically refers to the four largest public accounting firms. MANAGEMENT The Investment Adviser The Fund s investment adviser is Chicago Partners Investment Group, LLC, a limited liability company organized under the laws of the state of Illinois and whose address is One North Wacker Drive, Suite 4110, Chicago, Illinois The Adviser was formed in 2008 and as of June 7, 2014 has approximately $940 million in assets under management. The Adviser serves in this capacity pursuant to an investment advisory agreement with the Trust with respect to the Fund. Subject to the authority of the Board of Trustees of the Trust ( Trustees ), the Adviser provides guidance and policy direction in connection with its daily management of the Fund s assets. The Adviser is also responsible for the selection of broker-dealers for executing portfolio transactions, subject to the brokerage policies established by the Trustees. The Adviser controlled by Jim Hagedorn. The Adviser provides investment management services to individuals, families and endowments. The compensation for investment advisory services provided to the Fund, the Adviser earns a fee based on the average daily net assets of the Fund at the rate of: 0.75% on assets from $0 to $500 million; 0.625% on assets from $500 million to $1 billion; and 0.50% on assets over $1 billion. The Adviser has entered into a written expense limitation agreement under which it has agreed to limit the total expenses of the Fund (exclusive of interest, distribution fees pursuant to Rule 12b-1 Plans, taxes, acquired fund fees and expenses, brokerage commissions, extraordinary expenses and dividend expense on short sales) to an annual rate of 0.75% of the average daily net assets of the Fund. This expense 13

16 limitation agreement may be terminated by the Adviser or the Trust at any time after January 31, The Adviser may recoup any waived amount from the Fund pursuant to this agreement if such reimbursement does not cause the Fund to exceed existing expense limitations and the expense reimbursement is made within three years after the year in which the Adviser incurred the expense. A discussion regarding the basis for the Board of Trustees approving the investment advisory agreement for the Fund will be available in the Fund s semi-annual report for the period ending February 28, 2015 once that report is produced. The Portfolio Managers Since the Fund's inception in September 2014, Messrs. Jim Hagedorn and John Nicholas have been primarily responsible for the day-to-day management of the Fund. Jim Hagedorn, CFA. Mr. Hagedorn is the Founder, President and CEO of the Adviser and has over 20 years of experience pioneering and building value added multidisciplinary approaches to wealth management. Prior to founding the Adviser, Mr. Hagedorn was a partner at The Mosaic Financial Group LLC. Before joining Mosaic, Mr. Hagedorn spent over five years as the practice leader in charge of PricewaterhouseCoopers investment advisory practice in Chicago and the Midwest. Mr. Hagedorn has over 12 years of experience as a portfolio manager in the investment management division of three large global banking institutions. Mr. Hagedorn is a Chartered Financial Analyst (CFA) and has earned his Masters of Business Administration from DePaul University in Chicago. He is also a graduate of Marquette University. John Nicholas. Mr. Nicholas is a Managing Director of the Adviser and has over 20 years of experience managing multi-asset class portfolios for high net worth individuals and institutional investors. Prior to joining the Adviser in 2014, Mr. Nicholas headed fund management at Guggenheim Investment Advisors, where he oversaw multi-manager portfolios of traditional and alternative investments. Mr. Nicholas also has held senior portfolio management positions at Vulcan Capital, HFR Asset Management, Morgan Stanley and Harris Trust, where he built custom hedge fund portfolios for institutional investors, and managed investments for some of the nation s wealthiest families across a range of asset classes, including equity, fixed income hedge funds, real assets, private equity and venture capital. Mr. Nicholas earned a J.D. from Northwestern University School of Law and graduated magna cum lade from Harvard University. The Fund s SAI provides additional information about the portfolio managers compensation, other assets managed by the portfolio managers, and the portfolio managers ownership of securities in the Fund. The Trust The Fund is a series of the Trust, an open-end management investment company organized as a Delaware statutory trust on April 9, The Trustees supervise the operations of the Fund according to applicable state and federal law, and the Trustees are responsible for the overall management of the Fund s business affairs. 14

17 Rule 12b-1 Fees The Board has adopted a Distribution and Service Plan for the Fund s Investor Class Shares (the 12b-1 Plan ) in accordance with Rule 12b-1 under the 1940 Act. Pursuant to the 12b-1 Plan, the Fund may finance from the assets of a particular class certain activities or expenses that are intended primarily to result in the sale of shares of such class. The Fund finances these distribution and service activities through payments made to the Distributor. The fees paid to the Distributor are computed on an annualized basis reflecting the average daily net assets of a class, up to a maximum of 0.25% for Investor Class share expenses for distribution fees and shareholder servicing fees. Because these fees are paid out of a class s assets on an ongoing basis, over time these fees will increase the cost of your investment and may cost more than paying other types of sales charges. Other Expenses In addition to the 12b-1 fees and the investment advisory fees, the Fund pays all expenses not assumed by the Adviser, including, without limitation, the following: the fees and expenses of its independent accountants and legal counsel; the costs of printing and mailing to shareholders annual and semi-annual reports, proxy statements, prospectuses, statements of additional information, and supplements thereto; the costs of printing registration statements; bank transaction charges and custodian s fees; any proxy solicitors fees and expenses; filing fees; any federal, state, or local income or other taxes; any interest; any membership fees of the Investment Company Institute and similar organizations; fidelity bond and Trustees liability insurance premiums; and any extraordinary expenses, such as indemnification payments or damages awarded in litigation or settlements made. Portfolio Holdings A description of the Fund s policies and procedures with respect to the disclosure of the Fund s portfolio securities is available in the Fund s Statement of Additional Information. Complete holdings (as of the dates of such reports) are available in reports on Form N-Q and Form N-CSR filed with the SEC. HOW TO BUY SHARES You may purchase shares of the Fund through financial intermediaries, such as fund supermarkets or through brokers or dealers who are authorized by the Distributor to sell shares of the Fund (collectively, "Financial Intermediaries"). You may also purchase shares directly from the Distributor. You may request a copy of this prospectus by calling (800) Financial Intermediaries may charge transaction fees or set different minimum investment amounts. Financial Intermediaries may also have policies and procedures that are different from those contained in this prospectus. Investors should consult their Financial Intermediary regarding its procedures for purchasing and selling shares of the Fund as the policies and procedures may be different. The price you pay for a share of the Fund is the net asset value next determined upon receipt of your purchase order by the Transfer Agent or financial intermediary. 15

18 Minimum Investments. The minimum initial investment for Investor Class and Institutional Class Shares is $1,000 and $2,500, respectively, and subsequent investments must be in amounts of $1,000 for each class. The Trust may waive the minimum initial investment requirement for purchases made by directors, officers and employees of the Trust. The Trust may also waive the minimum investment requirement for purchases by its affiliated entities and certain related advisory accounts and retirement accounts (such as IRAs). The Trust may also change or waive policies concerning minimum investment amounts at any time. The Trust retains the right to refuse to accept an order. Customer Identification Program. Federal regulations require that the Trust obtain certain personal information about you when opening a new account. As a result, the Trust must obtain the following information for each person that opens a new account: Name; Date of birth (for individuals); Residential or business street address (although post office boxes are still permitted for mailing); and Social security number, taxpayer identification number, or other identifying number. You may also be asked for a copy of your driver's license, passport, or other identifying document in order to verify your identity. In addition, it may be necessary to verify your identity by cross referencing your identification information with a consumer report or other electronic database. Additional information may be required to open accounts for corporations and other entities. After an account is opened, the Trust may restrict your ability to purchase additional shares until your identity is verified. The Trust also may close your account or take other appropriate action if it is unable to verify your identity within a reasonable time. If your account is closed for this reason, your shares will be redeemed at the NAV next calculated after the account is closed. Purchases by Mail. For initial purchases, the account application, which accompanies this prospectus, should be completed, signed and mailed to Commonwealth Fund Services, Inc. (the Transfer Agent ), the Fund s transfer and dividend disbursing agent, at 8730 Stony Point Parkway, Suite 205, Richmond, Virginia together with your check payable to the Fund. When you buy shares, be sure to specify the class of shares in which you choose to invest. For subsequent purchases, include with your check the tear-off stub from a prior purchase confirmation or otherwise identify the name(s) of the registered owner(s) and social security number(s). Purchases by Wire. You may purchase shares by requesting your bank to transmit by wire directly to the Transfer Agent. To invest by wire, please call the Trust at (800) or the Transfer Agent at (800) to advise the Trust of your investment and to receive further instructions. Your bank may charge you a small fee for this service. Once you have arranged to purchase shares by wire, please complete and 16