http://www.sec.gov/Archives/edgar/data/99203/000110465913016523/a13-6195_10497.htmFPA NEW INCOME, INC.
SUPPLEMENT DATED MARCH 1, 2013, TO PROSPECTUS DATED JANUARY 30, 2013
The Board of Directors of FPA New Income, Inc. (the “Fund”), has approved the elimination of all front-end sales charges effective for purchases of Fund shares beginning April 1, 2013. In addition, beginning April 1, 2013, Fund shares will no longer be subject to deferred sales charges if redeemed within one year of purchase. Also, effective on that date, all purchases of shares of the Fund will be processed at net asset value on the trade date…
http://www.sec.gov/Archives/edgar/data/76210/000110465913016522/a13-6195_13497.htmFPA PARAMOUNT FUND, INC.
SUPPLEMENT DATED MARCH 1, 2013, TO PROSPECTUS DATED JANUARY 30, 2013
The Board of Directors of FPA Paramount Fund, Inc. (the “Fund”), has approved the elimination of all front-end sales charges effective for purchases of Fund shares beginning April 1, 2013. In addition, beginning April 1, 2013, Fund shares will no longer be subject to deferred sales charges if redeemed within one year of purchase. Also, effective on that date, all purchases of shares of the Fund will be processed at net asset value on the trade date…
http://www.sec.gov/Archives/edgar/data/99188/000110465913016521/a13-6195_7497.htmFPA CAPITAL FUND, INC.
SUPPLEMENT DATED MARCH 1, 2013, TO PROSPECTUS DATED JULY 30, 2012
The Board of Directors of FPA Capital Fund, Inc. (the “Fund”), has approved the elimination of all front-end sales charges effective for purchases of Fund shares beginning April 1, 2013. In addition, beginning April 1, 2013, Fund shares will no longer be subject to deferred sales charges if redeemed within one year of purchase. Also, effective on that date, all purchases of shares of the Fund will be processed at net asset value on the trade date. Shares of the Fund are presently offered for sale only to existing shareholders and to directors, officers and employees of the Fund, the Adviser, and affiliated companies, and their immediate relatives…
http://www.sec.gov/Archives/edgar/data/732041/000110465913016520/a13-6195_16497.htmFPA PERENNIAL FUND, INC.
SUPPLEMENT DATED MARCH 1, 2013, TO PROSPECTUS DATED APRIL 30, 2012
The Board of Directors of FPA Perennial Fund, Inc. (the “Fund”), has approved the elimination of all front-end sales charges effective for purchases of Fund shares beginning April 1, 2013. In addition, beginning April 1, 2013, Fund shares will no longer be subject to deferred sales charges if redeemed within one year of purchase. Also, effective on that date, all purchases of shares of the Fund will be processed at net asset value on the trade date…
Comments
http://www.fpafunds.com/docs/fund-announcements/fpa-press-release-no-load-final.pdf?sfvrsn=2
http://www.morningstar.com/cover/videocenter.aspx?id=577102
(Recent M* video interview with lead manager Atteberry.)
http://blogs.marketwatch.com/fundmastery/2011/03/31/fpaa-bob-rodriguez-is-worried/
(Rodriguez now serving in more of an advisory than managerial role)
If you can find a negative article, ever, anywhere on this fund, I'd like to read it.
River Park is a new twist on the concept of enhanced cash funds (which generally imploded in 2008; some notoriously, others just got caught in the hurricane). It gets its yield from junk bonds (80% or more of portfolio rated BB or below, per prospectus), and its protection from very short maturities, sinking funds, etc. While one hopes the risk is being well managed (and so far, appears to be), the only significant price movement possible would seem to be to the downside. That is, because of the short maturity, you won't get price appreciation; the only potential price movement would seem to be downward should something unexpectedly bad happened.
In contrast, New Income is a traditional bond fund with upside as well as downside potential. It is managed with capital preservation as a guiding objective. But that doesn't mean it is conservative in its holdings. It can hold up to 15% in IO bonds and inverse floaters. These give it the ability to appreciate as interest rates rise (and are part of the reason I find the fund so interesting). The quality of its portfolio is of course higher than BB.
New Income can serve as a good conservative bond fund. River Park can serve as a cash+ fund. Different objectives, different portfolios, different ways of investing. Each has its role.
Archaic
FPACX is a no-load at this time. Just happens at Fidelity it is a TF fund. Once you pay the first transaction fee you can add monthly with no additional fees if set up as an automatic investment. You can always set it up, put in one months contributions and then cancel next months.See link for details.
Art
http://www.fpafunds.com/docs/fund-announcements/fpa-press-release-no-load-final.pdf?sfvrsn=2
Interestingly, cushion bonds (which the fund also uses) have the opposite attribute. They may be redeemed further in the future than expected.
These are bonds that trade at a premium (because of an above market rate coupon), but have a call feature. They're expected to be redeemed on the call date (again, because of the above market rate coupon), and priced accordingly. If they're not called, they remain outstanding longer than expected and the owner continues to get above market rate returns. Nice feature - right now I have a cushion bond in my portfolio that has passed its call date. And more with call dates coming up soon.