https://www.sec.gov/Archives/edgar/data/1537140/000158064224000163/rondure-overseas_497.htm497 1 rondure-overseas_497.htm 497
Rondure Overseas Fund
Investor Class - ROSOX
Institutional Class - ROSIX
(a series of Northern Lights Fund Trust III)
Supplement dated January 9, 2024 to
the Prospectus and Statement of Additional Information dated October 20, 2023
The Board of Trustees of Northern Lights Fund Trust III (the “Board”) has concluded that it is in the best interests of the Rondure Overseas Fund (the “Fund”) and its shareholders that the Fund cease operations. The Board has determined to close the Fund and redeem all outstanding shares on or about February 8, 2024 (“Redemption Date”).
Effective immediately, the Fund will not accept any new investments, will no longer pursue its stated investment objective, and will begin liquidating its portfolio and will invest in cash equivalents such as money market funds until all shares have been redeemed. Any required distributions of income and capital gains will be distributed as soon as practicable to shareholders and reinvested in additional shares, unless you have previously requested payment in cash.
Prior to or on the Redemption Date, you may redeem your shares, including reinvested distributions, in accordance with the “How to Redeem Shares” section in the Prospectus. Unless your investment in the Fund is through a tax-deferred retirement account, a redemption is subject to tax on any taxable gains. Please refer to the “Tax Status, Dividends and Distributions” section in the Prospectus for general information. You may wish to consult your tax advisor about your particular situation.
ANY SHAREHOLDERS WHO HAVE NOT REDEEMED THEIR SHARES OF THE FUND PRIOR TO THE REDEMPTION DATE WILL HAVE THEIR SHARES AUTOMATICALLY REDEEMED AS OF THAT DATE, AND PROCEEDS WILL BE SENT TO THE ADDRESS OF RECORD. If you have questions or need assistance, please contact your financial advisor directly or the Fund at 1-855-775-3337.
This Supplement, and the Prospectus and Statement of Additional Information dated October 20, 2023, provide relevant information for all shareholders and should be retained for future reference. Both the Prospectus and the Statement of Additional Information have been filed with the Securities and Exchange Commission, are incorporated by reference and can be obtained without charge by calling the Fund at 1-855-775-3337.
Comments
Laura Geritz received many accolades in the press before and after she founded Rondure Global.
According to M*, Rondure Overseas Fund only has $9.5 Mil AUM.
As TheShadow mentioned, probably not worth the effort...
Rondure New World Fund still remains with $163.1 Mil AUM.
Morningstar 1* / 2*, Negative
Firm https://www.morningstar.com/funds/xnas/rosix/parent
From Barron's 5/22/21:
VALUE has lagged badly for so long, that it is risky to pick the NEXT GENERATION of value hunters. But that didn’t stop Barron’s from coming up with the following list (all have 10+ years of career ahead of them).
.....
Laura GERITZ, 49, Rondure Global (RNWOX, ROSOX). Quality-contrarian looks for high returns and free cash flows.
Rondure family will now have only EM RNWOX / RNWIX, 3* / 4*. Negative. It has received several favorable mentions in Barron's.
Interesting that Barron's put Geritz in the list of upcoming value managers, but her style in both of her funds is growth or blend.
January 10, 2024
Dear Shareholders:
After careful consideration, Rondure Global Advisors has decided to close the Rondure Overseas Fund (ticker: ROSIX/ROSOX) on February 8, 2024. It was a difficult decision, but after weighing the pros and cons, we believe it is in the best interest of the Fund and its shareholders.
Since the Fund’s launch in 2017, its assets have consistently been insufficient to generate appropriate economies of scale, resulting in higher operating costs. We ultimately concluded that the Fund’s continued operation was not economically viable for Fund shareholders or the firm. We apologize for any inconvenience its closure may cause you.
As an investor in the Overseas Fund, you have two options prior to February 8, 2024: 1) You may redeem your account or 2) you may exchange into our emerging markets strategy, the Rondure New World Fund (ticker: RNWIX/RNWOX). If neither is done prior to February 8, you will receive a check shortly after the 8th for the value of your account. Please note all options are considered taxable events. Click here for more information: https://go.rondureglobal.com/e/896781/rondure-/dj5r8/362026087/h/cfYqdOa-zsupscok_7riMVFCZxW8BcWN3hh_tubmHEg
We at Rondure look forward to building on our core strength in emerging markets investing as we devote additional resources to the growth and development of our emerging market strategies going forward.
Thank you in advance for your understanding and support.
Best regards,
The Rondure Global Advisors Team
In some ways it's a classic "not quite enough" story. The performance pattern is exactly what you wanted to see in a risk conscious fund. In years when the market was up (2019, 2020, 2021) this fund generally posted double digit returns. In periods when the market was down this fund generally protected better than its peers.
The exception was the past 12 months when it lagged in both directions.
Since inception the fund has returned 2.5% annually (against 4.7% for its Lipper peer group) but has substantially better standard deviation, downside deviation, down market deviation and Ulcer Index than its peers. But the fund trailed so dramatically in 2019 and 2023 that it became untenable.
Never was invested in it. I had begun to repatriate the lion's share of foreign stuff in my portfolio. Disappointed with the stuff I held offshore. Now I'm just 7% foreign--- because of Fund Managers' choices...