Fund Risks
Investing in the Fund involves risk, including possible loss of principal invested. There can be no assurance that the Fund will achieve its investment objective.
The Fund's investments are concentrated in energy infrastructure companies, which are subject to risks specific to the industry, such as fluctuations in commodity prices, reduced volumes of natural gas or other energy commodities, environmental hazards, changes in the macroeconomic or the regulatory environment, or extreme weather.
Investing in master limited partnerships (MLPs) involves certain risks related to investing in the underlying assets of the MLPs and risks associated with pooled investment vehicles. The Fund invests in small- and mid-cap companies, which involve additional risks such as limited liquidity and greater volatility. In addition, investing in MLPs involves material income tax risks and certain other risks. Actual results, performance or events may be affected by, without limitation, (1) general economic conditions, (2) performance of financial markets, (3) interest rate levels, (4) changes in laws and regulations, and (5) changes in the policies of governments and/or regulatory authorities.
The Fund intends to be taxed as a regulated investment company ("RIC") under Subchapter M of the Internal Revenue Code of 1986, as amended (the "Code"), rather than a "C" corporation, beginning with the tax year that runs October 1, 2025 through September 30, 2026, and comply with all RIC-related restrictions including limits its investments in qualified publicly-traded partnerships to 25% of its total assets, thereby avoiding taxation as a "C" corporation under the Code.
The Fund is not required to make distributions, and in the future the Fund could decide not to make such distributions or not to make distributions at a rate that over time is similar to the distribution rate it receives from the MLPs in which it invests. It is expected that a portion of the distributions will be considered tax-deferred return of capital (ROC). The portion of the Fund's distributions that are considered ROC may vary materially from year to year. An investment in the Fund may not receive the same tax advantages as a direct investment in the MLP.
