Carret Kansas Tax-Exempt Bond Fund Institutional Class (SEKSX)

Overview

The fund focuses on capital preservation while aiming to generate income that is exempt from both federal and Kansas state taxes. It achieves this goal by investing in municipal bonds issued within Kansas. These bonds are selected based on their investment-grade rating at the time of purchase and have maturities of up to 20 years. Unlike diversified funds, this fund is non-diversified, indicating a concentrated investment approach in the Kansas municipal bond market.

Products and Services

• Capital Preservation:

The primary goal of the fund is to protect the invested principal. This approach appeals to conservative investors, particularly those nearing retirement or seeking less risk in their investment portfolio.

• Income Generation:

The fund seeks to provide current income that is not subject to federal and Kansas state income taxes. This is particularly advantageous for residents of Kansas looking for tax-efficient income streams.

• Municipal Bond Investments:

Investments are made in a selection of municipal bonds issued within Kansas. These bonds are chosen for their investment-grade quality at the time of purchase, reflecting a lower risk of default compared to non-investment-grade bonds. The fund targets bonds with maturities of up to 20 years, which can offer a balance between yield and duration risk.

• Non-Diversified Status:

The non-diversified nature of the fund means it may invest more heavily in fewer securities. While this could lead to greater volatility and risk in certain scenarios, it also allows for potentially higher returns from concentrated investments in the Kansas municipal bond market.