The Board of Directors of Fairholme Funds, Inc. has approved the re-opening of The Fairholme Allocation Fund (NASDAQ:FAAFX) to new investors. Effective November 18, 2015, The Fairholme Allocation Fund (the “Allocation Fund”) will offer its shares to new investors and begin accepting orders for the purchase of the Allocation Fund’s shares from new investors.
The Allocation Fund retains the right to suspend the sale of its shares to investors in the future.
A supplement to the Fairholme Funds, Inc. Prospectus and the Allocation Fund’s Summary Prospectus, which has been filed with the Securities and Exchange Commission, provides additional information about the terms of the Allocation Fund’s offerings.
The Allocation Fund’s investment objectives, risks, charges, and expenses should be considered carefully before investing. The prospectuscontains this and other important information about the Allocation Fund, and it may be obtained by calling Shareholder Services at 1-866-202-2263 or visiting our website www.fairholmefunds.com. Read it carefully before investing.
Investing in the Allocation Fund involves risk including loss of principal. The Allocation Fund is a non-diversified mutual fund, which means that the Allocation Fund invests in a smaller number of securities when compared to more diversified funds. This strategy exposes the Allocation Fund and its shareholders to greater risk of loss from adverse developments affecting portfolio companies. The Allocation Fund may invest in lower-rated securities, which may have greater market risk. The allocation of investments among the different asset classes, such as equity or fixed-income asset classes, may have a more significant effect on The Allocation Fund’s net asset value when one of these classes is performing more poorly than others.
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Contacts:
Jodi Lin, 305-358-3000
