The Bretton Fund made a long-term capital-gain distribution to shareholders on December 16, 2022, of $0.948741 per share, amounting to 2% of the fund’s NAV. There were no other distributions for the year. If you have any questions, you can call our shareholder service center at 800.231.2901 or email us at info@brettonfund.com.
| Long-Term Capital Gains | Short-Term Capital Gains | Income Dividend | Record Date | Pay and Ex-Date | Reinvest NAV |
| $0.948741 | None | None | 12/15/22 | 12/16/22 | $47.55 |
What’s a Distribution?
Certain portfolio transactions by mutual funds over the course of the year incur taxes, which then must be distributed to shareholders by the end of the year. Tax liabilities are created from 1) short-term capital gains from selling securities held for less than a year; 2) long-term capital gains from selling securities held longer than a year; 3) income from stock dividends; and 4) interest income from bonds.
For standard, taxable accounts, shareholders can choose to receive their distributions in cash or in the form of reinvested shares, and this election is made at the time of the account’s creation. Most shareholders opt to reinvest. In years the fund makes a taxable distribution, tax forms are mailed out near the end of the coming January. On the day of the distribution, the fund’s reported NAV is reduced by the amount of the distribution, and shareholders receive the difference in cash or additional shares.
Since IRA accounts are tax-exempt, distributions are always reinvested. There is no economic impact of a distribution for IRA accounts; the NAV is reduced the day of the distribution and shareholders receive additional shares that offset the lower NAV.