The River Rock IV Fund, providing innovative investment solutions in an increasingly complex world. The fund seeks to preserve and increase the purchasing power value of each shareholder’s account over the long-term, regardless of current or future market conditions, through strategic investments in a broad array of different asset classes.
About our Name:
In the northwest corner of Wyoming lays the Thorofare region, perhaps the most isolated area in the lower 48 states one that can only be reached by hiking, horseback or canoe. Here a river begins with inauspicious beginnings, a meandering, braided stream with a clean gravel bottom. It lies in a broad mountain valley, one to three miles across. Other than the isolated beauty surrounding it, it is at this point very humble. Its course takes it through the largest high altitude lake in North America, over a falls more than twice as high as Niagara, carves a canyon over 1,200 feet deep, eventually flowing unabated by dam for 671 miles, the longest free running river in the U.S. Don’t tell that to the rocks in its bed though. For they dictate terms, saying “here I stand, and you will flow around”. They offer sanctuary to the denizens of the river, providing both a shelter and current break, ever resolute in their defiance to the pounding waters. In a lot of ways, rivers are a lot like the markets, serene at times, then suddenly violent. Our goal is to be the rocks. Tim Price, Chief Investment Officer
Investors should carefully consider the investment objectives, risks, charges and expenses of the River Rock IV Fund. This and other important information about the Fund is contained in the prospectus, which can be obtained by calling 800-297-9287. The prospectus should be read carefully before investing. The River Rock IV Fund is distributed by Northern Lights Distributors, LLC member FINRA. CARF Management, LLC, Op 8 Analytics, LLC, FISCO Funds Management, LLC and Northern Lights Distributors, LLC are not affiliated.
Mutual Funds involve risk including possible loss of principal.
This is an actively managed dynamic portfolio. There is no guarantee that any investment (or this investment) will achieve its objectives, goals, generate positive returns, or avoid losses. Investments in commodities may be especially volatile.
The Fund will invest a percentage of its assets in derivatives, such as futures and options contracts. The use of such derivatives may expose the Fund to additional risks that it would not be subject to if it invested directly in the securities and commodities underlying those derivatives. The Fund may experience losses that exceed losses experienced by funds that do not use futures contracts and options.
Investing in the commodities markets through commodity-linked mutual funds or Exchange-Traded Funds (“ETFs”) or Exchange-Traded Notes (“Exchange-Traded Notes”) will subject the Fund to potentially greater volatility than traditional securities. Although the prices of equity securities and fixed-income securities, as well as other asset classes, often rise and fall at different times so that a fall in the price of one may be offset by a rise in the price of the other, in down markets the prices of these securities and asset classes can also fall in tandem. Because the fund allocates its investments among different asset classes, the fund is subject to correlation risk.
Credit Risk is when issuers do not make interest or principal payments on securities, resulting in losses to the Fund. In addition, the credit quality of securities held by the Fund may be lowered if an issuer's financial condition changes.
Typically, a rise in interest rates causes a decline in the value of fixed income securities.
The use of leverage, such as engaging in reverse repurchase agreements, entering into futures contracts or forward currency contracts, and engaging in forward commitment transactions, may magnify the Fund's gains or losses. Because many derivatives have a leverage component, adverse changes in the value or level of the underlying asset, reference rate or index can result in a loss substantially greater than the amount invested in the derivative itself.
The Fund is a new mutual fund and has a limited history of operation.
The Fund is non-diversified, meaning that the Fund is permitted to invest more of its assets in fewer issuers than “diversified” mutual funds.
If a put or call option purchased by the Fund were permitted to expire without being sold or exercised, the Fund would lose the entire premium it paid for the option. The risk involved in writing a put option is that there could be a decrease in the market value of the underlying future, security, currency or other asset. If this occurred, the option could be exercised and the underlying future, security, currency or other asset would then be sold to the Fund at a higher price than its current market value. The risk involved in writing a call option is that there could be an increase in the market value of the underlying future, security, currency or other asset. If this occurred, the option could be exercised and the underlying future, security, currency or other asset would then be sold by the Fund at a lower price than its current market value.
Securities or other investments selected using quantitative methods may perform differently from the market as a whole.
ETF's are subject to specific risks, depending on the nature of the underlying strategy of the fund. These risks could include liquidity risk, sector risk, as well as risks associated with fixed income securities, real estate investments, and commodities, to name a few.
Increased portfolio turnover may result in higher brokerage commissions, dealer mark-ups and other transaction costs and may result in taxable capital gains. Higher costs associated with increased portfolio turnover may offset gains in a Fund’s performance.
Direct investments in individual smaller and medium capitalization companies may be more vulnerable than larger, more established organizations to adverse business or economic developments.