485BPOS
2012-12-05
false
Eudora Funds
0001554370
2012-12-05
<div style="display:none">~ http://xbrl.sec.gov/rr/role/ShareholderFeesData column dei_LegalEntityAxis compact fil_S000038606Member column rr_ProspectusShareClassAxis compact * row primary compact * ~</div>
<div style="display:none">~ http://xbrl.sec.gov/rr/role/OperatingExpensesData column dei_LegalEntityAxis compact fil_S000038606Member column rr_ProspectusShareClassAxis compact * row primary compact * ~</div>
-0.0200
20
<div style="display:none">~ http://xbrl.sec.gov/rr/role/RiskReturnDetailData row dei_DocumentInformationDocumentAxis compact * row dei_LegalEntityAxis compact * row rr_ProspectusShareClassAxis compact * row rr_PerformanceMeasureAxis compact * row primary compact * ~</div>
0.0125
0
0.0100
0.0002
0.0227
-0.0050
0.0177
<div style="display:none">~ http://xbrl.sec.gov/rr/role/ExpenseExample column dei_LegalEntityAxis compact fil_S000038606Member column rr_ProspectusShareClassAxis compact * row primary compact * ~</div>
<div style="display:none">~ http://xbrl.sec.gov/rr/role/ExpenseExampleNoRedemption column dei_LegalEntityAxis compact fil_S000038606Member column rr_ProspectusShareClassAxis compact * row primary compact * ~</div>
<div style="display:none">~ http://xbrl.sec.gov/rr/role/PerformanceTableData column dei_LegalEntityAxis compact fil_S000038606Member row primary compact * ~</div>
<div style="display:none">~ http://xbrl.sec.gov/rr/role/MarketIndexPerformanceData column dei_LegalEntityAxis compact fil_S000038606Member row primary compact * row rr_PerformanceMeasureAxis compact * ~</div>
180
661
<p><b>Investment Objective</b></p>
<p>Long-term capital appreciation.</p>
<p><b>Fees and Expenses of the Fund</b></p>
<p>The following table describes the fees and expenses that you may pay if you buy and hold shares of the Fund.</p>
<p><b>Shareholder Fees (fees paid directly from your investment)</b></p>
<p><b>Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)</b></p>
<p><b>Example</b></p>
<p>This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds.</p> <p> </p> <p>The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of those periods.  The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same.  Although your actual costs may be higher or lower, based upon these assumptions your costs would be:</p>
<p><b>Portfolio Turnover</b></p>
<p>The Fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio).  A higher portfolio turnover may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account.  These costs, which are not reflected in annual fund operating expenses or in the Example, affect the Fund's performance.</p>
<p><b>Principal Investment Strategies</b></p>
<p>The Fund's adviser seeks to achieve the Fund's investment objective by investing primarily in (1) common stocks, (2) fixed income securities (i.e., high yield bonds (commonly referred to as "junk bonds"), investment grade corporate bonds and government issued bonds), (3) exchange-traded funds ("ETFs") that invest primarily in common stocks or fixed income securities and (4) options on common stocks, equity index sector ETFs and equity indexes.  The Fund will focus its ETF investments in index sector-based ETFs.  The Fund invests without restriction as to issuer or counterparty capitalization, country, currency, or fixed income security credit quality or maturity, whether held directly or through ETFs.  The Fund expects the fixed income portion of the portfolio to have a duration of 10 years or less.  Duration is a measure of a fixed income security's average life that reflects the present value of the security's cash flow, and accordingly, is a measure of price sensitivity to interest rate changes.  Duration is expressed in years, like maturity, but it is a better indicator of price sensitivity than maturity because it takes into account the time value of cash flows generated over the security's life.  Future interest and principal payments are discounted to reflect their present value and then are multiplied by the number of years they will be received to produce a value expressed in years.  You can estimate the effect of interest rates on a fixed income portfolio share price by multiplying the portfolio's duration by an expected change in interest rates.  For example, the values of a fixed income portfolio with a duration of three years would be expected to fall approximately 3% if interest rates rose by one percentage point.</p> <p> </p> <p>Fixed income securities will be composed primarily of lower quality debt instruments, commonly known as "high yield" or "junk" bonds, some of which may be delinquent, in default or structured as zero coupon bonds that do not pay interest until maturity.  The Fund defines junk bonds as those rated lower than Baa3 by Moody's Investors Service ("Moody's") or lower than BBB- by Standard and Poor's Rating Group ("S&P"), or, if unrated, determined by the adviser to be of similar credit quality.  The adviser selects fixed income securities based on interest income, potential for capital appreciation or both.  Foreign common stocks will be represented primarily by American Depositary Receipts ("ADRs") and to a lesser extent, securities traded on foreign exchanges.  The Fund is non-diversified, which means that the Fund may take a larger position in a small number of companies than a diversified fund.</p> <p> </p> <p>The adviser uses in-depth fundamental analysis to identify securities trading at levels that it believes offer an attractive long-term rate of return relative to their inherent risk measured as the potential for a permanent impairment in the value of the security.  The assessment of risk and potential return is focused on the valuation, durability of the underlying businesses, and the capital allocation policies of an issuer.  To hedge against market, sector or security-specific declines, the adviser purchases protective put options, writes call options (including on assets the Fund does not own), buys inverse ETFs or sells ETFs short.  Such derivatives, used for hedging purposes, may represent up to 100% of the Fund's investment portfolio.  The adviser also uses options as substitutes for underlying assets.  The adviser sells securities when it believes they no longer provide a compelling return relative to risk, fundamentals have deteriorated or more attractive investments are available.  The adviser selects securities that it believes will produce income from dividends and produce capital appreciation.  Additionally, the Fund writes stock index and single stock options to generate what is commonly referred to as income (although premiums received are classified as a capital transaction for accounting and tax purposes and thus as source of capital appreciation) and to reduce exposure to stock market price declines, to the extent of the call option premium received.</p>
<p><b>Principal Investment Risks</b></p>
<p>As with all mutual funds, there is the risk that you could lose money through your investment in the Fund.  Many factors affect the Fund's net asset value and performance. The following risks apply to the Fund directly and indirectly through ETFs.</p> <p> </p> <p><b>Equity Risk.</b> Equity securities may lose value because of factors affecting an entire industry or sector, such as increases in production costs or factors directly related to a specific company, such as decisions made by its management. This risk is greater for small and medium sized companies, which tend to be more vulnerable to adverse developments than larger companies.</p> <p> </p> <p><b>ETF Risk.</b>  ETFs are subject to investment advisory and other expenses, which will be indirectly paid by the Fund.  The cost of investing in the Fund will be higher than the cost of investing directly in ETFs and may be higher than other mutual funds that invest solely in stocks and bonds.  Inverse ETFs limit the Fund's participation in market gains.</p> <p> </p> <p><b>Fixed Income Risk.</b>  When the Fund invests in fixed income securities, the value of the Fund will fluctuate with changes in interest rates.  Defaults by fixed income issuers in which the Fund invests will also harm performance.</p> <p> </p> <p><b>Foreign Investing Risk.</b>  Foreign investing involves risk of adverse fluctuations in foreign currency values as well as adverse political, social and economic developments affecting a foreign country.  In addition, foreign investing involves less publicly available information, and more volatile or less liquid securities markets.  These risks are more pronounced in emerging market countries, which also tend to have relatively unstable governments and fewer legal protections for investors.</p> <p> </p> <p><b>Junk Bond Risk.</b>  Lower-quality bonds, known as "high yield" or "junk" bonds, present greater risk than bonds of higher quality, including an increased risk of default.  An economic downturn or period of rising interest rates could adversely affect the market for these bonds and reduce the Fund's ability to sell its bonds.  The lack of a liquid market for these bonds could decrease the Fund's share price.</p> <p> </p> <p><b>Limited History of Operations.</b>  The Fund is a new mutual fund and has a limited history of operation and the adviser has not previously managed a mutual fund.</p> <p> </p> <p><b>Management Risk.</b>  The adviser's judgments about the attractiveness, value and potential appreciation of securities and options in which the Fund invests may prove to be incorrect and there is no guarantee that the adviser's judgment will produce the desired results.</p> <p> </p> <p><b>Market Risk.</b>  Factors such as domestic and international economic growth, market conditions, interest rate levels and political events may adversely affect the securities markets.</p> <p> </p> <p><b>Non-Diversification Risk.</b>  The Fund's portfolio may focus on a limited number of investments and will be subject to potential for volatility than a diversified fund.</p> <p> </p> <p><b>Option Risk.</b>  Purchased options may expire worthless and may have imperfect correlation to the value of the hedged asset.  Written call options expose the Fund to potential large losses, including potentially unlimited losses when the Fund does not own the reference asset.  Written call options on portfolio securities that the Fund holds will prevent the Fund from participating in gains, including potential capital appreciation, on the reference asset, in exchange for current income.  Written options may also have imperfect correlation to the value of assets they are intended to hedge.</p> <p> </p> <p><b>Security Specific Risk.</b>  The price of a security may decrease in response to the issuers actions and financial prospects.</p> <p> </p> <p><b>Short Position Risk.</b>  If the market price of the ETF sold short increases between the date of the short sale and the date the ETF is replaced, the Fund will incur a loss.</p> <p> </p> <p><b>Smaller Company Risk.</b>  Smaller companies may experience higher failure rates than do larger companies.  Securities of smaller companies may trade less frequently and in smaller volumes than the securities of larger companies, which may disproportionately affect their market price.  </p>
<p><b>PERFORMANCE</b></p>
<p>Because the Fund has less than a full calendar year of investment operations, no performance information is presented for the Fund at this time.  In the future, performance information will be presented in this section of the Prospectus.  Also, shareholder reports containing financial and performance information will be mailed to shareholders semi-annually. Updated performance information will be available at no cost by visiting www.eudorafunds.com or by calling 1-866-232-3837.</p>
<font style="font-size:12.0pt; font-family:Times New Roman">As with all mutual funds, there is the risk that you could lose money through your investment in the Fund.</font>
<font style="font-size:12.0pt; font-family:Times New Roman">www.eudorafunds.com </font>
<font style="font-size:12.0pt; font-family:Times New Roman">866-232-3837</font>
0001554370
2012-12-05
2012-12-05
0001554370
fil:S000038606Member
2012-12-05
2012-12-05
0001554370
fil:S000038606Memberfil:C000119097Member
2012-12-05
2012-12-05
pure
iso4217:USD
Based on estimated amounts for the current fiscal year.
Acquired Fund Fees and Expenses are the indirect costs of investing in other investment companies. The operating expenses in this fee table will not correlate to the expense ratio in the Fund's financial highlights because the financial statements include only the direct operating expenses incurred by the Fund.
The Fund's adviser has contractually agreed to reduce its fees and to reimburse expenses, at least until January 31, 2014, to ensure that total annual Fund operating expenses after fee waiver and reimbursement (exclusive of any taxes, short selling expenses, interest, brokerage commissions, expenses of other investment companies in which the Fund may invest, or extraordinary expenses such as litigation or reorganization costs, but including organizational and offering costs) will not exceed 1.75% of average daily net assets. Fee waivers and expense reimbursements are subject to possible recoupment from the Fund in future years on a rolling three year basis (within the three years after the fees have been waived or reimbursed) if such recoupment can be achieved within the foregoing expense limits. This agreement may be terminated only by the Fund's Board of Trustees.