Fund Fees and Other Expenses
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs including, but not limited to, transaction fees at some broker-dealers, custodial fees for retirement accounts, redemption fees (on The Fairholme Fund and The Fairholme Allocation Fund shares redeemed within 60 days of purchase), and wire transfer fees; and (2) ongoing costs including, but not limited to, management fees paid to the Manager.
Below are the expense ratios, as reported in the current Prospectus, for each Fund. The expense ratio includes acquired fund fees and expenses, which are incurred indirectly by the Fund as a result of investments in securities issued by one or more investment companies, including money market funds.
The Fairholme Fund: 1.02%
The Fairholme Focused Income Fund: 1.00%
The Fairholme Allocation Fund: 1.00%
*Effective January 1, 2018, the Manager has agreed to waive, on a voluntary basis, a portion of the management fee of The Fairholme Fund, The Fairholme Focused Income Fund and The Fairholme Allocation Fund to the extent necessary to limit the management fee paid to the Manager by The Fairholme Fund, The Fairholme Focused Income Fund and The Fairholme Allocation Fund, respectively, to an annual rate of 0.80% of that Fund’s daily average net asset value. This Undertaking may be terminated by the Manager upon 60 days’ written notice to the applicable Fund.
To discourage speculators from short-term trading in The Fairholme Fund and The Fairholme Allocation Fund, we charge a 2% redemption fee if shares in these Funds are redeemed within 60 days of initial purchase. Any money collected from this short-term redemption penalty is deposited back into the respective Fund for the benefit of its shareholders.
Read the Prospectus and Statement of Additional Information (SAI) for more information about fees.
Fairholme Funds, Inc.
All investments are subject to inherent risk, including possible loss of the principal amount invested. There is no guarantee that the Funds will meet their objectives. Read about other risks of investing in Fairholme's Prospectus and SAI.
SHARES OF FAIRHOLME MUTUAL FUNDS ARE DISTRIBUTED BY FAIRHOLME DISTRIBUTORS, LLC