Touchstone Investments announced that, after careful consideration, the Board of Trustees of the Touchstone Funds approved the items summarized below at its May 21, 2020 meeting. For more information, please review each item below or contact us at 800-543-0407.
In the coming months there will be several changes related to the Touchstone Sands Capital Select Growth Fund and the Touchstone Sands Capital Institutional Growth Fund. Touchstone Sands Capital Select Growth Fund will have its fees modified and new share classes will be launched.
Touchstone believes these actions will benefit shareholders as well as enhance marketability and improve the opportunity for increased sales and assets.
1. Effective June 1, 2020 – The expense caps for the Touchstone Sands Capital Select Growth Fund are modified as shown in the table below.
|
Class |
Symbol |
Annual Fund Operating Expense Level* |
|
|
Total |
Net |
||
|
A |
TSNAX |
1.22% |
1.20% |
|
C |
TSNCX |
1.99% |
1.95% |
|
Y |
CFSIX |
0.96% |
0.95% |
|
Z |
PTSGX |
1.27% |
1.19% |
*Total Annual Fund Operating Expenses have been restated to reflect contractual changes in the Fund's Investment Advisory Agreement effective June 1, 2020 and include Acquired Fund Fees and Expenses. Touchstone Advisors has contractually agreed to waive a portion of its fees and/or reimburse certain Fund expenses in order to limit certain annual fund operating expenses (excluding Acquired Fund Fees and Expenses “AFFE,” and other expenses, if any) to 1.15% for Class A shares, 1.90% for Class C shares, 0.90% for Class Y shares and 1.14% for Class Z shares. These expense limitations will remain in effect until at least 05/31/2021.
Please read the prospectus supplement for more information.
2. Effective August 1, 2020 – The distribution frequency will move from quarterly to annually for both the Touchstone Sands Capital Sands Select Growth Fund and Touchstone Sands Capital Institutional Growth Fund.
Please read the Touchstone Sands Capital Select Growth Fund prospectus supplement and the Touchstone Sands Capital Institutional Growth Fund prospectus supplement for more information.
3. September 2020 – Institutional and R6 share classes of the Touchstone Sands Capital Select Growth Fund will be launched on or about September 1, 2020. Touchstone Advisors has contractually agreed to waive a portion of its fees and/or reimburse certain Fund expenses in order to limit certain annual fund operating expenses (excluding Acquired Fund Fees and Expenses “AFFE,” and other expenses, if any) in order to limit operating expenses to 0.78% and 0.72% for the new Institutional and R6 share classes, respectively.
Please read the Touchstone Sands Capital Select Growth Fund prospectus supplement and the Touchstone Sands Capital Institutional Growth Fund prospectus supplement for more information.
4. December 2020 – The Sands Capital Institutional Growth Fund will be merged into the newly created Institutional share class of the Touchstone Sands Capital Select Growth Fund on or about December 11, 2020. Both Funds are sub-advised by Sands Capital Management, LLC. The Funds have the same investment goals and principal investment strategies; the merger is not expected to result in material tax considerations. The current expense limitation of the Sands Capital Institutional Growth Fund is 0.80%.
Please read the prospectus supplement for more information.
In sum, the actions will benefit shareholders of each Fund due to the modified fees and greater asset size of the combined Fund. In each case, the proposed structures are favorable to current and prospective fund shareholders. Shareholders will be receiving additional documentation.
About Touchstone Investments
Touchstone Investments is a Distinctively Active mutual fund company committed to providing investors with access to institutional asset managers who provide active management in a sub-advisory capacity. Managed by sub-advisors with high-conviction, concentrated portfolios, Touchstone’s entire equity fund lineup is composed of high Active Share funds, which means their holdings are highly differentiated from their benchmarks. Touchstone’s sub-advisor selection and monitoring approach is built upon the conviction that an asset manager’s organizational stability, quality of its personnel, adherence to its investment discipline and infrastructure represent the elements of repeatable, value-added performance results over time. This philosophy has resulted in a diverse but focused product offering that gives investors a full breadth of investment options across styles and asset classes. The Touchstone Funds are advised by Touchstone Advisors, Inc., a registered investment advisor, and are distributed nationally through intermediaries, including broker-dealers, financial planners and institutions by Touchstone Securities, Inc., a registered broker-dealer and member FINRA/SIPC. Touchstone, Touchstone Funds and Touchstone Investments are federal service mark registrations and applications owned by IFS Financial Services, Inc. Touchstone Securities, Inc., Touchstone Advisors, Inc., and IFS Financial Services, Inc., are members of Western & Southern Financial Group. For more information, visit TouchstoneInvestments.com.
Company Contact:
Sharon Karp
Touchstone Investments
513-362-8026
sharon.karp@touchstonefunds.com
Media Contact:
José Marques
Western & Southern Financial Group
513-629-1488
jose.marques@westernsouthern.com
