ALL SEASONS FUND: JANUARY 2023 – COMMENTARY LETTER
The All Seasons Fund ended the month of January up +1.57%.
Market Review
Economic data provided a boost to equities in January. Real GDP grew at an annualized 2.9%, core spending remained positive, and the job market remained strong with nonfarm payroll gains for January –the strongest gain in a year. Moreover, high inflation expectations were more muted than in past months with a bit more dovish comments coming from Fed Chair Powell.
However, there remains a myriad of concerning issues. Corporate earnings showed little growth, the yield curve remains inverted, and wage growth is an area of concern for the Fed. February offers more data on jobs, consumer price index (CPI), and retail sales.
In general, the Fund strategy lowered its trading exposures during the month. Large trading opportunities were less prevalent with the volatility index (VIX) drifting lower in the month. As markets drift toward spring, we believe volatility is not likely to drop below the mid-teens with so much uncertainty around inflation and the Fed path.
Sincerely yours,
Investors should consider the investment objectives, risks, charges and expenses carefully before investing. For a prospectus or summary prospectus with this and other information about the Fund, please call 1-800-MUTUALS or visit our website at www.USAMutuals.com. Read the prospectus or summary prospectus carefully before investing.
Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. Share prices and investment returns fluctuate and an investor’s shares may be worth more or less than the original cost upon redemption. For performance data as of the most recent month-end please call 1-866-264-8783.
Fund Objective:
The All Seasons Fund seeks capital appreciation and preservation with lower volatility throughout market cycles. The resulting portfolio targets a high correlation to the S&P 500 in bull markets and a lower, or negative, correlation in bear markets.
Standardized performance as of (12/31/2022) Fund Inception (02/01/2002)
| 1 Year | 5 Year | 10 Year | Since Inception | |
| UNAVX | 6.91% | 5.50% | 8.38% | 10.65% |
| S&P 500 Index | -18.11% | 9.42% | 12.56% | 8.17% |
Performance data quoted represents past performance; past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by calling 1-866-264-8783. Returns over one year are annualized. The Gross and Net expense 3.46% and 2.00%. The advisor has contractually agreed to limit expenses to 1.99% of the average net assets of the Fund through 7/31/2023.
Definitions:
The S&P 500 Index: An unmanaged composite of 500 large capitalization companies. This index is widely used by professional investors as a performance benchmark for large-cap stocks. You cannot invest directly in an index.
VIX: VIX is the ticker symbol and the popular name for the Chicago Board Options Exchange’s CBOE Volatility Index, a popular measure of the stock market’s expectation of volatility based on S&P 500 index options.
SYMBOL: UNAVX
