Fund Description

The fund was incepted in December 1999 and is managed by Kinetics Asset Management, Inc. The fund seeks long-term growth of capital. The fund invests its investable assets in the Paradigm Portfolio. Under normal circumstances, the fund invests at least 65% of its net assets in common stocks, convertible securities, warrants and other equity securities having the characteristics of common stocks, such as ADRs and IDRs, of U.S. and foreign companies. The fund invests in companies, which the fund managers believe are undervalued and that have high returns on equity and are well positioned to reduce their costs, extend the reach of their distribution channels and experience significant growth in their assets or revenues. The fund may invest up to 20% of its total assets in convertible and non-convertible debt securities rated below investment grade, also known as junk bonds, or unrated securities of comparable quality. The fund declares dividends and capital gains annually.