Values-Based Global Asset Managers Contact1-800-728-8762

Idaho Tax-Exempt Fund


Fund Facts

As of September 30, 2015
Net Assets: $18.27 Million
Ticker Symbol: NITEX
CUSIP: 804096204
Inception Date: September 4, 1987
Minimum Initial Investment: $1,000
30-Day Yield¹: 1.36%

Portfolio Manager

Phelps McIlvaine Phelps McIlvaine

Portfolio Manager since 1995

Patrick Drum Patrick Drum MBA, CFA, CFP®

Deputy Portfolio Manager since 2015

Investment Style

Targeted to investors seeking income free from federal income, federal alternative minimum, and Idaho state income taxes

Dollar-weighted average maturity between 6 and 15 years

Investment grade municipal bonds, Idaho focused

Diversified across industries and companies

Actively managed by the award-winning, values-based, global expertise of Saturna Capital

Investment Objective

Idaho Tax-Exempt Fund seeks to provide income free from federal income, federal alternative minimum and Idaho state income taxes, with a secondary objective of capital preservation.

Principal Investment Strategies

Idaho Tax-Exempt Fund invests in debt securities issued by political subdivisions of the State of Idaho. These municipal bonds, notes and commercial paper may be in various forms, including general obligation bonds, revenue bonds, mortgage bonds, certificates of participation, local improvement district bonds, and refunding bonds.

The Fund buys investment grade bonds, meaning those rated "Baa" or higher by a national bond rating agency (e.g., Moody's Investor's Services), or, if unrated, of equivalent quality in the opinion of the adviser, considered at the time of purchase. At least 40% of bonds that the Fund buys must be rated "A" or higher or, if unrated, of equivalent quality, on a similar basis.

Up to 60% of total assets of the Fund can be invested in non-rated bonds. The adviser will purchase only those non-rated bonds that it believes are liquid and can be sold at the value consistent with that used for net asset value purposes.

Principal Risks of Investing in the Fund

The value of Fund shares rises and falls as the value of the bonds in which the Fund invests goes up and down. The risks inherent in the Fund depend primarily on the terms and quality of the obligations in the Fund's portfolio, as well as on market conditions. When interest rates rise, bond prices fall. When interest rates fall, bond prices go up. Bonds with longer maturities, such as those held by the Fund, usually are more sensitive to interest rate changes than bonds with shorter maturities. Only consider investing in the Fund if you are willing to accept the risk that you may lose money.

The Fund entails credit risk, which is the possibility that a bond will not be able to pay interest or principal when due. If the credit quality of a bond is perceived to decline, investors will demand a higher yield, which means a lower price on that bond to compensate for the higher level of risk. If a security held by the Fund defaults on payment of interest or principal, the Fund's income, ability to preserve capital, and liquidity would all be adversely affected.

Fund investments are susceptible to factors adversely affecting Idaho, such as political, economic and financial trends unique to this relatively small state. Investing only in Idaho bonds means that the Fund's investments are more concentrated than other mutual funds, and relatively few bond price changes may lead to underperformance compared to investments selected in greater number and/or from a wider universe.

The Fund is vulnerable to income tax rate changes, either at the Idaho or federal level, since part of municipal securities' value is derived from the recipient's ability to exclude interest payments from taxation.


Daily Price & Stats

Scroll right to see more.   >   >

As of February 10, 2016 Ticker Price Change YTD 30-Day Yield¹ Dividend
January 29, 2015
Idaho Tax-Exempt NITEX $5.56 $0.00 1.30% 1.25% $0.01167 TXFR

Scroll right to see more.   >   >

Average Annual Total Returns

Scroll right to see more.   >   >

Month-end, as of January 31, 2016 Ticker 1 Year 3 Year 5 Year 10 Year Expense
Idaho Tax-Exempt NITEX 1.85% 2.56% 3.96% 3.73% 0.65% 1.30%
S&P Idaho Municipal Bond Index 3.69% 4.36% 6.59% 5.24% n/a n/a
Quarter-end, as of December 31, 2015 Ticker 1 Year 3 Year 5 Year 10 Year Expense
Idaho Tax-Exempt NITEX 2.21% 2.26% 3.71% 3.68% 0.65% 1.40%
S&P Idaho Municipal Bond Index 4.40% 4.08% 6.20% 5.14% n/a n/a

Scroll right to see more.   >   >

Growth of $10,000

Growth of $10,000Growth of $10,000

This chart illustrates the performance of a hypothetical $10,000 invested at the beginning of the period and redeemed at the end of the period, and assumes reinvestment of all dividends and capital gains.

Annual Total Returns

As of September 30, 2015

Annual Total ReturnsAnnual Total Returns

The Standard and Poor's Idaho Municipal Bond Index is a broad-based index of Idaho municipal bond prices. Investors cannot invest directly in the index.


As of September 30, 2015

Top Ten Holdings

University of Idaho Revenue 2.8%
Twin Falls Co. ID SCD #414 Kimberly 2.8%
Idaho State Building Authority 2.5%
Ada & Canyon Cos. ID JSD #3 Kuna 2.5%
Canyon Co. ID SCD #134 Middleton 2.4%
Madison Co. ID SCD #321 Rexburg 2.4%
Idaho Bond Bank Authority 2.4%
Boise State University ID Revenues 2.3%
Ada & Canyon Co.'s ID #2 Meridian 2.1%
Pocatello ID Water Revenue 2.1%
Total 24.3%

View full month-end portfolio schedule. This link will open a new browser window.

Sector Allocation

General Obligation 51.2% color box key Idaho Tax-Exempt Fund Sector Allocation
State Education 17.7% color box key
Real Estate 5.1% color box key
Water Supply 4.2% color box key
Transportation 4.1% color box key
Medical - Hospitals 3.7% color box key
Financial Services 2.9% color box key
Pollution Control 2.9% color box key
Municipal Leases 0.9% color box key
Power Generation 0.3% color box key
Cash and equivalents 7.0% color box key

Security and sector weightings are shown as a percentage of total net assets.


Morningstar Ratings™

Scroll right to see more.   >   >

Month-end Ratings, as of November 30, 2015

Idaho Tax-Exempt Fund Overall 1 Year 3 Year 5 Year 10 Year
Idaho Tax-Exempt — "Muni Single State Interm" Category
(NITEX) ★ ★ ★ n/a ★ ★ ★ ★ ★ ★ ★ ★ ★ ★
% Rank in Category n/a 50 29 61 54
Funds in Category 206 217 206 195 178

Quarter-end Ratings, as of September 30, 2015

Idaho Tax-Exempt Fund Overall 1 Year 3 Year 5 Year 10 Year
Idaho Tax-Exempt — "Muni Single State Interm" Category
(NITEX) ★ ★ ★ n/a ★ ★ ★ ★ ★ ★ ★ ★ ★ ★
% Rank in Category n/a 39 30 59 56
Funds in Category 200 212 200 190 175

Scroll right to see more.   >   >

Source: Morningstar, Inc. Morningstar, Inc. is an independent fund performance monitor. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ based on a Morningstar Risk-Adjusted Return™ measure that accounts for variation in a fund's monthly performance (including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% in each category receive 5 stars, the next 22.5% 4 stars, the next 35% 3 stars, the next 22.5% 2 stars and the bottom 10% receive 1 star. The Overall Morningstar Rating™ for a fund is derived from a weighted average of performance figures associated with its 3, 5, and 10 year (if applicable) Morningstar Rating™ metrics.

A fund's % Rank in Category is the total-return percentile rank for the specified time period relative to all funds that have the same Morningstar category. The highest (or most favorable) percentile rank is 1 and the lowest (or least favorable) percentile rank is 100. The top-performing fund in a category will always receive a rank of 1. Percentile ranks within categories are most useful in those categories that have a large number of funds.


Scroll right to see more.   >   >

Record Date Ex, Pay and Reinvest Date Tax-Free Income Qualified / Taxable Income Short-Term Capital Gains Long-Term Capital Gains Total Distributions (per share)
12/30/2015 12/31/2015 $0.01297 $0.00 $0.00 $0.00 $0.01297
11/27/2015 11/30/2015 $0.01097 $0.00 $0.00 $0.00400 $0.01497
10/29/2015 10/30/2015 $0.01147 $0.00 $0.00 $0.00 $0.01147
09/29/2015 09/30/2015 $0.01124 $0.00 $0.00 $0.00 $0.01124
08/28/2015 08/31/2015 $0.01187 $0.00 $0.00 $0.00 $0.01187
07/30/2015 07/31/2015 $0.01306 $0.00 $0.00 $0.00 $0.01306
06/29/2015 06/30/2015 $0.01299 $0.00 $0.00 $0.00 $0.01299
05/28/2015 05/29/2015 $0.01208 $0.00 $0.00 $0.00 $0.01208
04/29/2015 04/30/2015 $0.01218 $0.00 $0.00 $0.00 $0.01218
03/30/2015 03/31/2015 $0.01429 $0.00 $0.00 $0.00 $0.01429
02/26/2015 02/27/2015 $0.01085 $0.00 $0.00 $0.00 $0.01085
01/29/2015 01/30/2015 $0.01193 $0.00 $0.00 $0.00 $0.01193
12/30/2014 12/31/2014 $0.01300 $0.00 $0.00 $0.00 $0.01300
11/26/2014 11/28/2014 $0.01242 $0.00 $0.00 $0.00329 $0.01571
10/30/2014 10/31/2014 $0.01204 $0.00 $0.00 $0.00 $0.01204
09/29/2014 09/30/2014 $0.01333 $0.00 $0.00 $0.00 $0.01333
08/28/2014 08/29/2014 $0.01231 $0.00 $0.00 $0.00 $0.01231
07/30/2014 07/31/2014 $0.01376 $0.00 $0.00 $0.00 $0.01376
06/27/2014 06/30/2014 $0.01283 $0.00 $0.00 $0.00 $0.01283
05/29/2014 05/30/2014 $0.01360 $0.00 $0.00 $0.00 $0.01360
04/29/2014 04/30/2014 $0.01255 $0.00 $0.00 $0.00 $0.01255
03/28/2014 03/31/2014 $0.01461 $0.00 $0.00 $0.00 $0.01461
02/27/2014 02/28/2014 $0.01174 $0.00 $0.00 $0.00 $0.01174
01/30/2014 01/31/2014 $0.01304 $0.00 $0.00 $0.00 $0.01304

Scroll right to see more.   >   >

The Idaho Tax-Exempt Fund intends to distribute its net investment income and net realized capital gains, if any, to its shareowners. The Fund accounts for its distributions as taxable capital gains (originating from net realized gains on portfolio transactions), taxable ordinary income (originating from dividends, taxable interest, and certain other types of gains), or tax-exempt income (originating from interest on municipal bonds). Income dividends are paid daily and reinvested or distributed monthly. Distributions from capital gains (which may be taxable at different rates depending on the length of time the Fund holds its assets) are paid at the end of November.

Distributions for the last two years are listed in the table above. For prior distributions, please contact a Saturna representative.

Regulations regarding distributions can be complex, and there are several methods for managing your tax liability. Please consult a tax advisor about your particular circumstances. You also may obtain helpful information by calling the Internal Revenue Service at 1-800-829-1040 or visiting

If applicable, distribution information will appear on Form 1099-DIV, typically sent in late January. For more information on tax documentation, please visit our Tax Documentation page.

The Fund pays per-share distributions to shareowners invested on the Record Date. On the Payable Date, the fund's share price is reduced by the amount of its distribution.

Fees & Expenses

The following tables describe the fees and expenses mutual fund shareowners may pay. There are no shareowner fees (fees paid directly from an investment). The Fund imposes no sales charge (load) on purchases or reinvested dividends, or any deferred sales charge (load) upon redemption. There are no exchange fees or account fees. Investments in mutual funds are subject to ongoing expenses. Saturna endeavors to keep these fees low. We encourage you to compare the following fees with similar fees of other no-load mutual funds:

Shareowner Fees (fees paid directly from your investment)
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price): 0%
Maximum Deferred Sales Charge (Load): 0%
Maximum Sales Charge (Load) Imposed on Reinvested Dividends/Distributions: 0%
Early Redemption Fee: 0%
Exchange Fee (between Saturna's affiliated funds): 0%
Maximum Account Fee: 0%
Annual Fund Operating Expenses (expenses deducted from Fund Assets)²
Idaho Tax-Exempt Fund
Management Fees 0.50%
Distribution (12b-1) Fees None
Other Expenses 0.15%
Total Annual Fund Operating Expenses 0.65%

¹ A Fund's 30-Day Yield is calculated by dividing the net investment income per share during the preceding 30 days by the net asset value per share on the last day of the period. The 30-Day Yield provides an estimate of a Fund's investment income rate, but may not equal the actual income distribution rate.

² Expense ratios shown are as of the Fund's most recent prospectus or summary prospectus dated March 27, 2015.

Performance data quoted represents past performance which is no guarantee of future results. 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 may be higher or lower than performance data quoted. Standardized returns current to the most recent month-end can be obtained by visiting our Month-End Returns Page or by calling toll free 1-800-SATURNA. The Fund cannot guarantee that its investment objective will be met. Securities of the Fund are offered and sold only through the prospectus or summary prospectus.