Kinetics Medical Fund - Advisor Class A
This is a time with no precedent in the history of medical science. The unexpectedly early success in mapping the human genome has accelerated the race to prevent, treat and cure disease and illness. In particular, the massive global search for a cure for cancer has reached a new juncture. For the first time, there are reports of "breakthroughs." Revolutionary new treatments are being prepared for approval and use -- eagerly watched by a worldwide market that spends billions of dollars on cancer treatment each year. Kinetics was quick to recognize that these remarkable scientific advances are also creating remarkable investment opportunities -- The Fund focuses primarily on companies engaged in cancer research and treatment.
We invest in a diverse array of companies, such as medical research, pharmaceutical development and manufacturing. What they all have in common is a significant investment in research and development. Kinetics believes that dollars invested in research today may have a substantial effect on future growth. Several research themes offer special promise:
Genome Research: The mapping of the human genome is enabling companies to develop drugs to attack cancer and other diseases at the mollecular and cellular level.
Anti-angiogenisis: Compounds that "starve" tumors by targeting blood vessels that nourish them.
Immunotherapy: Vaccines that teach the immune system to recognize and kill cancer cells.
Contract Research Companies: Develop the tests and protocols needed to achieve FDA approval.
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Because the Fund invests in a single industry, its shares do not represent a complete investment program. Biotech and pharmaceutical stocks are subject to a rate of change in technology, obsolescence and competition which is generally higher than that of other industries, and have experienced extreme price and volume fluctuations. As a non-diversified and single industry fund, the value of its shares may fluctuate more than shares invested in a broader range of industries and companies.
Disclosure
You should consider the investment objectives, risks, charges and expenses of the Funds before investing. For a free copy of the Funds' prospectus, which contains this and other information, visit our website at www.kineticsfunds.com or call 1-800-930-3828. You should read the prospectus carefully before you invest.
Past performance and does not guarantee future results. Due to market volatility, current performance may be more or less than for the rankings shown. Investment return and principal value will vary, and an investment can lose money.
Because the Funds [other than The Paradigm Fund and The Small Cap Opportunities Fund] invest in a single industry, their shares do not represent a complete investment program. Internet and biotechnology stocks are subject to a rate of change in technology, obsolescence and competition that is generally higher than that of other industries, and have experienced extreme price and volume fluctuations. International investing presents special risks including currency exchange fluctuation, government regulations, and the potential for political and economic instability. Because smaller companies [for The Global and Small Cap Opportunities Fund] often have narrower markets and limited financial resources, they present more risk than larger, more well established companies.
Non-investment grade debt securities (i.e., junk bonds) are subject to greater credit risk, price volatility and risk of loss than investment grade securities. Further, options contain special risks including the imperfect correlation between the value of the option and the value of the underlying asset.
Unlike other investment companies that directly acquire and manage their own portfolios of securities, the Funds pursue their investment objectives by investing all of their investable assets in a corresponding portfolio series of Kinetics Portfolios Trust.
You will be charged a redemption fee of 2.0% of the net amount of the redemption if you redeem or exchange your shares 30 days or less after you purchase them.
Distributor: Kinetics Funds Distributor, Inc. is an affiliate of Kinetics Asset Management, LLC, and is not an affiliate of Kinetics Mutual Funds, Inc.
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