For institutional and professional investors, understanding the landscape of investment firms is crucial. State Street Advisors stands as a significant entity in this realm. This document provides essential disclosures and information pertinent to investors considering State Street Advisors and its offerings. It is imperative to acknowledge that investing inherently involves risks, including the potential loss of principal.
Important Disclosures Regarding Investment Risks
Investing in financial markets is not without potential downsides. It’s critical to understand these risks before making any investment decisions. State Street Advisors emphasizes the following key points:
- Risk of Loss: All investments carry the risk of losing money. Market fluctuations can cause investment values to decrease, meaning you could recoup less than your initial investment.
- Fund-Specific Fees: Certain funds, like the State Street Institutional Liquid Reserves Fund, may impose fees upon the sale of shares due to market conditions or other factors. This can further impact your returns. For the State Street Institutional Liquid Reserves Fund specifically, it’s important to understand that the share price is not fixed and will fluctuate. Selling shares might result in a gain or loss compared to the original purchase price. Redemption fees may also apply under certain market conditions or if daily net redemptions exceed a specific threshold of the fund’s net assets.
- No FDIC Insurance or Bank Guarantee: Investments with State Street Advisors are not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. Furthermore, the fund’s sponsor, State Street, has no legal obligation to provide financial support to the fund, and investors should not rely on any expectation of such support.
- ETF Investment Risks: Exchange Traded Funds (ETFs) operate similarly to stocks and are subject to general investment risks. Their market value can fluctuate, and they may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will also reduce overall investment returns.
Index Tracking and Licensing: The S&P 500 Example
Many investment products, including those offered by State Street Global Advisors, track established market indices. For instance, the SPDR ETFs are linked to indices like the S&P 500®. It’s important to note the relationship between State Street Global Advisors and these index providers:
- The S&P 500® Index is a product of S&P Dow Jones Indices LLC or its affiliates (“S&P DJI”) and is licensed for use by State Street Global Advisors.
- Trademarks such as S&P®, SPDR®, and S&P 500® are owned by Standard & Poor’s Financial Services LLC (“S&P”), and Dow Jones® is owned by Dow Jones Trademark Holdings LLC (“Dow Jones”) and licensed to S&P Dow Jones Indices.
- While State Street Global Advisors is licensed to use these indices, the funds are not sponsored, endorsed, sold, or promoted by S&P DJI, Dow Jones, or S&P. These entities also bear no responsibility for the advisability of investing in these products or any errors, omissions, or interruptions within the indices.
Regulatory and Distribution Information
State Street Global Advisors operates within a regulated financial environment. Key aspects of their operational structure include:
- Distributor: State Street Global Advisors Funds Distributors, LLC, a member of FINRA and SIPC, serves as the distributor for many of their funds. This entity is a wholly-owned subsidiary of State Street Corporation.
- Affiliates: References to “State Street” may encompass State Street Corporation and its affiliates. Certain State Street affiliates provide services to and receive fees from SPDR ETFs.
- ALPS Distributors, Inc.: ALPS Distributors, Inc., also a FINRA member, acts as distributor for specific unit investment trusts like DIA, MDY, and SPY. Select Sector SPDRs are distributed by ALPS Portfolio Solutions Distributor, Inc., also a FINRA member. It’s important to note that ALPS Distributors and ALPS Portfolio Solutions Distributor are not affiliated with State Street Global Advisors Funds Distributors, LLC.
Important Considerations for Qualified Investors
The information provided by State Street Advisors and access to their website is intended for qualified investors only. This encompasses specific restrictions and important legal points:
- Qualified Investors Only: Access to detailed information and specific product offerings is restricted to qualified investors.
- No Offer/Local Restrictions: Nothing on the State Street Advisors website should be interpreted as a solicitation to buy or sell any security or investment product. Product availability varies by investor category and jurisdiction, and not all products are accessible to all investors. The information is not intended for use in any jurisdiction where such distribution would violate local laws or regulations.
- Not Investment Advice: The information provided is for informational purposes only and does not constitute investment advice. It should not be the basis for investment decisions. Investors should consult with their own financial and tax advisors to consider their specific financial objectives, tax situation, and investment horizon.
- Accuracy of Information: While State Street Advisors obtains information from sources believed to be reliable, they do not guarantee the accuracy of all information and are not liable for decisions made based on this information.
- Compliance with Local Laws: Individuals accessing the State Street Advisors website are responsible for adhering to all applicable local laws and regulations. The site is not directed at individuals in jurisdictions where its availability is prohibited.
Information for Non-U.S. Investors
Products and services described by State Street Advisors are primarily intended for individuals within the United States or those qualified under specific local laws. The website content is directed towards these individuals. Nothing on the website should be considered a solicitation or offer to sell securities in any jurisdiction where such actions would be unlawful.
Before You Invest: Prospectus and Further Information
Prior to making any investment decisions regarding State Street Advisors’ funds, it is essential to thoroughly review the fund’s prospectus or summary prospectus. This document contains crucial information about investment objectives, risks, charges, and expenses.
- Obtain a Prospectus: To get a prospectus or summary prospectus, you can call the following numbers:
- ETFs: 1-866-787-2257
- Cash Funds: 1-877-521-4083
- ELFUN Funds: 1-800-242-0134
- Institutional Services: 1-800-997-7327
- Download Online: Prospectuses can also be downloaded from the State Street Global Advisors website.
- Consult Your Advisor: It is always recommended to discuss investment options with your financial advisor.
Key Takeaways: Risk, Diligence, and Informed Decisions
Investing with State Street Advisors, like all investing, involves risk. It is crucial for investors to conduct thorough due diligence, carefully review all disclosures and prospectuses, and understand the specific risks associated with any investment product before committing capital. Remember, investments are:
Not FDIC Insured * No Bank Guarantee * May Lose Value
This information is provided for qualified investors for informational purposes and to ensure awareness of key disclosures related to State Street Advisors and their investment products.
AdTrax Code: 6729648.1.1.AM.INST
Expiration Date: 30 June 2025
