News at V.G. Reed & Sons



In February 2009, the SEC made a final rule on using XBRL (eXtensible Business Reporting Language) when mutual fund companies file risk/return summary information related to their prospectuses. Interactive reporting for mutual fund risk/return summary information will be required beginning on January 1, 2011. The rule requires the XBRL information to be provided as an exhibit to registration statements and to prospectuses with risk/return summary information that varies from the registration statement. The rule also permits investment companies to voluntarily use interactive data to submit information on portfolio holdings without requiring them to use XBRL to submit other financial information.


(Summary Prospectus)

V.G. Reed & Sons announces Summary Prospectus Information

New Summary Prospectus Information The SEC is enacting a new Prospectus delivery option for all N-1A (open-end mutual fund) companies called the Summary Prospectus. The goal behind this is to provide investors, both existing and potential, with a concise summary of key information about a fund. In addition the SEC is mandating a new section in all Prospectuses called the Summary Section. This is similar to the Summary Prospectus in content, but whereas the Summary Prospectus is optional the Summary Section is NOT.

We at VG Reed are committed to guiding you through this process and making it as easily accessible as possible for you. With that in mind we will highlight and explain the main points regarding the Summary Prospectus, Summary Section and the similarities and differences between the two.


There are additional changes to the overall Prospectus format that the SEC is mandating. They include:

Each Prospectus MUST now include a Summary Section in the front portion of the Prospectus. This section will take the place of the existing Risk/Return Summary. This Summary Section can be replicated into a Summary Prospectus, but if that option is chosen there are several additions that will need to be enacted in order to satisfy the Summary Prospectus requirements. This will be accomplished by creating a new cover page which will include:

1. The specific fund name and all classes offered for the Summary Prospectus.

2. The ticker symbol for each fund and each class of said fund if applicable.

3. The statement that this is, in fact, a Summary Prospectus and not a full Prospectus.

4. The approximate date the Summary Prospectus will be effective.

5. Disclosure of the website at which to find the Statutory Pros/SAI.

The SEC REQUIRES that a Summary Section MUST be brief and contain only key information about the fund in this order:

Investment Objectives


Principal Investment Strategies, Risks and Performance

Investment Advisers and Portfolio Managers

Brief Purchase and Sale and Tax Information, and Financial Intermediary Compensation

The information must be in Plain English (easily discernible to the average reader).

There are certain Organizational Requirements that will now be mandated. This will be structured so that each mutual fund MUST disclose its summary information in the FRONT of the prospectus, and only the cover and Table of Contents can precede it. The information in the Summary Section does NOT need to be repeated elsewhere in the Statutory Prospectus.

If a fund has multiple classes, they have the choice of presenting each class separately or integrating the information for the multiple classes into one.

The SEC is eliminating the requirement for a separate purchase and redemption document. This information will still be required in the Statutory Prospectus and SAI.

Disclosure of a fund’s top 10 holdings is NOT required in the Summary Section since they will be updated in the Statutory Prospectus yearly and Summary Prospectus on a quarterly basis. Immediately following the fund’s investment objectives the fund’s fee table and example MUST be listed. Mutual funds that offer discounts on front end sales charges for volume discounts MUST include a brief narrative on the existence of these discounts, where an investor can find more information regarding the discounts, and the minimum dollar level required to trigger these discounts.

The Investment, Risks and Performance section will include the current bar chart and table illustrating the variability of returns as well as the fund’s past performance. If a fund regularly updates performance information on their web site or via a toll free number that information MUST now be disclosed.

SUMMARY PROSPECTUS The Summary Prospectus is ONLY for N-1A companies at this time.

The Summary Prospectus DOES NOT have a page limit. It is recommended by the SEC that a Fund’s Summary Prospectus be set between 4-8 pages, but it is NOT mandatory. The SEC wants only the important facts reflected in the Summary Prospectus, but it does not want to hamper any fund in relating what the fund believes are those important facts.

Each fund MUST have its own Summary Prospectus. This will only concern an individual Prospectus that offers multiple funds. So, if a Prospectus contains 10 different funds, then 10 separate Summary Prospectuses need to be created in sequential order of the funds listed. However, some information can be set as common across all funds provided it is identical for all funds, specifically Items 6-8 (purchase and sale of fund shares, tax information, financial intermediary compensation). If this option is utilized, then this common information MUST appear after all the individual fund information is placed, and a reference, including page number, directing readers to the location of this common information must be provided.

The Summary Prospectus is OPTIONAL at this time. It is NOT mandatory.

If a client decides to create and distribute a Summary Prospectus then additional steps will need to be undertaken:

1. The Statutory Prospectus and SAI (Pros/SAI) MUST still be typeset, EDGARized and filed with the SEC.

2. The Statutory Pros/SAI MUST be placed on the web should anyone wish to read the detailed information regarding the fund. The investor must also have the ability to download and save this information for use at a later time, and this needs to be provided at no charge.

3. If an investor or potential investor requests a printed version of the Statutory Pros/SAI it MUST be mailed to him/her, meaning you still need to have some printed and on hand for delivery.

4. Hyperlinks need to be included in the Pros/SAI for easy navigation to any section listed in the Table of Contents. Also, links need to be included for anyone to be able to quickly refer to the Summary Prospectus from the Pros/SAI and vice versa. Summary Prospectus will be filed as 497K.

VGReed will handle all typesetting of the Statutory Prospectus, Summary Section and the Prospectus Summary from your raw data files. We will also perform all conversion of those materials into the proper EDGAR format, insert all necessary linking, including hyperlinks, and file with the SEC.

To read the SEC’s complete rules and regulations regarding both the Summary Prospectus and Summary Section please go to:


V.G. Reed & Sons announces GRACoL 7 Master Printer certification

V.G. Reed & Sons has achieved G7 certification for calibrating proofing and press equipment to G7 standards set by IDEAlliance. Our G7 Certification was granted through implementing a calibration process that achieves a close visual match from proof-to-press.

VGR made the move to standardize to G7 so we can meet client requests for similar visual appearance between proofs and eight unit press equipment.

According to the IDEAlliance web site, "the G7 proof-to-print process is based on the principles of digital imaging, spectrophotometry, and computer to plate technologies. G7 is a simple calibration that allows for a visual match between proofing and printing methods."

VGR's adoption of G7 standards will improve communication between our customers and our staff and helps avoid disapponment in expectations. Our clients, particularly those in the financial services industry, can rest assure that all pieces will be consistent from proof to final product.


vgrInsite Online Proofing

The vgrInsite Creative Workflow system provides collaboration and proofing tools that help clients manage the entire content creation cycle. This web based system will increase the efficiency of job creation and keep a clear history and audit trail of all activities throughout the job. Its online proofing and approval tools track the activity of all participating stakeholders.

Administrators can define tasks, such as review of copy, images, layout, and legal, and invite team members to participate in each task. When a file is reviewed, each person's annotations or approvals are captured. An e-mail notification is sent to the administrator as each step is completed for up-to-the minute job status reporting. This results in enhanced project organization and faster completion. Multiple stakeholders can review images and files. Pixel streaming technology is utilized so that very large files can be accessed through the Internet. Smart review allows for zooming, panning, annotating of images, size measurement, color checking, and notating from the stakeholder. Once files are approved, rasterized images are sent to the VGR print flow, with zero human intervention.

For additional information on this exciting new solution, please contact your VGR Sales Representative, or call (800) 635-9788, ext. 124.

(8 Color Heidelberg)

V. G. Reed & Sons is pleased to announce the purchase of an 8 color Heidelberg Press.

A Heidelberg Speedmaster SM102-8PSL [pdf] eight unit with coater, sheetfed printing press has been purchased. This press will print both sides of the sheet in one pass at 13,000 impressions per hour and is ideal for high quality annual reports, catalogs, brochures, labels, and promotional items. Speed makereadies free from manual adjustments will boost net productivity and press uptime.

(Oce 7000)

V. G. Reed & Sons is pleased to announce the installation of our second Oce 7000 Series continuous-feed digital printer [pdf].

(HP Indigo)

V. G. Reed & Sons is pleased to announce the installation of an HP Indigo Industrial Digital Press [pdf].